How much does Apple charge for free apps hosted on the app store?

Doing some ground work on an entrpreneur project and trying to understand the variable cost of an app.

For distribution costs, does Apple charge for a free app?

App is similar to other P2P payment apps with the revenue coming as a % of money paid to other users.

thanks all


An Individual Developer Account, required for distribution via the app store, goes for an annual fee of USD$99, regardless of whether or not your app is free or paid. There are no separate 'hosting' fees otherwise.

Note that Apple does take a percentage of revenue when users transact a paid app and/or an In App Purchase.

Be sure your app/model follows the App Review Guidelines / Section 3 Business

Post not yet marked as solved Up vote reply of KMT Down vote reply of KMT

Apple does not change anything for a free app. If a transaction unlocks any code or functionality in the app then it must be done through Apples In App Purchase system and Apple will take 30%. If your transactions are for services outside of the app then you can use a third party payment system and Apple will not get anything. It is unclear whether or not you can embed that third party payment system into the app itself or whether you need to indirectly transfer the user to software outside the app for such transactions (see 3.1.1 first bullet pount and 3.1.5).


I think that you should not charge anything for a free app, but take a 40% charge of in game purchases and ad revenue.