Apple lets iOS apps use alternative stores, payment in Japan

Apple is making changes to iOS in Japan to comply with the Mobile Software Competition Act (MSCA), allowing developers to distribute apps through alternative marketplaces and offer new payment options.

Developers can distribute iOS apps outside the App Store if the marketplaces are authorized by Apple and meet ongoing requirements.

Apps distributed outside the App Store will undergo a notarization process, which is less comprehensive than the App Store’s review.

Developers may include alternative payment methods or links to external websites within their apps, alongside Apple’s in-app purchase system.

Apple said it will not be able to issue refunds or provide support for transactions made outside its payment system.

🔗 Source: Apple

🧠 Food for thought

Implications, context, and why it matters.

Apple’s Japan Mobile Software Competition Act (MSCA) compliance reveals incomplete fee transparency and process ambiguity

Apple lists 10% or 21% App Store commissions, adds a 5% fee for Apple In‑App Purchase, and sets a 5% core technology fee outside the App Store 1. Website transactions carry 15%, which drops to 10% for most teams when using web payments 1. The 10% rate applies to the Small Business Program (under 1 million revenue), the Video Partner Program (qualifying video services), the Mini Apps Partner Program (eligible lightweight apps), and to subscriptions after year one 1. Edge cases stay unclear 1.
Apple requires alternative marketplaces to meet ongoing requirements, but gives no technical specs, audit scope, or timelines 2. This creates planning risk for operators targeting Japan.
Notarization is a pre‑distribution vetting process that scans software for malware and other high‑risk behavior, and it covers basic functionality while guarding users from serious threats, with security standards and review criteria undisclosed 2.

Payment service providers can capture Japan’s digital wallet integration opportunity

Apple will not handle refunds or support for alternative payment transactions, so payment service providers (PSPs) offering Japan‑optimized payment orchestration can fill the gap 2. Orchestration means tools that route and manage multiple payment methods and providers. Coverage should include PayPay (a leading Japanese digital wallet with 70 million+ users 3), Rakuten Pay, and Konbini payments (cash or barcode payments made at convenience stores). Developers need full refund and chargeback management, with chargebacks defined as forced payment reversals initiated by customers through their bank.
Mobile commerce accounts for about 65% of Japan e‑commerce sales 4. QR code payments keep climbing 5. Fintechs that build mobile‑first checkout tied to Japan’s dominant wallets can win developer deals by easing friction from Apple’s in‑app purchase and external payments 1.