Apple refuses to allow Facebook to tell its users that the company is getting a cut from the sales of paid online events. Earlier this month, Facebook rolled out a new feature that gives businesses and creators a way to charge for the online events they host on the platform. since the company launched it to help small businesses during the pandemic, it promised not to collect fees from paid events “for at least the next year.”
The social networking giant also asked Apple to bring down its 30% App Store tax or make payments directly by using Facebook Pay. By doing so, it can accumulate the costs for businesses, which will then get 100 percent of the revenue they generate. Apple refused on both counts, prompting the social network to join other developers like Epic Games is putting Apple on blast for its App Store policies.
In an effort to let users know that not everything they pay will go to the hosts, Facebook included a notice on the purchase screen for iOS clearly noting that Apple will take a 30% cut. Apparently, Apple restricted it from showing that notice to users, implementing an App Store rule that prohibits developers from showing unnecessary information.
The company told Reuters in a statement:
“Now more than ever, we should have the option to help people understand where the money they intend for small businesses actually goes. Unfortunately, Apple rejected our transparency notice around their 30% tax but we are still working to make that information available inside the app experience.”
While Google also takes a 30% percent cut from in-app purchases, hosts will still get 100% of their revenue from Android purchases where Facebook Pay is available.