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I feel like this is a distraction from the real problem: competition is not allowed. You’re still not allowed to publish an alternative App Store.

Please, don’t start with the “go make your own phone platform and make your own App Store if you want competition.” That’s like saying to go make your own fuel and roads/highways if you want to own a car dealership.
Apple App Store is not the only avenue of revenue for an app developer. Developers can choose to sell their products on Google Play, Samsung Store, Windows, x-box, play station, etc.
 
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I do agree, this would be far easier.
Simply charge EVERYONE 15% for the 1st million, then 30% for all earnings over the million mark.
Then everyone gets their 1st million at the lower rate, and those who generate vastly more will still pay the higher rate.

This is how our income tax works. It would be so easy, not need any messing around with paperwork, and not tempt people to mess about if they fear just going over the 1 million mark.
 
If I'm an independant developer and don't want to register as a business, because it costs about $2,000/year and I'm doing dev as a part time hobby and not sure if my app revenue will be higher than the expenses, can I still benefit from this 15% cut?
Independent developers are eligible; you don’t need to create a legal business entity.
 
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I suspect you've never owned and operated a retail business. Doing some research will greatly benefit you.

If you have inside information in Apple's actual business you wouldn't be here. Your logic is invalid - my Ph.D. is not.
 
The fact that any "shop" can charge 30% is stupid. App Store, Steam, etc. Apple smelled that the EU legislation monster was waking up to do what the US government was unwilling or incapable of doing - keeping the markets fair.

Im genuinely curious why you think its stupid. And im curious if you are aware that the price markup for most industries is over 30%. what makes it stupid for this particular industry? I often forget that the demographic in forums like this tends to be young, and the people commenting perhaps have no experiece in thr retail sector.
 
I suspect you've never owned and operated a retail business. Doing some research will greatly benefit you.

I really wonder what they are teaching people in school these days. Kind of scary how many people now seem to think that businesses making money is evil and that profit is bad. And as you said.. all retwil industries have mark-up, and charging 30% does not mean a company is making 30% profit. there are plenty of businesses with 50% markup that are still loaing money.
 
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If you have inside information in Apple's actual business you wouldn't be here. Your logic is invalid - my Ph.D. is not.

I responded to your: "The fact that any "shop" can charge 30% is stupid."

Tell me about your retail store ownership and operation experience.
 
I really wonder what they are teaching people in school these days. Kind of scary how many people now seem to think that businesses making money is evil and that profit is bad. And as you said.. all retwil industries have mark-up, and charging 30% does not mean a company is making 30% profit. there are plenty of businesses with 50% markup that are still loaing money.

Yup. For sure on that.
 
I do agree, this would be far easier.
Simply charge EVERYONE 15% for the 1st million, then 30% for all earnings over the million mark.
Then everyone gets their 1st million at the lower rate, and those who generate vastly more will still pay the higher rate.

This is how our income tax works. It would be so easy, not need any messing around with paperwork, and not tempt people to mess about if they fear just going over the 1 million mark.

The whole point is to benefit the largest number of developers while minimising the loss in revenue to Apple (because the bulk of App Store earnings come from larger app developers who are earning way over $1 million a year and can well afford to pay Apple their cut).

I doubt there are that many developers whose earnings are hovering around the $1 million mark. They are likely earning way below, or way over this threshold, so the inclination to mess around with their earnings is likely very minimal.
 
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Do you have any idea what it costs to run and maintain the backend infrastructure? storage servers (servers at that level have a 3-5 year life), The electric it takes to run said servers and the electric for the A/C to keep them cool? Running a business like that is not a retail store. I responsible for support of a video server system for video editing in a video production/post production and a chassis of 200TB gets EOL'd every 4-5 years....at $103k each and we have 4 of them. I can't even imagine how many EXEBYTES they have. We also use 'AWS S3 buckets' for some online editing capabilities and it cost 10's of thousands a year. I am told by some freelance engineers that I know who work in broadcast that the NFL has around 4 petabytes of storage and MLB has around 11 petabytes.

As far as "keeping the markets fair" not to sound like an ******* but, if run a business and it's mine, who is anybody to tell me what I can charge and be allowed to make. It's my business and if you don't like my prices go somewhere else. If I can't charge what I want, I could say screw it and shut it down.....just my thought as a business in a capitalist country, not saying it's right or not.
The problem is there's no competition. If you want to put an app on iOS devices you HAVE to put it in Apple's store.

In the past, it wasn't like this. If Babbage's charged too high a markup on your software, you could always sell your software at CompUSA instead, and no matter where your customer bought your software, they could install it on their computer.

Apple has basically monopolized software distribution on their platform. If they're going to be allowed to do so, they have to make some concessions.
 
The fact the commission rate goes up the more successful you are is asinine.
Especially, as Apple’s model is to squeeze more PROFITS for itself the more successful and larger it has become. Quite the double standard to benefit itself.
 
The fact the commission rate goes up the more successful you are is asinine.

It makes perfect sense to me.

We are talking about the sale of software here, which by its very nature has zero marginal costs. So the smaller developers should be getting a leg up compared to the bigger companies to help them better compete. Which is precisely what Apple is helping to do here.

In this case, a lower commission rate means smaller developers have more money to spend on areas like advertising, or just to plow back into software development. Compared to the larger developers who are earning more than enough money and don’t need such special treatment.

It’s about equity, not equality.
 
One age survey on this site shows 46% are over 50, only 13% under 30.

Really? Thats surprising. Perhaps im spending too much time on Reddit.. definitely a younger crowd there :).
Its also hard to believe ive been a member here for over 15 years (if i count the prior account i had before this, to which i lost the info)... a whole lot of changes during that time.
Happy holidays all!
 
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Apple App Store is not the only avenue of revenue for an app developer. Developers can choose to sell their products on Google Play, Samsung Store, Windows, x-box, play station, etc.
How do I sell an iPhone app on the Samsung Store? Please, enlighten me.
 
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What you are saying makes no sense at all, no company needs to change their policies for anyone or anything. The App Store is only a sales medium and should follow the rules stablished by who created it. If the dude who owns Toys R Us created a rule that his medium only sells toys and not beer, beer makers should not be mad at it and try to sue the store.

Apple is not the sole smartphone manufacturer in the world and no one is obligated to be an iOS user, pretty much as no one is obligated to buy a car from any specific store. If someone created a car that only runs on it's own fuel/roads/highways, it's their problem lol. In Apple's case, everyone wants to own an iPhone even if iOS is not open sourced and doesn't run on third party hardware, so kudos to them
Do you not see the giant flaw in your logic? Sure, I can’t sell beer in what used to be Toys R Us. But Toys R Us didn’t prevent me from selling beer in another store. If Apple were Toys R Us, they’d prevent me from selling my beer in a totally separate store to the parents that are buying toys. Toys R Us never did that, nor could they do that legally if they wanted to.

The problem is that law has been outpaced by technology, so there is a loophole. If the App Store were a normal retail store, consumers and producers would have more options, and thus, more power.
 
I am not sure I consider the lack of competition as a problem though. It isn't perfect at all of course, but when Android has a 90% piracy rate for paid applications, I find it hard to argue for an alternative process. Apple have done a good job protecting developers income in this regard.


I have criticised Apple a lot for AppStore policies this year. But I like the single store.
And I can’t even publish an app for free, not caring about piracy at all, if Apple doesn’t agree with it. Not that it’s bad, but because they choose how small businesses are allowed to innovate. If you’re a large behemoth, like Amazon, then they’re willing to compromise.
 
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