iOS Facebook, Instagram apps to charge Apple service fee for boosted posts

Meta is about to implement a 30% fee for those who wish to boost (enhance) the visibility of their posts on the Facebook and Instagram iOS apps, a response to Apple's 2022 App Store update that mandates a 30% cut from such digital transactions.

This charge targets ads or "boosted posts" designed to expand content reach, necessitating that boosts purchased on iOS be processed through Apple, thereby incurring the 30% service charge before taxes.

“The change, which goes into effect later this month, stems from a 2022 App Store update where Apple extended its typical 30 percent cut of digital purchases to boosted posts, which are essentially ads. The change particularly targeted Meta and other social apps that let people pay in-app to increase the reach of their content”, reads a report by The Verge and adds that Meta notes in a statement that small business owners and influencers who want to purchase a boost on iOS will now be billed through Apple, “which retains a 30% service charge on the total ad payment, before any applicable taxes.”

Meta says purchasing boosts via Facebook and Instagram’s desktop or mobile websites is how to get around the Apple fee that is being passed on to iOS users. The alternative imposes significant constraints on iOS app users, who must now preload funds with an additional 30% fee to cover Apple's transaction costs. This new payment method will debut in the US, with plans to expand to other markets later.

“We are required to either comply with Apple’s guidelines or remove boosted posts from our apps,” Meta says. “We do not want to remove the ability to boost posts, as this would hurt small businesses by making the feature less discoverable and potentially deprive them of a valuable way to promote their business.”

Meanwhile, Apple defends its policy, asserting that digital goods and services within apps must utilize In-App Purchase, including boosted posts.