Apple is increasing the prices for apps and in-app purchases in a few countries. iOS apps will be now dearer in the UK, India, and Turkey. In India, an app that costs $0.99 will cost Rs 80, representing a 33 percent rise from the previous price of Rs 60. The price change isn’t reflecting in the Indian App Store right now but are expected to start reflecting in App Stores across regions over the next seven days.
According to Apple, “price tiers on the App Store are set internationally on the basic of factors including currency exchange rates, business practices, taxes and cost of doing business. These factors vary from region to region and over time.” According to sources, the price hike is limited to the App Store and there won’t be any hike for iTunes Store or Apple Music.
In order to lessen the impact of the price rise on developers, Apple is also introducing new lower-price tiers. Publishers will now be able to charge users 49 pence or 79 pence for purchases, however, to do so, they will have to re-price their products.
In the UK alone, app prices are reportedly shooting up over 25 percent. So for example, an app sold at $0.99 in the US will now cost £0.99 in the UK, up from £0.79. A report on 9to5 Mac notes that following the weak pound exchange rate after the Brexit vote, changes will be seen at every price tier. A Tier 2 priced app now costs £1.99 in the UK up from £1.49, while an in-app purchase that previously cost £7.99 will now be priced at £9.99. This essentially means that the UK costs will numerically match those of the US.
In Turkey, the price of the apps will change from 2.69 to 3.49 lira, which is an increase of 30 percent. Technology companies with a global presence have witnessed repercussions in the months following the Brexit vote. Other than Apple, companies including Microsoft, Dell, Tesla, and HP have also increased the price of their products in the UK.
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