Apple used its WWDC keynote to unveil a new pricing tier for AI services aimed at indie developers. Teams that have logged fewer than 2 million first‑time App Store downloads can run the company’s Foundation Models on Private Cloud Compute without incurring any cloud API fees. The move promises frontier‑grade models with Apple’s privacy guarantees while eliminating infrastructure costs that often deter early experimentation.

Apple ties the program to its Small Business initiative, which already lowers commission rates for apps under the 2 million download mark. The updated Foundation Models stack now supports image input and permits third‑party cloud backends, letting developers run complex workloads without extra fees. With Meta and Amazon scaling back AI incentives, Apple’s free tier gains a competitive edge.

By removing cloud API charges for sub‑2‑million developers, Apple positions its private‑cloud AI as a cost‑effective alternative to mainstream services. The policy could drive a wave of niche apps that leverage on‑device privacy while avoiding the overhead of public cloud pricing. Apple’s strategy now hinges on whether the waived fees translate into measurable significant app ecosystem growth.