TapTechNews August 2nd news, according to sources familiar with the matter quoted by Bloomberg at noon today, Apple is increasing efforts to put pressure on Tencent and ByteDance, asking the two companies to make fundamental changes to the most popular applications in China.
Insiders said that Apple has in recent months required Tencent and ByteDance to plug the loopholes, as creators on the WeChat and TikTok platforms would use these loopholes to direct users to external payment systems, thereby avoiding the 30% commission that Apple usually charges.
In May this year, Apple warned Tencent that if it does not remove the links that small game developers use to accept non-Apple platform payments, it may reject important updates of WeChat. A few months later, Apple required the company to disable a key in-game messaging function, which would also divert users, and Tencent has not agreed to these requirements.
One of the insiders also said that Apple has taken a similar approach against ByteDance - in June this year, Apple informed ByteDance that it would not accept a new version of TikTok unless it also plugs similar payment loopholes.
Tencent refused to comment, and representatives of ByteDance did not reply to emails seeking comment. An Apple spokesperson cited its guidelines, claiming that all sales of digital goods must go through Apple's system, otherwise the review team may reject applications that violate this policy from being launched.
TapTechNews note: Most payments or services completed through WeChat are exempt from the fees charged by Apple, but the content of the WeChat App itself and other online entertainment (such as mini-games) still require to pay the iOS revenue sharing fee.
It is reported that WeChat and ByteDance have recruited thousands of small game or mini-program developers to create content for their WeChat and TikTok ecosystems. As these small games became popular, developers began to make a profit by selling in-game items, and many found ways to bypass Apple's payment system to increase the originally meager profit. This practice is called redirecting - redirecting players outside the big platform.
On WeChat, Apple detected and tried to shut down the web links circulated by developers - Tencent agreed to shut this loophole through the WeChat update released in early July. But Apple is still seeking further measures, asking Tencent to disable the in-game chat function between creators and players, as this function is also used to provide alternative payment links.
Two insiders said Tencent has not agreed to the above request because it believes that the changes proposed (by Apple) would undermine the product and affect the quality of service received by players. The company has informed game developers that their business model may be disrupted.
TikTok is also facing pressure from Apple. According to insiders, in June, TikTok launched a plan to allow Apple to charge a commission for in-app purchases. If not compliant, TikTok will not be able to update for the 618 e-commerce event.