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That's the whole point. The distinction between digital goods and everything else is 100% arbitrary. Why should a developer who sells car rides be treated any differently than a developer that sells games?

Because real world goods and services are very different than digital goods? People have explained the economic theory behind these differences a hundred times on the various Epic threads on here.
 
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I have never had to call apple to cancel a subscription, get a refund, etc. I have never downloaded malware of the App Store. I can trust that my less-technically-inclined family members don’t have to worry about these things either.

Are you too young to remember what it was like before the App Store?

I literally just said I've been on the internet downloading applications since 1994 when I first got the internet. And have had no malware issues. But hey, I get it, you need to be protected from the big bad scary world
 
Because real world goods and services are very different than digital goods? People have explained the economic theory behind these differences a hundred times on the various Epic threads on here.

Yes, so different indeed, enlighten me. Physical goods were created by.... someone other than apple, exchanged hands via people other than Apple........ virtual goods were..... created by someone other than apple, and exchanged hands via people other than Apple.
 
Anyone that signs an agreement and then decides to want to change the details/rules of the agreement won't fly in a court of law. Agreement is exactly that. Apple is abiding by that agreement so should Epic. Nobody is stopping Epic from getting off the iOS app store!
Yeah, yeah we know, they all agreed:
 
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Because real world goods and services are very different than digital goods? People have explained the economic theory behind these differences a hundred times on the various Epic threads on here.

And now Apple will have a chance to explain it to the courts and to the various regulatory bodies as to why the distinction is necessary and doesn't harm consumers. Remember, Apple is making the call based on nothing more than the product being sold. No distinctions based on the size of the business or the payment processing system they use. A company like Epic with a billion dollars in revenue can't use their own system because of "security" but a person selling thrift-store clothes out of their bedroom is somehow perfectly trustworthy.

This isn't going to be the slam dunk for Apple a lot of people think it will, particularly in the EU.
 
All the people rooting for Apple here - are any of you actually developers that sell apps or In-App Purchases?

I can’t imagine anyone that has put in the thousands of hours of work to make an app, then thinks it’s cool that Apple does virtually nothing but receives a 30% cut.

What Apple does here is rent seeking, plain and simple. They’re a leach providing nothing of value. They’re a middle man to an actual payment processor which would charge less than 3% (and Apple has likely negotiated for a much lower rate than the 3% an independent developer would pay.) Apple charges 10x while adding absolutely nothing, just because they can.

The practice is without a doubt immoral, and I expect that at least some courts in the world will find it illegal.

Apple has aggregated the best customers in the world, and its value is in the customer acquisition for the developer.

The chief reason why people are more open to purchasing apps is because they can install it with a tap from the App Store. Just as importantly - they can get rid of it if they later decided that they didn’t like it. This is the reason I have purchased as many apps as I have and Apple deserves credit for that.

Way more apps than if I had to visit individual websites and purchase them individually.

This is precisely Apple’s argument - It’s not just that they have a “monopoly” on iOS devices. It’s that they have created a trusted environment filled with customers who have credit cards already on file such that trying and buying apps is far more low friction than it would be elsewhere.

Now we can argue how much Apple should take, how much Apple should allow different business models, how they should be more or less strict with curation, etc, but the point is that what Apple has done here is significantly more valuable than simple payment processing. Why should they be barred from capturing that value?
 
All the people rooting for Apple here - are any of you actually developers that sell apps or In-App Purchases?

I can’t imagine anyone that has put in the thousands of hours of work to make an app, then thinks it’s cool that Apple does virtually nothing but receives a 30% cut.

What Apple does here is rent seeking, plain and simple. They’re a leach providing nothing of value. They’re a middle man to an actual payment processor which would charge less than 3% (and Apple has likely negotiated for a much lower rate than the 3% an independent developer would pay.) Apple charges 10x while adding absolutely nothing, just because they can.

The practice is without a doubt immoral, and I expect that at least some courts in the world will find it illegal.
You are obviously too young to have any context for how things worked before the App Store or on-line distribution if you think Apple is providing nothing of value. I assume since you do not see value in the App Store you would be willing to see it dissolved and go it alone with distribution and marketing? Thankfully I do not think your self-destructive wish will come true.

Do I wish the fee, which is consistent across the industry and has been around since the start of iTunes, was less than 30%? Of course I do, I would make more money, duh! Do I think there is no value in the Apple App Store? No, because I remember before App Stores and know for a fact I am better off now than I was then.

By the way, Apple haters, 30% is an industry standard which is just one reason the Epic challenge is BS
 
What Apple does here is rent seeking, plain and simple. They’re a leach providing nothing of value.


LOL. Then since Apple provides nothing of value, Epic Games shouldn’t waste its time, and won’t mind not being on Apple’s platform (you know, the platform that Apple has spent years and many Billions of dollars, and continues to spend billions building and maintaining.).
 
