Apple's 30% Fee for Facebook and Instagram Ads Expands to Additional Regions

If you're purchasing Facebook or Instagram ads on iOS, expect to pay higher costs.
Apple's 30% Fee for Facebook and Instagram Ads Expands to Additional Regions

Important PSA for all Facebook and Instagram advertisers: Starting next week, when you purchase ads from an iOS device, you will be dishing out the extra 30% of the ad amount straight into Apple's pocket-unless you use facebook.com or instagram.com from the desktop instead.

This was already opened up to U.S. advertisers back in February and is now rolling out for all advertisers in every region. To help boost on the web, Meta introduced new processes but sidesteps extra Apple charges with the same functionality that's enabled on iOS devices. And if you'd like to avoid that extra fee, well you're going to have to switch to a desktop PC, as opposed to quickly boosting in-stream.

Meta's Director of Privacy & Fairness Policy, Pedro Pavón, referred to Apple's expanding new fee structure into more regions as of July 1st as an "anti-competitive move."
Pavón said that

This 30% Apple tax gives them a competitive advantage over others and makes it harder to compete on price. None of this resonates well with me regarding good outcomes for the user or fair dealing toward competition. And I am not alone. Around the world, regulators are taking an app developer's and consumer's side and those who are better off with more options and lower fees.

EU investigators, Pavón notes, have already charged Apple for the change, as well as a U.S. federal judge who criticized Apple for failure to obey a court order concerning its fee structure.

But as of now at least, Apple is going to charge advertisers more when they buy ads in-app.

So, of course, the simple answer is to wait until you can access your desktop PC and not have to incur the additional expense, though, that isn't always going to be an option for those on the go. Which is what Apple is playing off of, and it does seem that Apple is giving itself a bit of an edge in this regard, at least on some level.

But, in Apple's imagination, those companies would have no access whatsoever to their audiences without Apple, so it believes it is entitled to charge for that capacity.
Many businesses have pushed back, including Epic Games, the maker of Fortnite, which took Apple to court over its app taxes. In which case, the bottom line was that Apple agreed to new concessions that it currently allows app developers selling to U.S. customers to embed links and buttons into their apps that re-direct users outside for their credit card information to be entered. But Apple also applies pop-up security warnings when doing this, and it also requires that Apple Pay be an option on these pages.

Meta can seemingly also implement the same but isn't exactly a solution, and it only applies in the U.S. at this stage.

In essence, if you're purchasing Facebook and IG ads through your device, you'll probably want to update your approach.

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2024-10-17 04:58:22