Here’s the thing I feel many people are not seeing.
The iOS App Store is home to a ton of developers, many of which produce free apps that don’t earn them any revenue (or at least, not the sort that Apple can levy a 30% tax on).
I don’t think the annual $100 developer fee comes anywhere close to covering the cost of hosting and vetting and supporting the app. So the rest of the money has to come from somewhere (assuming we don’t want the App Store to be run at a loss).
So Apple could either increase the annual fee (which would penalise your small developers, especially if they are still in school and are coding for fun or as an experiment), or tax a percentage of everyone’s earnings (so the more successful ones pay more, which in turn goes towards offsetting the costs incurred by the less profitable apps).
Increasing the fee would serve to drive away the very developers that Apple is trying to attract to their platform, so I can see why Apple is hesitant to do so. Larger companies like amazon or Uber or even Epic have no problems paying a few hundred dollars a year, and Apple doesn’t need to court them. They will be on iOS by virtue of iOS being home to the best customers, so this platform is impossible for them to ignore.
Second, US antitrust law focuses on whether harm has been done to the consumer. Developers by definition are not Apple’s customers, so I don’t think any developer has a case. Not in the US at least.
Epic wants to break away from the control Apple has over their own App Store by introducing their own App Store, but if you think developers will pass on reduced App Store fees to consumers if and when this happens , then you clearly don’t understand how businesses work. Or what happens when taxes are cut for the wealthy.
I am willing to go out on a limb and say that Epic will be the one to end up on the wrong side of history, as is anyone who takes their side on this day. If you are upset about Apple pulling Fortnite from the App Store for violating App Store guidelines, direct your anger at Epic Games / Fortnite, not Apple, because Epic is the one who knowingly and wilfully broke the rules in the first place.
Like I said - if it’s a fight epic wants, it’s a fight I hope Apple will give them. Expect no quarter, and give none.
Completely missing Apple's (and many others) business model.
They want to attract developers, so they make tools and APIs essentially free. They want developers because they want apps. They want apps because they want CONSUMERS. It's the end users that give Apple their dollars; the cost side of keeping developers is just a marketing expense. It's not a big factor in the overall scheme of things.
The biggest apps on the store are all free. Facebook, Youtube, Instagram, Netflix, etc.
Edit: in case it's not clear - Apple sees developers as a way to extract money from Apple customers. The cost of enabling developers is not the point. Thought exercise: Would Apple rather have the top 5 free apps (they get no store fees from) or Epic? You know the answer, and that's why they cut Epic loose.
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