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No, reinstalls and updates don’t get counted. This is in the linked page: “each first annual install per year over a 1 million threshold”.

This applies only to iOS Apps. iPad OS and Watch OS isn’t (yet) covered by this Core Technology Fee.

I strongly suggest actually reading the linked page. Most of what you’re saying is clearly and obviously wrong, had you read the page.

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"A first annual install may result from an app’s first-time install, a reinstall, or an update from any iOS app distribution option — including the App Store," [0]

So update do counts it just in a year (12 months) install, reinstall and update is counted as one. But once user bought a paid app and installed it then next year if that user update app developer will have to pay for this update

[0] https://developer.apple.com/support/core-technology-fee/

I saw some games already got late update for iOS and I'll expect it'll only getting worse

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