You are obviously too young to have any context for how things worked before the App Store or on-line distribution if you think Apple is providing nothing of value. I assume since you do not see value in the App Store you would be willing to see it dissolved and go it alone with distribution and marketing? Thankfully I do not think your self-destructive wish will come true.

Do I wish the fee, which is consistent across the industry and has been around since the start of iTunes, was less than 30%? Of course I do, I would make more money, duh! Do I think there is no value in the Apple App Store? No, because I remember before App Stores and know for a fact I am better off now than I was then.

By the way, Apple haters, 30% is an industry standard which is just one reason the Epic challenge is BS


LOL Such a joke. No idea how old he/she is, but I've downloaded (and distributed) software online for 30 years. Its not rocket science, its not expensive. I find half my iOS apps from websites with the big "Download from App Store" button, Apple isn't providing that discovery service for me.

Does Apple provide value? Sure. 30% worth on In-App purchases? Absolutely not. Apple Haters.....you guys sure are a friendly group. I get defined in that category around here all the time, yet between me and my businesses, I've bought over $100k of Apple products in the last 20 years...and I seem to constantly get told to go use a PC or Android. People can disagree with business practices without being Apple "Haters"
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LOL. Then since Apple provides nothing of value, Epic Games shouldn’t waste its time, and won’t mind not being on Apple’s platform (you know, the platform that Apple has spent years and many Billions of dollars, and continues to spend billions building and maintaining.).

You could turn that around. If App developers didn't provide anything of value, Apple shouldn't bother with allowing 3rd party applications. I'm sure they would sell billions of units without 3rd party apps.
 
30% seems high and arbitrary, especially for in-app purchases in non-game apps.

But then, I remember the world before iPhone and the App Store... to suggest Apple brings no value to the equation is absurd and takes a great deal for granted.

Seems to me a more nuanced and maybe tier-based/type-based fees structure would make sense given how the ecosystem has evolved over the last decade.
 
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Personally I agree with EPIC here, not necessarialy the manner in which they started this fight, but what they are fighting for. It is near impossible for the "average( developer to make any money these days, becuase of the 30% "Apple Tax", the monopolistic restrictions mandating, how where and to whom you can distribute your work. People have said if you don't like it, don't use it. Well unlike in the past, you have no choice. To service the Apple market, you are subject to their rules. And unlike a "brick and mortar" store, the "cost" of maintaining a digitial market place is pennies per app .

And I wonder if/when DISNEY will become involved... as they have a horse in this race. The new STAR WARS "Galaxy Edge" at the California and Florida Theme Parks has a HUGE investment in the Epic Unreal Engine (it powers the Milliemum Falcon and other attractions), not to mention used in the production of "The Mandalorian".

Too bad all that stuff is being run on Windows. Virtual Production is almost entirely Windows at the moment. That might change when Big Navi Cards get released as they will be beefed up Playstation 5 series cards.

Also Epic already has their own marketplace store; so they are already paying for that infrastructure.

I personally feel Apple has turned into an arrogant company; and has stifled competition overall when it comes to the platform.

I am siding with Epic on this one. And the person who thinks Epic is China based....get real. Tim Sweeney is the CEO and one of the founders.

30% for doing almost nothing is a hefty commission in my opinion. Does Apple Pay their corporate sales people a 30% commission?
 
Apple has aggregated the best customers in the world, and its value is in the customer acquisition for the developer.

The chief reason why people are more open to purchasing apps is because they can install it with a tap from the App Store. Just as importantly - they can get rid of it if they later decided that they didn’t like it. This is the reason I have purchased as many apps as I have and Apple deserves credit for that.

Way more apps than if I had to visit individual websites and purchase them individually.

This is precisely Apple’s argument - It’s not just that they have a “monopoly” on iOS devices. It’s that they have created a trusted environment filled with customers who have credit cards already on file such that trying and buying apps is far more low friction than it would be elsewhere.

Now we can argue how much Apple should take, how much Apple should allow different business models, how they should be more or less strict with curation, etc, but the point is that what Apple has done here is significantly more valuable than simple payment processing. Why should they be barred from capturing that value?

I don't think anyone is seriously arguing Apple be barred from capturing that value. If the value is there then the developers will willingly take advantage of it. An environment where Apple maintains the payment system, collects the money from the customers, and remits it to the developers does make it much more effective for people to create, distribute, and monetize their work without needing a bunch of additional services. That is worth something to some developers, but not all.

Split the Appstore services into segments and let the developers choose what works for them. Let Apple adjust the fee structure to be business neutral. What you will find is there is uncaptured value to companies like Uber who are making massive revenue through the app but not paying Apple a dime while companies like Epic are subsidizing the entire Appstore and that needs to be straightened out.

App distribution definitely has value, and that is something Apple apparently is not adequately leveraging across the board.
 
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“Virtually nothing”.

