Apple to Halve App Store Fees for Subscription Video Apps

[MacRumors]

To appease video content makers and lure new video services to the App Store, Apple plans to cut the fees it charges streaming video apps, reports Bloomberg.

Apple normally takes a 30 percent cut of all App Store app purchases and subscriptions, but for subscription-based streaming video apps like Netflix and Hulu, Apple plans to cut its fee to 15 percent. Apple has already reduced the fees for some of its video partners, and will soon extend the 15 percent rate to all subscription video services that are integrated with the company's upcoming TV app.

Apple's hefty cut of sales made via its App Store has long angered partners, some of whom have accused the technology giant of anti-competitive behavior. The concessions speak to the growing importance of video to Apple, which next month will introduce a new app devoted to TV shows and movies.

For non-video subscription apps, Apple will continue to charge 30 percent, but will reduce that amount to 15 percent after an Apple customer has been subscribed to the service for a year, a change that was announced earlier this year.

Fee reduction rumors come as Apple is preparing to launch the aforementioned TV app, which will be available on both the fourth-generation Apple TV and iOS devices. Currently in beta testing, the TV app is designed to make it easier for users to find content to watch across multiple apps.

Because TV app is reliant on third-party content providers, it is in Apple's best interest to lure as many content providers to its platform as possible for the best user experience.

Article Link: Apple to Halve App Store Fees for Subscription Video Apps

 

[Schwyz]

Take that, "Apple is greedy" people!

/s

 

[ip67]

Initially read the article title as: "Apple to have"

 

[iSRS]

Your move, Amazon. Your move.

Also, DirecTV Now is coming any day. Coincidence?

 

[Schwyz]

Initially read the article title as: "Apple to have"

Initially read the article title as:

Apple to release new MacBook *PRO*, Mac Pro, Mac Mini, Thunderbolt Display, AirPods, edge-to-edge iPhone, TOMORROW!

You can't even begin to imagine my disappointment when I found I was mistaken.

 

[cariacou]

Please everyone forward this article to Jeff Bezos

 

[usersince86]

Nice move. (Will savings filter down to the consumer?)

 

[jeff051177]

About time..... this was (is?) and anti-competition lawsuit waiting to happen. I get it that anti-competative behavior is viewed as "good business sense" by the public in the US, but as consumers, stifling competition is against our interests.

 

[oneMadRssn]

Interesting that they aren't also doing this to music subscription services. Coincidence that Apple happens to have a competing music subscription service, but offers no competing video subscription service?

 

[pat500000]

"To appease video content makers..."

Only if new desktop computers were available.

 

[alfonsog]

I'd just like it to play uv movies somehow.

 

[npmacuser5]

Apple created the Amazon Fire TV by their business practices. Now that they have created a major force against them not only in the TV but music and speaker markets, the light is finally coming on. Hope this move works as I would really like the ability to finally use one streaming device, Apple.

 

[jimbobb24]

Apples "hefty" cut. Pretty sure we have gone over this a billion times but the rates apple charges are very competitive. But this problem has always been odd to me since you can just register through the internet and Apple gets nothing. It works really smooth.

 

[PortableLover]

Take that, "Apple is greedy" people!

Apple still charge the same price for a mac pro technology which is over 3 years old(ivy bridge ep came out sep 2013)

 

[Cigsm]

No it wasn't. Apple is able to bring an app from you to their 1 billion users, using their infrastructure. Taking 30% of the revenue of that is standard.

About time..... this was (is?) and anti-competition lawsuit waiting to happen. I get it that anti-competative behavior is viewed as "good business sense" by the public in the US, but as consumers, stifling competition is against our interests.

 

[BeefCake 15]

Apple still charge the same price for a mac pro technology which is over 3 years old(ivy bridge ep came out sep 2013)

LOL! Gotta pee on his parade

 

[ErikGrim]

This is obviously to entice the video streaming services *cough* Netflix *cough* that hasn't signed up for the TV app to do so.

 

[mateytate]

Take that, "Apple is greedy" people!

You think Apple are doing this to be nice to the consumer? They're doing it because no one was biting with that ridiculous 30% they were charging, they had to do it. Don't think otherwise.

 

[moderngamenewb]

Initially read the article title as: "Apple to have"

Me too. Until I read the article, I thought it was a typo, or grammatical error, LOL

 

[garylapointe]

That should really help the TV app!

 

[turbineseaplane]

I actually think it's still too high for this application type.

 

[Juicy Box]

This is obviously to entice the video streaming services *cough* Netflix *cough* that hasn't signed up for the TV app to do so.

Maybe. I was thinking Amazon Video on the ATV4.

 

[nwcs]

What this means is that Apple is realizing they can't treat all content the same or the content players walk. It's a smart move because the content makers own the keys to the castle and apple (or another) is merely a conduit.

 

[orbital~debris]

Because TV app is reliant on third-party content providers, it is in Apple's best interest to lure as many content providers to its platform as possible for the best user experience.

 

[chiefsilverback]

Please everyone forward this article to Jeff Bezos

I wonder if Amazon will announce something tomorrow to sync up with the premiere of the Grand Tour on Friday?