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Thats part of this new rule... Netflix will have to add the ability to pay in app and give Apple 30% of any subscriptions purchased in the app.

You're wrong, because right now there is not a link in the app that takes you to netflix to buy a subscription. Apple is baning the link to buy, not outside subscriptions.
 
It's a dirty move by Apple if you ask me... you'd think that the record profits they are posting would be enough to keep them happy without rocking any boats and looking for more money right now... guess not.

It is pretty shocking the amount of people defending this move by Apple... I don't think a lot of people are really understanding what is going on here. As consumers we are likely to see higher prices for subscriptions, netflix, ebooks, etc. somewhere down the road as a result of Apple taking profits from other content providers.


There is are good chance we will see higher prices, but its no different then a mall raising its rent on store owners.
 
Please correct me if I am mistaken, but after reading the press release, I do not see how the new subscription policy poses a problem to apps like Kindle or Netflix -- Apple's press release specifically references "publishers" of content. The last time I checked Amazon and Netflix were not publishers of books and film, companies like Harper-Collins (for books) and Paramount Pictures or Disney (for film) are the publishers with Amazon & Netflix as different distribution channels. I think these apps will be fine.
 
It is pretty shocking the amount of people defending this move by Apple... I don't think a lot of people are really understanding what is going on here.

no, its just a lot of people who probably work in retail. if youve ever owned a shop youd understand margin. its a mall, dude. its the Apple Mall, which they designed, funded, built, wired, advertised, and filled with customers. entirely on their own dime. you want to be in the mall, you pay rent. since apps can be free, that means if youre selling content you pay on that.

again -- this is MOOT if you build YOUR OWN CUSTOMER BASE outside the app, like netflix. see jobs:

when the publisher brings an existing or new subscriber to the app, the publisher keeps 100 percent and Apple earns nothing,​

...in these case netflix has done all the heavy lifting, thus they keep 100% the proceeds. but if i wanted to start a new service that i sell to customers via iOS w/ a free app and paid content, i gotta pay rent.
 
Because you can buy and companies can sell their products at many stores. You can not sell iOS products anywhere but through Apple. They have an absolute monopoly.
Well if you jailbreak, you can go to Cydia and purchase iOS apps there. All 100% legal. So game consoles that offer downloads of games must have "monopolies" as well since you can only get their downloadable games through the consoles. I don't think monopoly is the correct term. A closed market maybe? Then again, Kindle is a closed market. No one sells Kindle books except Amazon. Sure you can read them on lots of devices, but only Amazon sells them. Is that a "monopoly"??
 
Well if you jailbreak, you can go to Cydia and purchase iOS apps there. All 100% legal. So game consoles that offer downloads of games must have "monopolies" as well since you can only get their downloadable games through the consoles. I don't think monopoly is the correct term. A closed market maybe? Then again, Kindle is a closed market. No one sells Kindle books except Amazon. Sure you can read them on lots of devices, but only Amazon sells them. Is that a "monopoly"??

iOS is 100% a closed market, and Apple has never tried to hide this.
 
wrong, wrong, wrong.

if the app wants to sell *in-app*, it must pay 30% and also honor the same prices as on their out-app website. if an app wants to sell *out-app* only, and only serve/manage content in-app, they are free to do so.

see?

No, you are wrong. Anything that is offered for sale outside of the app must also be made available for in app purchase. Legacy apps have to be made to comply with this requirement by June 30th or they will be removed from the app store.

According to Digital Daily, publishers were sent a memo earlier this year to let them know they must offer content or subscriptions for purchase within their App Store application, providing Apple with a 30 percent cut.

http://www.appleinsider.com/article..._app_store_subscription_rules_by_june_30.html

However, Apple does require that if a publisher chooses to sell a digital subscription separately outside of the app, that same subscription offer must be made available, at the same price or less, to customers who wish to subscribe from within the app. In addition, publishers may no longer provide links in their apps (to a website, for example) which allow the customer to purchase content or subscriptions outside of the app.

http://www.appleinsider.com/article...s_in_app_subscriptions_for_ios_app_store.html
 
Please correct me if I am mistaken, but after reading the press release, I do not see how the new subscription policy poses a problem to apps like Kindle or Netflix -- Apple's press release specifically references "publishers" of content. The last time I checked Amazon and Netflix were not publishers of books and film, companies like Harper-Collins (for books) and Paramount Pictures or Disney (for film) are the publishers with Amazon & Netflix as different distribution channels. I think these apps will be fine.

Good catch. I'll have to re-read the press release.
 
You're wrong, because right now there is not a link in the app that takes you to netflix to buy a subscription. Apple is baning the link to buy, not outside subscriptions.

I'm not saying they are banning outside subscriptions. I'm saying that Netflix will be forced to add the ability to purchase a subscription inside the app. Some people will use it, some people won't. But for anyone that does, Netflix will have to give Apple 30%.
 
I'm not saying they are banning outside subscriptions. I'm saying that Netflix will be forced to add the ability to purchase a subscription inside the app. Some people will use it, some people won't. But for anyone that does, Netflix will have to give Apple 30%.

i disagree w/ your assessment... but i guess we'll see.
 
