Ok, so why can't SI have a "reader" app and then sell each issue as a in-app purchase?
Ah, a very good point. Apple may want to prevent companies from pushing out content under a subscription that offends their sensibilities/App store policies (although the Wall Street Journal or other apps could do the same so it's still unusual).
As for the 30% cut, I really don't think Apple cares about it. It's just to cover costs. They make their money on the devices and the App store is just to sell more of those.
I don't really get it.
Zinio is in the App store and they handle magazine subscriptions through their web backend. In fact when you click on purchase issue within the App, mobile safari is loaded to proceed with the purchase.
I know people are going to freak out about Apple being "draconian" and "money-grubbing" but I see this as a legitimate debate because Apple is, in effect, becoming the publisher of the iPad edition of SI or whatever other magazines. Therefore, they have a right to claim money that would otherwise go to the (print) publisher. I'm sure they'll work out a deal -- we'll just have to be patient.
What I'm saying is... we don't know what SI wants on their end and maybe what they want... the part they have not disclosed... is not fair. So Apple has said "No".
Sounds like Apple is losing sight of it's proven model. Commoditized content to sell hardware. There's probably something more here than just subscription. Maybe the app is pulling personal info.
This is all about control. Apple wants control and the magazine publishers want control. But there is an alternative: publish your magazine through Zinio! Zinio is available for iPad, iPhone and any web browser. There you can have both single issues and subscriptions. I already subscribe to BusinessWeek, The Economist, and MacWorld through Zinio. Magazines don't have to have their own app. Zinio also has National Geographic, Motor Trend and many others!
I don't really get it.
Zinio is in the App store and they handle magazine subscriptions through their web backend. In fact when you click on purchase issue within the App, mobile safari is loaded to proceed with the purchase.
I know people are going to freak out about Apple being "draconian" and "money-grubbing" but I see this as a legitimate debate because Apple is, in effect, becoming the publisher of the iPad edition of SI or whatever other magazines. Therefore, they have a right to claim money that would otherwise go to the (print) publisher. I'm sure they'll work out a deal -- we'll just have to be patient.
Apple is not hosting each issue of the magazine unlike what was described for this one. Sports Illistrated wants Apple to host each issue of the content and provide the download services but not pay Apple for the services. Apple should say no to SI.
Reading the article (what a great thing to do, eh?) and reading this thread, it seems quite clear that Time is unwilling to use in-app purchases as a way to sell subscriptions. Why Zinio is allowed to let consumers get stuff separately (probably because it's a reader app and not a single magazine) via purchases made externally (Mobile Safari), I'm not sure.
Everyone has to remember... digital distribution is no different than store-front distribution. Barnes and Noble makes money for every magazine and book they sell through their doors. iTunes is their store and I'm sure they are just protecting their piece of the pie.
Who says this is the case? How do we know that SI doesn't want to offer the app for free (which they are allowed to do) and handle billing/downloading outside of the App Store?
Apps can't download from non-Apple servers?