Published: September 21, 2022
Apple Inc. announced on the 20th of September that it is set to raise app and in-app purchase prices on the App Store beginning next month in the eurozone countries and some South American and Asian countries.
Apple’s new prices will go into effect on the 5th of October. However, there won’t be changes in prices for auto-renewable subscriptions.
The most valuable brand globally modifies the prices in different regions occasionally. For example, it reduced prices for some European countries in 2021 to account for taxes and currency, lowering starting prices for its application apps to 99 cents from 1.09 euros.
This time, the starting price for many apps will be 1.19 euros.
The considerable rise in inflation, energy costs, and interest rates have hammered most emerging-market currencies. This year, the euro has fallen to two-decade lows, hovering around parity with the dollar.
Apple, which had a market share of 15.2% in 2021 and launched the latest iPhone 14 this month, has been expanding its services business to decrease reliance on its best smartphones.
Apple’s services business, including the App Store, has proliferated in recent years, with revenue now hovering at about $20 billion per quarter.
Apart from the Eurozone, price changes will also affect Poland and Sweden in Europe, Chile in South America, Vietnam, South Korea, Japan, Pakistan, and Malaysia in Asia.
According to Apple, the price rise in some countries, such as Vietnam, was caused by new regulations relating to collecting user taxes.