What's Happening?
Setapp Mobile, an alternative app store launched by Ukrainian developer MacPaw in the EU, is shutting down. The store, which began operations in September 2024, offered a subscription model allowing users
access to various apps across categories like productivity and creativity. The closure is set for February 16, 2026, and is attributed to Apple's complex fee structure under the EU's Digital Markets Act. These fees include a Core Technology Fee, which charges developers €0.50 for each first annual install over one million. MacPaw cited these evolving business terms as incompatible with Setapp's current model, leading to the decision to cease operations.
Why It's Important?
The shutdown of Setapp Mobile highlights the challenges faced by alternative app stores in the EU, particularly in navigating Apple's fee structures. This development underscores the difficulties in maintaining a viable business model amidst regulatory changes. The closure impacts both developers and consumers, limiting options for app distribution and access. It also reflects broader issues within the tech industry regarding compliance with the Digital Markets Act, which aims to foster competition but may inadvertently complicate business operations for smaller entities.
What's Next?
With Setapp Mobile's closure, developers and users in the EU may seek other alternative app stores, such as the Epic Games Store and AltStore. MacPaw has expressed intentions to pursue other innovations, suggesting potential new projects or adaptations to their business model. The ongoing evolution of EU regulations and Apple's fee structures will likely continue to influence the landscape for app distribution, prompting further strategic adjustments by companies operating in this space.
