To comply with the Mobile Software Competition Act (MSCA), Apple has announced a set of major changes to the App Store and iPhone in Japan. The changes include new app distribution options for developers and new alternative payment rules for the App Store.
Apple announced the changes in a post on Apple Newsroom today and on its developer website. The company says that Japan’s “MSCA’s requirements for alternative app marketplaces and app payments open new avenues for malware, fraud and scams, and privacy and security risks.” Nonetheless, the company has collaborated with Japanese regulators to strike as best a balance as possible to comply with the law and protect users.
Broadly speaking, Apple says Japan’s MSCA does a better job of balancing openness with security and user protection than the DMA in the EU. For example, Apple does not have to support app downloads from the web in Japan like it does under the DMA. Apple retains ability to protect users from malware and other security risks. This is especially true when it comes to protecting children, as outlined below.
App distribution in Japan
First, Apple has changes for app distribution in Japan. The company says that developers can now distribute their apps using alternative app marketplaces other than the App Store.
Apple will conduct the baseline Notarization review on all apps, which “focuses on basic functionality and protecting users from serious threats.” Notarization combines a series of automated checks and human review to ensure apps work as promised and don’t contain malware, viruses or other security threats.
New payment options
There are also changes to payment options on the App Store as part of this update.
- Developers can keep using Apple In-App Purchase (IAP) with no changes required.
- Apple is also allowing developers alternative payment options for digital goods/services inside iOS apps in Japan. Developers can:
- Offer digital goods and services for purchase within your app using an alternative payment processor.
- Link users out to offers/promotions outside the app via actionable links that open in a web browser for purchase.
If an app offers digital goods/services using an alternative payment method, it must also present Apple IAP as an option at the same time (i.e., IAP can’t be omitted when offering an alternative).
New business terms
Act surprised! Apple is also introducing a new set of business terms to cover the changes to App Store payments and distribution options. Apple explains:
- App Store commission: iOS apps on the App Store will pay a reduced commission of either:
- 10 percent for members of the Small Business Program, Video Partner Program, Mini Apps Partner Program, and for subscriptions following their first year
- 21 percent on transactions for digital goods and services.
- Apple payment processing fee: In their iOS apps on the App Store, developers can process payments using Apple In-App Purchase for an additional 5 percent fee.
- Store services commission: iOS apps on the App Store will pay a commission of 15 percent on transactions for digital goods and services made on a website linked to by the developer’s app. Developers in the programs mentioned above, and subscriptions following their first year, will pay a reduced rate of 10 percent.
- Core Technology Commission: iOS apps distributed outside of the App Store will pay a 5 percent commission on the sale of digital goods and services, including paid apps. The Core Technology Commission compensates Apple for the tools, technologies, and services that enable developers to build and share their apps with iOS users.
Kids’ safety
Apple says that it has worked with regulators in Japan to “preserve some guardrails” with the new app distribution and payment options to protect children.
- Apps in the Kids category on the App Store will not include links to websites to complete transactions, to reduce the risk of fraud or scams targeting children.
- For users under 18 years old, all apps from the App Store that use alternative payment processing or link to a website for transactions must include a parental gate that requires younger users to involve their parent or guardian before making a purchase.
- For users under 13 years old, apps from the App Store cannot link to websites for transactions to protect against the risk of scams that target younger kids.
- Apple is also working to provide developers using alternative payments with a new API so they can enable parents to monitor and approve purchases made outside of Apple In-App Purchase.
This is one of the areas, Apple says, the MSCA is a better piece of legislation than the Digital Markets Act in the European Union. “For instance, similar regulatory changes in Europe have enabled types of apps that were previously unavailable on iOS, including pornography app,” Apple says.
iOS platform changes
Finally, and perhaps most interesting for iPhone users, Apple highlights several platform changes coming to iPhone. After updating to. iOS 26.2, iPhone users in Japan can go to the Settings app to manage default controls for navigation apps and app marketplaces. Additionally, users in Japan will see a new browser choice screen and search engine choice screen.
Apple has also announced three tools for developers, including a new API that will let developers of voice-based conversational apps replace Siri as the default voice assistant tied to the iPhone side button:
- New options for developers of browser apps to use alternative browser engines other than WebKit, with strict security and privacy requirements.
- A new API that enables developers of voice-based conversational apps to provide users the option to launch their app with the iPhone side button.
- A process to request interoperability with core technologies in iPhone and iOS.
The new features are available starting today as part of iOS 26.2. Developers can learn more on the Apple Developer Support page. You can also find more details in Apple’s full press release.
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