I'm not saying they are banning outside subscriptions. I'm saying that Netflix will be forced to add the ability to purchase a subscription inside the app. Some people will use it, some people won't. But for anyone that does, Netflix will have to give Apple 30%.

But here is the thing, Netflix can now offer an iOS only subsciption, which only works on iOS deivices as an in app purchase...
 
This is exactly how I think content providers should handle this. Anything you want to access on iOS should be 43% more expensive. Kindle or Nook books. Wired subscriptions or Netflix. All of it 43% more if you want iOS access. Problem solved and we all switch to Honeycomb. Your move Apple.

Couldn't agree more. The HP/Palm tablets and phones didn't look bad, and I'm sure they'd be more flexible with vendors to gain marketshare. I love my iOS devices, but I do not approve of what Apple is doing as it seeks to raise prices on all of us.

And for those saying these providers would have more sales, if you have more sales at a loss, you lose more money. More revenue does not automatically mean more profit.
 
Fairy tale ending

 may have finally figured out a way to kill the golden goose.
 
Please correct me if I am mistaken, but after reading the press release, I do not see how the new subscription policy poses a problem to apps like Kindle or Netflix -- Apple's press release specifically references "publishers" of content. The last time I checked Amazon and Netflix were not publishers of books and film, companies like Harper-Collins (for books) and Paramount Pictures or Disney (for film) are the publishers with Amazon & Netflix as different distribution channels. I think these apps will be fine.

You are mistaken. If your assumption was correct any company would be able to create an intermediary and offer free subscriptions in App Store.
 
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No, you are wrong. Anything that is offered for sale outside of the app must also be made available for in app purchase. Legacy apps have to be made to comply with this requirement by June 30th or they will be removed from the app store.

as i said, we'll see. just reading what jobs said about external vs internal sales:


when the publisher brings an existing or new subscriber to the app, the publisher keeps 100 percent and Apple earns nothing,

we'll know this summer tho.
 
It's more like forcing them to remove those things UNLESS they also offer an option of the store to sell the subscription for them IN ADDITION to the sub cards.

No it isn't. Apple is not allowing any options but their own. There is no "in addition". The only "addition" in the press relation is an additional constraint; not a consumer option. In many cases it is a replacement of what was already there ( link to website) to only Apple mechanism.

Apple rules don't allow the presentation of the subscription cards at all no matter if pragmatically available elsewhere or not.




From the customer's perspective they can say, "Alright <store> you already have my credit card information and look after the purchase plan for the TV I just bought, I'll subscribe through you since it's easy"

Apple isn't competing on being easier. They are just making themselves exclusive in-app option. Of course Apple's way is "easy" it is the ONLY way to do it.







or saying, "But then you're the middle man, right? I'll just take the magazine and use the subscribe card at home ..."

When there is no subscription card(or subscription contact information) at all it is going to be exceedingly difficult to take it home.

Sure you can go home and google the magazine name and look it up. However, that obviates the fact that a content provider (someone who delivers information for a living) is being constrained from delivering information. You didn't have to generate ad views for google to get that info. The content provider could have easily given it to you already.
 
But here is the thing, Netflix can now offer an iOS only subsciption, which only works on iOS deivices as an in app purchase...

So Netflix is going to rearrange it's subscription model requiring another subscription to get iOS streaming? Possible I guess, but not likely.. and they'd still have to give Apple their cut if the subscription is made in app.

The content providers may be willing to eat a slight reduction in profit margin, but most if it will eventually end up being passed on to the consumers... even if it takes a while to trickle down that far.
 
again, you cant have a monopoly over your own supply chain. its yours and is part of your product. its not a monopoly because companies and consumers can shop elsewhere

No, they can't. The market is for iOS programs. You can not shop elsewhere for iOS programs.

i hear Android is popular these days. WebOS, RIM, WP7...etc. they are all completely viable alternatives to selling on iOS.

So you think they sell iOS programs on those OSes? You buy them there, copy them over?

If you can, you have a point, otherwise, you don't, snide comments aside.

It's not a monopoly!

Then where else can I buy iOS programs?

You cannot buy chevy cars except from chevy dealers. You cannot buy an Outback steak except at Outback steakhouse. Geez.

This isn't the same thing. Why do we keep having to go through this? Can you only buy tires at a Chevy dealer? Your analogy doesn't work.

wrong. the product is the code -- the service the app provides. that knows NO BOUNDARY.
is Angry Birds on Android? yes. but, but you said...you said if its on iOS it cant be anywhere else!

:eek: I'm having a hard time believing posts like this are for real. You can not buy iOS Angry Birds on Android.

No, there are many many players in the cell phone app market. Apple has one store in the Mall, Google has one, Blackberry has one, Microsoft has one, the list goes on....

:eek: WOW. No. You can not buy iOS programs from Google, Blackberry, Microsoft, "the list goes on...".

Well if you jailbreak, you can go to Cydia and purchase iOS apps there. All 100% legal.

