As unfortunate it may sound, Apple has reportedly increased the app prices and prices of in-app purchases on the App Store in few select countries including India. Not only this, India will be affected the most by this decision and will see the maximum percentage increase in the prices. The reason behind this increase has been confirmed by the Cupertino-based company a while back. However, this will not apply to purchases done on iTunes or Apple Music.
The story was first spotted by 9to5Mac when the company first confirmed the price hike to developers via email. Apple has previously stated that it will start charging a service tax of 14 percent plus 0.5% for Krishi Kalyan Cess (KKC) and Swachh Bharat Cess (SBC) starting December 1.
Previously, Apple would charge Rs 60 for a $0.99 purchase, but now the company will charge Rs 80 for every $0.99 of purchase from the app store. Putting this into figures, the prices will now be 33 percent more than earlier. Moreover, India is not the only loser in this case as countries like UK and Turkey are equally affected by this decision. The iPhone manufacturer will now charge GBP 0.99 for every $0.99 as compared to GBP 0.79 for every $0.99 charged previously. Apple is said to have taken this decision because of the recent Brexit episode. In other words, to match up the depreciated value of Great Britain Pound, the users in the United Kingdom will now experience a 25 percent increase in app prices and in-app purchases. For Turkey, the App Store will now charge TRY 3.49 for every $0.99. Earlier, this equation was TRY 2.49 for every $0.99 making it a percentage increase of 30%.
The Indian Express quoted a statement from a recent press release from Apple as – “Price tiers on the App Store are set internationally on the basis of several factors, including currency exchange rates, business practices, taxes, and the cost of doing business. These factors vary from region to region and over time.â€
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