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It would certainly explain Epic’s reaction to the judge’s decision yesterday. In the midst of all this discussion, it is important to bear in mind why Epic embarked on this reckless gamble in the first place, and it is certainly not to empower developers or benefit users.

Epic‘s reaction was likely also influenced by the court saying that Apple is free to never let Epic back on the store, and, in fact, Apple can ban all of Epic’s affiliates if it wants to (i.e. Unreal).
 
What Epic wants has always been the ability to open its own App Store on iOS devices. This is so they can take the "Exclusivity" model they currently have on the Epic Games Store and apply that to popular apps. Can you imagine Epic striking some sort of exclusivity deal with popular apps?

On another note, Epic cannot even build a shopping cart for their own store. How does its CEO expect to be able to run a mobile App Store effectively?
Epic wins!! Valve swoops in and opens Steam for iOS.

Just sayin.
 
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Is it me or do none of the recent lawsuits appear to have done anything to dent Apple's control over their App Store?
 
And here's a writeup by Macstories on the case.


As the writer is himself trained in law, I believe he would have a more objective take on the matter. Well worth a read.

If the injunction ultimately stands after all appeals are exhausted, some stories I’ve seen suggest it could open the App Store to alternative payment processors, which I doubt will come to pass. The Court seems focused on simply opening up lines of communications between developers and users about pricing on other platforms, not creating parallel app stores or offering new payment schemes inside Apple’s App Store.
 
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"Allowed to shop at"? Okay, so let's follow your counter-analogy. Let's say these consumers had, by choice, purchased a "Walmart Membership," and Walmart said that only people with those memberships could shop in their store. What say you, then? Because that's much closer to what's going on here, and that's an established model by companies like Costco.

In this case, what you're calling "allowed to shop" is an opt-in choice made by the consumer. Imagine an Apple account as a "club membership" and then see if your argument holds up.
Except with a club membership it eventually expires and you renew it if you like or you don’t and that’s the end of it. Maybe you didn’t like Sam’s Club and switch to Costco. With phone ecosystems, there can be incredible barriers to switching platforms and Apple themselves acknowledge this. It’s not as simple as saying I don’t like this I’m leaving and buying an Android, (i.e. shopping somewhere else). Aside from paying for a new phone, if you have loads of apps you paid for or accessory devices like an Apple Watch or HomeKit devices, you may have to spend considerable sums to switch platforms and get back to where you were. That’s a very different scenario than simply not renewing your membership to Sam’s Club or Costco.
 
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Maybe, but i think major law reforms for digital goods, devices and linked services will also happens in the U.S., of course those laws won’t only affect Apple.

If I remember correctly there are additional non-EPIC related antitrust investigations ongoing in the U.S, too.

edit: yes there is…
And yet those very same lawmakers a totally silent on the cable company monopolies which do far more harm than Apple or Google could ever do.
 
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Except with a club membership it eventually expires and you renew it if you like or you don’t and that’s the end of it. Maybe you didn’t like Sam’s Club and switch to Costco. With phone ecosystems, there can be incredible barriers to switching platforms and Apple themselves acknowledge this. It’s not as simple as saying I don’t like this I’m leaving and buying an Android, (i.e. shopping somewhere else). Aside from paying for a new phone, if you have loads of apps you paid for or accessory devices like an Apple Watch or HomeKit devices, you may have to spend considerable sums to switch platforms and get back to where you were. That’s a very different scenario than simply not renewing your membership to Sam’s Club or Costco.
The problem with that comparison is iPhone and Android programs use totally different formats much like even though Macs and PC both used Intel you could take a PC program and expect it to run on a Mac without some changing of the code or running an emulator.
 
I’ll have to stop you right there. It is most definitely not cheap. I’m not sure where you are getting that idea.

Take AWS for example. For even a simple website you’re looking at a cocktail of services— S3, EC2, Route 53, IAM, Elastic Load Balancing, etc. To handle a modest amount of web traffic serving a collection of accessible media files it can easily cost over $50 per month. This isn’t traditional cheap shared web hosting we’re talking about.

