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Yes this is my question. Is it 15% up to $1M annual sales and then 30% for anything over $1M? Or is it once a developer gets to $1M+ annual sales and stays there it’s 30% from the first dollar?
I have been looking it over and it is confusing. Is the 1M gross or net? At 1M gross it appears to come out to be $1,428,571.42 gross. The cross check of 1M/0.7 - 1M/0.7*0.3 = IM works so that looks like the correct value.
 
I wondered if some form of a tiered rate was going to happen? I think its not because of the litigation and complaints but now that apple silicon is available All iOS & iPad apps now have an even broader reach...
 
Yea, there are a lot of people who think this is great but how will it impact the security and stability of the App Store? Who’s going to be checking the rush of new developer’s who just want to disrupt and destroy with their malicious code? Hoping this is not the beginning of the end for the App Store as we know it.
How on earth would reducing fees for smaller developers have any impact on security? I don’t see any change in the level of incentive one would have or not have to “rush to the App Store with malicious code.”
 
So many posters here were adamant that the fees should not be changed whenever a story of a lawsuit was posted. I don’t see many dissenters now? :D

I was of the opinion that the fee was fair, because it was what they signed up for. Apple never pretended they set up the App Store as a gift. 30% is pretty high, yes, but the market clearly could bear it.

That said, I’m happy for the small developers that it’s being lowered for them. I think a two-tier system makes a lot of sensed, especially as it encourages indie devs to keep updating their apps and not make them orphans.

One can reasonably think the original contract was fair, and simultaneously be happy with the change.
 
This is great. I’m a dev that doesn’t earn even close to that limit so very nice indeed.
Imagine getting near the end of the year and sitting at 990k income. Surely it would be better to pull the app and lose a bit to get the next year at 15%?
Wouldn’t it make sense to make the first 1m 15% and 30% for everything earned over 1m?
Obviously that’s how it’s going to be implemented.
 
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Still balk every time I see that 30% figure anyway. 30 per cent!


This is a really good move all round, from a PR perspective an a business one for the smaller devs. But still... thirty per cent!
 
Which is why you should never let up pressure on institutions - whether it's a corporate entity or a government.

This drop is not because of the magical "free hand of the market". It is simply under the pressure of scruity of anti-trust and judiciary frameworks and government pressure. And we will still continue to get innovations. A good example of markets and government meddling coexisting.

BTW, any revenue drop projections out because of this in 2021? Guess we will see it soon. Apple obviously would have already calculated this..

Apple is a reasonable and rational company when Steve Jobs was still the commander of the corporation.
 
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Let's be honest here, Apple is positioning this to fend off the various actions and criticism against them, doing it in a way that it will cost them less. But, having said that, it's a big deal for the smaller developer, so it's a win. But they are not doing it by choice, its a forced action.
Yep, its exactly a response to the regulatory commissions that are unhappy with their fees. The worlds most profitable company won't notice this change.
 
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Obviously that’s how it’s going to be implemented.
Are you sure? It's not at all clear that that's how it's going to be implemented, and the explanation suggests that it isn't the case. It's not a progressive taxation system, it looks to be a flat cut-off point.
 
This is a catastrophe approach from Tim Cook and Apple. It's going to disincentive the developer to make less than a million from the app store revenue and the department of justice believes that it is not a solution to the problem which Apple does not address the core issues that violated anti-trust laws.
Thats ridiculous. It’s like you have never paid taxes to understand how the progressive scale works. Of course the 1st million will be at the 15% commission fee regardless if you exceed 1 million in sales. Once you exceed the 1st million, the fee will go up to 30% on the sales that exceed the first million dollars in sales and not on the entire sale volume.
 
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I have been looking it over and it is confusing. Is the 1M gross or net? At 1M gross it appears to come out to be $1,428,571.42 gross. The cross check of 1M/0.7 - 1M/0.7*0.3 = IM works so that looks like the correct value.
That’s the number ($1,428,571) that makes sense to me based on the article. There could be some misunderstanding somewhere, we’ll find out more shortly I think.

An extra 15% of 1.43MM puts another $214k into the dev’s pocket. At least that’s how I read it.
 
Give EPIC the credit it deserves rather than the people who hate on the lawsuit by being unreasonable.
This isn't what EPIC wants, they don't get the EPIC game store on iOS and they don't get more money for themselves. Apple now give smaller devs more money and still do more for their cut than EPIC (Such as handling sales tax and VAT).
 
Let's be honest here, Apple is positioning this to fend off the various actions and criticism against them, doing it in a way that it will cost them less. But, having said that, it's a big deal for the smaller developer, so it's a win. But they are not doing it by choice, its a forced action.


Exactly, it is a shame that the world's most valuable tech company (Apple) can't lead with a good example before the antitrust lawsuit.
 
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This is a catastrophe approach from Tim Cook and Apple. It's going to disincentive the developer to make less than a million from the app store revenue and the department of justice believes that it is not a solution to the problem which Apple does not address the core issues that violated anti-trust laws.

This is so much stupid. It is like when people think someone paying 45% TAX is somehow at a disadvantage to someone on min wage. That person on 45% TAX gets more money.
 
This is a catastrophe approach from Tim Cook and Apple. It's going to disincentive the developer to make less than a million from the app store revenue and the department of justice believes that it is not a solution to the problem which Apple does not address the core issues that violated anti-trust laws.
US tax laws work the same way this Apple policy does. Do you think that people just stop making money at $1 million to not pay more in taxes? Nope.
 
Thats ridiculous. It’s like you have never paid taxes to understand how the progressive scale works. Of course the 1st million will be at the 15% commission fee regardless if you exceed 1 million in sales. Once you exceed the 1st million, the fee will go up to 30% on the sales that exceed the first million dollars in sales and not on the entire sale volume.

That's not what it means and you misunderstood my point, it does not make a lot of sense for the people who achieved million of sales due to diligent work and forced to pay more due to exceeding a threshold.
 
This totally undermines any argument for a 30% cut of bigger developers other than the ever popular "they have more money and I want it because fairness" argument.
 
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Still balk every time I see that 30% figure anyway. 30 per cent!


This is a really good move all round, from a PR perspective an a business one for the smaller devs. But still... thirty per cent!
30% is roughly half of what it cost when my company sold shrink wrap software at retail (Egghead Software, anyone? lol.) Wholesale distributors took 50-55% of our selling price.
 
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