Meta to Charge Advertisers More Due to Apple's Fees

Meta is planning to make advertisers pay more if they want to promote posts on Facebook or Instagram using Apple's devices. This is because Apple charges a 30% fee for payments made through its system. Meta will start adding this extra cost to the bills of advertisers who boost their posts through the Facebook or Instagram apps on iOS devices. The change is happening because Meta needs to follow Apple's rules or stop offering the boost post option in their apps. They have chosen to follow the rules but pass the extra cost to the advertisers.

Advertisers have a way to avoid paying more. If they boost their posts through the Facebook or Instagram websites on a computer or mobile browser, they won't have to pay the extra fee. However, buying boosts inside the apps on Apple devices is easier, so this change may not be convenient for everyone.

Meta is doing this to challenge Apple's control over app payments. By making advertisers aware of the extra cost, Meta hopes to encourage more people to question Apple's policies. Companies like Epic Games, Spotify, and Match also disagree with Apple's payment system because it takes a 30% cut of their sales.

Another new rule is that advertisers must pay upfront for their boosted posts if they use Apple's payment system. This means they have to add money to their accounts before boosting a post, which will include the 30% fee. Adding money through the web won't have this fee.

This change is starting in the U.S. and will happen in other countries later. Meta and Apple have been competing more as Apple has been making more money from advertising. Meta has complained about Apple's privacy changes and new EU rules affecting its business, but it has managed to increase its profits recently. Apple insists that its app store rules have always been clear and that it has been helping Meta adjust to them.

Advertisers boosting posts via iOS apps will incur extra fees due to Apple's 30% payment charge.
Photo: Digital Information World - AIgen/HumanEdited

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