Apple Pressures ByteDance and Tencent Over App Fee Loopholes in China
Apple is putting pressure on Tencent and ByteDance to make significant changes to two of China's most popular apps in order to remove loopholes that circumvent Apple's typical 30% commission, Bloomberg reports.
The loopholes are linked to mini-apps that allow users of Tencent's social-messaging app WeChat and ByteDance's short-video app Douyin to play games, hail taxis, and make online purchases without leaving the app.
Apple reportedly told both companies they need to prevent mini-app creators from including links to outside payment systems that circumvent its commission system. Apple said it would not approve future updates to WeChat or Douyin until the companies complied.
Apple also has asked Tencent to disable in-game chats between developers and users, because they can also be used to send links, according to Bloomberg. Tencent has reportedly pushed back against the idea due to the negative impact it would have on the game experience.
The report characterized the moves by Apple as "unusually aggressive" in China, suggesting they may inflame tensions at a time when its business practices are under scrutiny by antitrust regulators around the world.
An Apple spokesperson who contacted Bloomberg cited its guidelines that the sale of all digital goods must go through its system, and that its review team may reject app submissions that violate that policy.
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