Apple Announces Major App Store Changes Including New Subscription Terms and Search Ads

appstoreadexampleApple's Phil Schiller recently sat down with several publications including The Loop and The Verge to detail some of the changes that are going to be made to the App Store under his reign, including major improvements to search, subscription access for all developers, App Store ads when searching for content, and some other smaller tweaks that should go a long way towards improving app discoverability.

Apple is opening up app subscriptions to all product categories, giving developers more options for selling their apps and additional ways to earn revenue. An app like Workflow or Fantastical, for example, could be sold on a subscription basis, with customers able to obtain it for a $5/year subscription fee.

With that change, developers will be able to charge $5 per year rather than just a flat $5 fee, for an ongoing revenue stream, and they'll also be able to offer a subscription that encompasses multiple apps. Apple also plans to introduce up to 200 new tiered pricing options across different currencies and territories for app subscriptions.

Subscription fee changes are also being implemented. Currently, Apple takes a 30 percent cut of subscription fees on the App Store, but now, if a customer stays subscribed to a service for multiple years, Apple will only take a 15 percent cut, leaving 85 percent of profits for developers. That works on a per customer basis, so for customers who subscribe to Netflix through Apple, Netflix will pay Apple 30 percent during the first year and 15 percent the second year.

Apple is adding ads to App Store search results, something that was hinted at earlier this year. Ads will be displayed when a search is conducted and developers will have opportunities to purchase those ads for better app exposure. There will be one ad on the search results page, which Apple will clearly denote as an ad. Ad content will be the same content available on the App Store, and ads will only be accepted from developers. Apple plans to distribute ads through an auction system.

"We've thought about how to carefully do it in a way that, first and foremost, customers will be happy with," Schiller says, adding that he believes the ad auction system in App Store search will be "fair to developers, and fair for indie developers, too."

Recently, the Apple TV Top Charts stopped displaying apps that a user has installed, and that's a change that's rolling out more widely. The "Featured" section in the App Store will change dynamically for each user, no longer displaying apps that are already installed and Apple plans to bring the Categories tab back to the App Store.

A Share sheet will be added as a new 3D Touch Quick Action for all apps, allowing app recommendations to be more easily shared without needing to access the App Store directly. Search is also seeing some significant improvements to make it easier to find exactly what you're looking for and it is one of the areas Apple is focusing on.

Schiller took over the App Store from Eddy Cue late last year, amid developer complaints about discoverability, the review process, poor communication, search results, and myriad other complaints. Schiller promised improvements and has been delivering on that promise. In an interview with The Verge, Schiller said there's a "renewed focus and energy" around the App Store.

Under Schiller's leadership, the App Store has been steadily improving across 2016, not even counting today's changes. The app review process takes as little as two days, featured app sections like Best New Apps are updated on a more regular basis, and Schiller has a secret team working on exploring changes that could be made to the App Store to introduce further improvement.

Apple plans to begin rolling out these changes over the next couple of months. Ads will be made available as part of a beta program next Monday. Subscriptions will be accessible to developers starting in the fall, while existing subscription apps will see changes to the revenue split on June 13.

Popular Stories

iOS 26 on Three iPhones

iOS 26's Liquid Glass Design Draws Criticism From Users

Wednesday September 17, 2025 2:56 pm PDT by
It's been two days since iOS 26 was released, and Apple's new Liquid Glass design is even more divisive than expected. Any major design change can create controversy as people get used to the new look, but the MacRumors forums, Reddit, Apple Support Communities, and social media sites seem to feature more criticism than praise as people discuss the update. Complaints There are a long...
iPhone 17 Pro and Air Feature

Two iPhone 17 Pro and iPhone Air Colors Appear to Scratch More Easily

Friday September 19, 2025 10:02 am PDT by
As reported by Bloomberg today, some of the new iPhone 17 Pro and iPhone Air models on display at Apple Stores today are already scratched and scuffed. French blog Consomac also reported on this topic. The scratches appear to be most prominent on models with darker finishes, including the iPhone 17 Pro and Pro Max in Deep Blue, and the iPhone Air in Space Black. Images Credit: Consoma ...
iOS 26

iOS 26.0.1 Coming Soon, Likely With iPhone Air and iPhone 17 Pro Fix

Thursday September 18, 2025 9:17 am PDT by
Apple is preparing to release iOS 26.0.1, according to a private account on X with a proven track record of sharing information about future iOS versions. The update will have a build number of 23A350, or similar, the account said. It is likely that iOS 26.0.1 will fix a camera-related bug on the new iPhone Air and iPhone 17 Pro models. In his iPhone Air review, CNN Underscored's Henry T. ...
M6 MacBook Pro Feature 1

