TikTok may be taking a detour on the App Store to save on commissions paid to Apple. According to recent findings, the social video app owned by ByteDance has provided some users with a website link for purchasing coins used to tip digital creators. Typically, these coins are bought through in-app purchases, which incur a 30% commission to Apple.
This feature may be hidden from most users, possibly by design or because it's only visible to specific groups such as testers or high-spending users. Users who have access to this new option will see a screen encouraging them to "recharge" by purchasing more coins via tiktok.com. While these screenshots were discovered by TechCrunch tipster David Tesler within the iOS app, it's unclear how many TikTok users have seen them, when or how they are displayed, with the online purchase option appearing on an account that has previously bought a significant amount of coins.
In some instances, users may encounter a screen containing information like "Try recharging on tiktok.com to avoid in-app service fees," followed by a "Try Now" link. In other cases, a pop-up window may appear with the message "Try recharging on tiktok.com" along with additional information about potential cost savings. The message reads, "You can save on service fees and use popular payment methods," followed by a red "Try Now" button or a less prominent "Don't show again" option.
Users can enter the website tiktok.com/coin by clicking on the provided link to purchase coins. On this site, users can make payments using various methods such as Apple Pay, debit cards, or credit cards. The website informs users that purchasing directly through TikTok can save about 25% in fees, with "lower third-party service fees."
On the webpage, users can buy coin packages ranging from 70 coins to 17,500 coins, or even input a custom (higher) amount. In the app, coin packages start at 20 coins and go up to 16,500 coins, with no option for custom amounts.
This may indicate that TikTok only shows web links to users who typically make larger coin purchases at once.
Although Apple began allowing developers of specific apps to add website links within the apps as early as 2022, the usage is limited. The only apps eligible to offer these "account management" pathways are Apple's so-called "reader" apps or those whose primary function is accessing paid digital content. Furthermore, apps opting for external link privileges are also not allowed to offer in-app purchase services through the App Store.
Given that TikTok still offers the option for most of its users to make in-app purchases, it appears that even with the exception granted, it may not be complying with external linking rights rules (which is surprising).
TikTok and Apple have not yet responded to requests for comment. Tesla noted that when Fortnite inserted an option for users to bypass Apple's in-app purchases before filing an antitrust lawsuit against Apple, Apple banned the app from the App Store. It remains unclear what action Apple will take, if any, against TikTok.
The fate of TikTok in the United States remains uncertain as the law banning the app has been signed into effect by President Biden. However, the company has stated its intention to challenge the ban in court, much like it did during the Trump administration. Biden had initially planned to hold off on efforts to remove the app until a new bipartisan bill was passed in both houses of Congress.