Maybe. Its illegal under the DMCA, but that exception for moving to a different carrier might apply... or not. Either way it's not officially supported, wrecks your warranty, is a security risk, etc.

So game consoles that offer downloads of games must have "monopolies" as well since you can only get their downloadable games through the consoles.

Yes, of course they are.

I don't think monopoly is the correct term. A closed market maybe?

Which is a monopoly.

Then again, Kindle is a closed market. No one sells Kindle books except Amazon. Sure you can read them on lots of devices, but only Amazon sells them. Is that a "monopoly"??

Yes, of course it is. But they're not trying to randomly charge Apple 30% for something they didn't make.
 
I think the thing that all of you Apple apologists are overlooking is that this policy will only result in subscriptions being 30% higher than they otherwise would have been. So either (a) the publishers play along with Apple, in which subscriptions will continue to be way to high (which is there biggest problem right now) and the iPad subscriptions simply won't catch on and the whole model will fail, or (b) the publishers will not play along with Apple, giving the (for now) more open Android format the opportunity to offer subscriptions in Apple's place.

Today, almost everybody who has a tablet has an iPad. But keep in mind that 20 years ago or so, almost everybody who had a personal computer had a Mac. Just as Apple's inability to embrace openness squandered their first mover advantage in the personal computer space, they could do the same thing now with the iPad. The best thing that Apple can do to make the Android tablet OS a resounding success is to push content providers away from iOS with a too-aggressive pricing strategy.
 
This is exactly how I think content providers should handle this. Anything you want to access on iOS should be 43% more expensive. Kindle or Nook books. Wired subscriptions or Netflix. All of it 43% more if you want iOS access. Problem solved and we all switch to Honeycomb. Your move Apple.

Apple was anticipating that move... not an option.

However, Apple does require that if a publisher chooses to sell a digital subscription separately outside of the app, that same subscription offer must be made available, at the same price or less, to customers who wish to subscribe from within the app. In addition, publishers may no longer provide links in their apps (to a website, for example) which allow the customer to purchase content or subscriptions outside of the app.
 
So Netflix is going to rearrange it's subscription model requiring another subscription to get iOS streaming? Possible I guess, but not likely.. and they'd still have to give Apple their cut if the subscription is made in app.

The content providers may be willing to eat a slight reduction in profit margin, but most if it will eventually end up being passed on to the consumers... even if it takes a while to trickle down that far.

30% is just outrageous for doing nothing. It's honestly astonishing they'd even try this, as it's going to get them legal action most likely. So I guess that actually could be a good thing in the long term for us.

You can't take 30% off something that's often operating on razer thin margins to begin with. But even if it's something with 90% profit, no one in their right mind is going to go along with this extortion.
 
30% is just outrageous for doing nothing. It's honestly astonishing they'd even try this, as it's going to get them legal action most likely. So I guess that actually could be a good thing in the long term for us.

You can't take 30% off something that's often operating on razer thin margins to begin with. But even if it's something with 90% profit, no one in their right mind is going to go along with this extortion.

I wouldn't say Apple is doing nothing, because they are providing the hardware and iOS platform for the apps to run on. But that said, 30% is way too much for things like Netflix subscriptions and ebooks.

Apple is already posting record profits, but they insist on continuing to add restrictions in hopes of making even more. I think Deliverator007 is right that if they get too greedy they will start pushing developers and consumers towards the Android tablets... especially now that there is some viable competition for the iPad popping up.
 
I can not believe how many people believe this statement.

Do you honestly think that being avaiable as a native iOS app on the built-in store on millions of iOS devices worldwide is worth nothing?

That's what Apple is selling. Exposure + a simple impulse buying method. It's their biggest asset. It's what they're charging for. It's something most MacRumors posters seemingly don't understand at all.

No wonder you all think it's a bad deal. You don't even know what Apple's selling here. That's what the 30% is for.

There is two things wrong with what you say. First of all Apple is not selling anything. If their offer was such a great deal for the publishers there is no need to strongarm everyone to follow along their rules. Selling and for that matter buying is a voluntary process. Apples tactics to change the rules after many publisher had invested money to be part of a different game is just shady (most likely even illegal, but that is for other people to decide).
Second, great apps and great selection is what made iOS the hug success. That is what makes Apple sells millions of iDevices and brings in more money then they can even use. It is not like this is a struggling company that desperately tries to monetize some of its success. It is a filthy rich company that got greedy.

T.
 
So Netflix is going to rearrange it's subscription model requiring another subscription to get iOS streaming? Possible I guess, but not likely.. and they'd still have to give Apple their cut if the subscription is made in app.

The content providers may be willing to eat a slight reduction in profit margin, but most if it will eventually end up being passed on to the consumers... even if it takes a while to trickle down that far.

They wouldn't have to rearrange anything. They would just say payy 99 cents to stream netflix to your apple device, on top of having to pay 7.99 a month for streaming elsewhere. In order to log into the app you have to have an account, from there you have to have the iOS streaming sub, which you can only buy in the app, and there you go all sides happy (well except for us customers/consumers).
 
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