According to trusted Apple news site, 9to5Mac, Apple has informed app developers that prices for apps sold in the App Store will increase in these territories:
- South Africa;
- South Korea;
- Mexico; and
Apparently the price hike is due to changes to taxes or foreign exchange rates and they are unavoidable. Different increases apply to the affected territories. The South Korean App Store will have a 10% value-added tax added to apps.
Users in the affected territories who have auto-renew subscriptions will have to resubscribe for these services as their subscriptions will be automatically disabled. Mexico is the only affected territory where users won’t need to resubscribe and will automatically be charged the new price.
Here is the full email reportedly sent out by Apple to app developers:
We sometimes need to update prices on the App Store whenever taxes or foreign exchange rates change. Within the next 36 hours, prices will increase in the following App Store territories:
Purchases on the South Korean App Store now include a value-added tax (VAT) of 10 percent. If you’re a developer based outside of South Korea, we’ll pay the VAT that we’ll be collecting for you. If you’re a developer based in South Korea, you’re still responsible for paying the VAT.
Because of the price increases, customers with auto-renewable subscriptions on the South African, South Korean, and Turkish App Store will need to resubscribe. However, although the prices are also changing for subscriptions on the Mexican App Store, we won’t interrupt those.
We’ll send an email to your subscribers in these territories shortly before their subscription renews to let them know that the price of their existing subscription will increase. The email also has a link that will let customers resubscribe, or in Mexico, turn their subscription off.
In addition, we’re also adding two new low-price tiers, Alternate Tier A and Alternate Tier B, for the Indian, Indonesian, Mexican, Russian, South African, and Turkish App Store. We’ll update prices for existing apps and In-App Purchases that already use the Alternate Tier A and Alternate Tier B price tiers on the Chinese App Store.
You’ll be able to review the new prices in the updated price-tier matrix in Rights and Pricing in My Apps within the next 36 hours.
Have any questions? Get in touch.
The App Store team