Let’s you develop the hardware, develop the OS and develop the store that this all relies upon, plus host, distribute and transact the apps, and consider your work “virtually nothing”.

I am curious, what apps have you developed that currently appear in the Apple App Store? Some good ones, I trust?
 
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People arguing that Apple provides value by providing the platform tend to forget that the apps are what makes the platform valuable. Would you want an iPhone/iPad if it didn’t have Facebook, Instagram, YouTube, Netflix, Google Maps, Waze, SnapChat, you banking apps, investment apps, smart home apps, security apps, Slack, MS Office, WeChat, Zoom, Hulu, Disney Plus, Amazon Prime Instant Video, and much more?

Imagine if literally ALL of these third party apps ceased to exist on iPhone and iPad. The platform would be worthless.

So yes, Apple needs third party developers quite badly. They should treat them better.

If I remember correctly, the iPhone included none of that in 2007.
...And still sold in gigantic numbers.
 
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Personally I agree with EPIC here, not necessarialy the manner in which they started this fight, but what they are fighting for. It is near impossible for the "average( developer to make any money these days, becuase of the 30% "Apple Tax", the monopolistic restrictions mandating, how where and to whom you can distribute your work.

And the unfinished apps, shoddy coding, poor support, overinflated value of the apps target market, and general mentality that a developer can live off one half-baked app which basically provides a single feature of what should be a much more complex application.

There are some really strong apps made by passionate creators who have found they rarely, if ever, need to offer a discount on their product. I have no issue paying and suggesting people pay DEVONthink $150. The Pixelmator team only has 4 apps and they are all strong products that willing people pay for. Dark Sky did well. Nintendo has a good thing going.

Let's start by assuming that at least half of all studios will fail in their first few years. Then notice that unlike most businesses app development is fairly low cost to get started in and this increases both player and failures. Then, lets note that a failed company doesn't have to remove its app, so all new apps have to differentiate and compete with every app ever released. It's hard to succeed because it's so easy to try. That's Apple's fault, sure, but also why the market is so accessible.

It's not the 30% revenue cut holding back most developers.

It's the developers.
 
If I remember correctly, the iPhone included none of that in 2007.
...And still sold in gigantic numbers.

Yes, "Gigantic Numbers"... in a market with no real competition.
I'm sure the iPhone would have their current 1.5 billion devices worldwide if they had no 3rd party apps and Google did.

Actually, if Apple never opened up iOS, I'm pretty sure we would be in an Android/Windows Phone duopoly and iPhone would be a historical footnote.
 
And the unfinished apps, shoddy coding, poor support, overinflated value of the apps target market, and general mentality that a developer can live off one half-baked app which basically provides a single feature of what should be a much more complex application.

There are some really strong apps made by passionate creators who have found they rarely, if ever, need to offer a discount on their product. I have no issue paying and suggesting people pay DEVONthink $150. The Pixelmator team only has 4 apps and they are all strong products that willing people pay for. Dark Sky did well. Nintendo has a good thing going.

Let's start by assuming that at least half of all studios will fail in their first few years. Then notice that unlike most businesses app development is fairly low cost to get started in and this increases both player and failures. Then, lets note that a failed company doesn't have to remove its app, so all new apps have to differentiate and compete with every app ever released. It's hard to succeed because it's so easy to try. That's Apple's fault, sure, but also why the market is so accessible.

It's not the 30% revenue cut holding back most developers.

It's the developers.

Hating on developers.....

Where is the Steve Balmer Developers, Developers, Developers video when you need it?
 
I would love an iPhone that had nothing but Apple apps. It’s the gushy, gooey safe ideal I’ve always wanted in a ecosystem. Keep all that bad stuff out, only Apple does anything in this world correctly. I cannot fathom them doing something wrong. Apple is good, Apple developers are good. Everyone else (and I do mean everyone) is the bad guy.

Sounds snarky...but in case this is serious.....
You can have that.....go buy an iPhone and never install anything. Done
 
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I don't think anyone is seriously arguing Apple be barred from capturing that value. If the value is there then the developers will willingly take advantage of it. An environment where Apple maintains the payment system, collects the money from the customers, and remits it to the developers does make it much more effective for people to create, distribute, and monetize their work without needing a bunch of additional services. That is worth something to some developers, but not all.

Split the Appstore services into segments and let the developers choose what works for them. Let Apple adjust the fee structure to be business neutral. What you will find is there is uncaptured value to companies like Uber who are making massive revenue through the app but not paying Apple a dime while companies like Epic are subsidizing the entire Appstore and that needs to be straightened out.

App distribution definitely has value, and that is something Apple apparently is not adequately leveraging across the board.
Why should Apple do that, split the app store? It isn't in their best interests, or the customers best interests. Sure I understand why a developer would want to get on Apples infrastructure for free, but that's not the way it works.

The iphone is a lucrative minority market, which Apple owns. Want a slice of the Apple? Then you have to play by their rules.
 
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