Phil Schiller has stepped back from running the App Store, handing oversight back to services chief Eddy Cue as Apple looks for new ways to increase revenue from the platform under new CEO John Ternus.
Schiller, 66, had led the App Store since 2015 and will now work on unspecified projects. His departure comes as Apple considers ways to raise margins on the platform, a direction he reportedly opposed.
The change also brings Cue back to a role he held before Schiller took over. Carson Oliver, a longtime member of the App Store team, will handle its day-to-day operations.
Schiller’s concerns go back years
Schiller’s objections are consistent with comments he made during Apple’s legal fight with Epic Games.
In February 2025, he testified that he initially opposed Apple’s plan to charge a 27% commission on purchases made outside the App Store.
He warned that the fee could create an “antagonistic relationship” with developers and said Apple could end up acting as “some kind of collection agency” that had to audit developers who failed to pay.
Apple is now facing a very different App Store landscape. Regulatory changes have reduced the fees it can collect, putting more pressure on the company to find other revenue sources on the platform.
App Store revenue is under pressure
Apple stopped collecting fees from App Store link-outs in the U.S. in April 2025 after a federal judge found the company in contempt of court over its 27% commission.
The Supreme Court has agreed to hear Apple’s challenge to that ruling but has not yet decided the case.
Regulatory changes are also affecting Apple’s broader Services business. During its July earnings call, Apple said those changes had started to weigh on Services growth.
Revenue reached a record $30.7 billion for the June quarter, but missed the $31.4 billion analysts had expected.
Appfigures found another sign of pressure. Apple’s U.S. App Store commission revenue fell 18% from the start of 2026, with revenue also declining in Brazil and Japan after new regulations took effect.
Eddy Cue takes back control
With Schiller stepping aside, Cue is taking back oversight of the App Store, a role he held until 2015. Carson Oliver, a longtime member of the App Store team, will handle day-to-day operations.
The leadership change puts one of Apple’s most closely watched businesses back under Cue as the company looks for ways to make up for lost revenue. Exactly what those changes will look like is still unclear.
Apple could raise fees, introduce new charges for developers, or find other ways to increase App Store revenue. For now, the company has not disclosed which approach it is considering.