Apple's Rumored MacBook Pro Redesign: 6 New Features Anticipated

Wednesday September 17, 2025 4:26 am PDT by
Apple in October 2024 overhauled its 14-inch and 16-inch MacBook Pro models, adding M4, M4 Pro, and M4 Max chips, Thunderbolt 5 ports on higher-end models, display changes, and more. That's quite a lot of updates in one go, but if you think this means a further major refresh for the ‌MacBook Pro‌ is now several years away, think again. Bloomberg's Mark Gurman has said he expects only a small ...
iOS 26

iOS 26.1 to iOS 26.4: Here Are 5 New Features to Expect on Your iPhone

Tuesday September 16, 2025 11:17 am PDT by
iOS 26 was finally released on Monday, but the software train never stops, and the first developer beta of iOS 26.1 will likely be released soon. iOS 18.1 was an anomaly, as the first developer beta of that version was released in late July last year, to allow for early testing of Apple Intelligence features. The first betas of iOS 15.1, iOS 16.1, and iOS 17.1 were all released in the second ...
Tim Cook Rainbow

Apple Reportedly Plans to Launch These 10 Products in 'Coming Months'

Sunday September 14, 2025 8:45 am PDT by
Apple's annual September event is now in the rearview mirror, with the iPhone 17, iPhone 17 Pro, iPhone 17 Pro Max, iPhone Air, Apple Watch Series 11, Apple Watch Ultra 3, Apple Watch SE 3, and AirPods Pro 3 set to launch this Friday, September 19. As always, there is more to come. In his Power On newsletter today, Bloomberg's Mark Gurman said Apple plans to release many products in the...

Top Rated Comments

rorschach Avatar
121 months ago
Wholeheartedly support changine the revenue split. Improved search is also sorely needed.

But I have a bad feeling app subscriptions are going to be abused the same way IAP are now.

An app like Workflow or Fantastical, for example, could be sold on a subscription basis, with customers able to obtain it for a $5/year subscription fee.
No, thank you. TextExpander switched to a subscription model, so I found another app (that's cheaper to boot). I have no desire to pay for software monthly.

And before anyone compares it to music subscriptions: no. A Spotify/Apple Music subscription gets you unlimited access to millions of songs, and even more as new music is released. Compare that to paying monthly fees for EACH app, that MAYBE sees a couple of updates a year. Imagine if we had to pay monthly for each album we wanted to listen to.

Now, that's less on Apple and more on developers to not abuse.

What would really help is upgrade pricing! Seriously; that's a no-brainer feature that I think just about every developer with a paid app supports.
Score: 60 Votes (Like | Disagree)
sinsin07 Avatar
121 months ago
Yikes. More subscriptions.
Score: 43 Votes (Like | Disagree)
Packdude Avatar
121 months ago
I can understand the subscription model. I don't like it as I want to be a cheapskate, but developing an app for a very long time is a drain on developers, I will just be very selective with what I use. Nothing wrong with that.
I would rather pay for upgrades than pay a subscription, especially if it's software that is used infrequently.
Score: 37 Votes (Like | Disagree)
iReality85 Avatar
121 months ago
Getting tired of ads and subscriptions for everything these days.
Score: 31 Votes (Like | Disagree)
JoEw Avatar
121 months ago
Phil Schiller is one of Apple's best execs, can't say I feel the same about Cue
Score: 23 Votes (Like | Disagree)
petsounds Avatar
121 months ago
Phil says he wants to keep it fair for the small developers, yet there will be an open auction for the search ad. Guess which developer is going to win those auctions? The one with big pockets. This solves nothing about app discoverability. All it really does is create an additional revenue stream for Apple.
Score: 16 Votes (Like | Disagree)