Apple is already paying probably millions of dollars per year to Amazon for additional cloud capacity because their own server farms were insufficient for their services growth.
I know what I’m talking about, I run a website that serves millions of visitors a month. It’s cheap when you know what you’re doing, and Apple does. We’re obviously not talking about traditional shared hosting here…

Of course the total cost of operating the store is high, but for an individual app, not so much.

The original comment I replied to was all like: "so you want global cloud infrastructure for freeee?!"

No, they don’t. Nobody is asking anything for free and nobody’s getting anything for free, either. This person made it sound like Apple has access to some crazy expensive gLObAL cLouD inFRrasTrucTure, that any small business or even an individual can spin up in a matter of minutes and only pay as they go. These things are scalable.
 
I don't see how Apple is calling this a victory. Looks like "success is illegal" if they're being told how they can run their own platform. Guess they're happy they aren't being told to allow third-party app stores.
 
The fees will definitely be shifted elsewhere which will help some and hurt others. When airlines faced rising costs they decided to add fees to everything that was previously free - luggage, blankets, snacks, headphones, etc. This benefits people like me who never checks in bags while others cover my cost. Travelers with lots of check in baggage are paying what was potentially an increased ticket cost to me. Nobody knows how the fee structure will change for the App Store but it's 100% certain that there will be a redistribution given that Apple is not a non-profit. Ultimately the consumers lose as this is how things will play out:

1) Developers will bypass the App Store payment to put the 30% fee in their own pockets. No, they will not be simply passing savings to the consumer. If possible they may compete with the App Store via a lower price but this will eventually go away

2) Apple will shift fees elsewhere to make up the loss

3) Developers, via social media, will raise their prices as they now have cover to shift blame to the evil big tech company increasing costs to consumers.

This is 100% equivalent to devs increasing their prices by ~30% to have customers cover the fees. This is something they can do today but would not go over as well as the steps discussed above.
The App Store must operate at a very high margin. They won't shift costs elsewhere; they'll just make less profit.
 
I don't see how Apple is calling this a victory. Looks like "success is illegal" if they're being told how they can run their own platform. Guess they're happy they aren't being told to allow third-party app stores.
No alternative IAP systems
No side loading
No alternate app stores
Not a monopoly

Worst case they have to let apps have links to their websites to tell people how they can buy stuff elsewhere, but even then, depending on how it’s interpreted they might still be owed a cut.
 
So after all what Sweeney wanted wasn’t a fair way to get payments, but permission to start his own app store, then HE gets to charge developers. Not reasonable.
 
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I don't see how Apple is calling this a victory. Looks like "success is illegal" if they're being told how they can run their own platform. Guess they're happy they aren't being told to allow third-party app stores.
Most of the developers don’t even have the means to set up their own payment systems, so they’ll stick to apple. The real threat would have been the third party app stores, and that has been denied.
 
Yesssss. It’s not the win I was hoping for, but I’m on board with anything that breaks up these greedy tech behemoths like Apple and their ability to lock developers and consumers into their profit structure. 😌
You know you are free to not buy Apple products right? Like, it’s entirely voluntary and there are multiple alternatives to every product Apple sells? The only thing keeping you “locked in” is your own choices.
 
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Yesssss. It’s not the win I was hoping for, but I’m on board with anything that breaks up these greedy tech behemoths like Apple and their ability to lock developers and consumers into their profit structure. 😌
While it’s not over, what really changed? Customers can navigate to another website for payment, giving out their cc details? Is the price going to be 30% lower than iap? Probably not. Apple seemingly can collect commissions on any payment that originated from the app, even external payments.
 
While it’s not over, what really changed? Customers can navigate to another website for payment, giving out their cc details? Is the price going to be 30% lower than iap? Probably not. Apple seemingly can collect commissions on any payment that originated from the app, even external payments.
Not 30% lower, but still it could be lower than what they’re charging today. Large companies already have payment systems set up, so they can start almost immediately.

As for apple collecting from external payments, remains to be seen how much they can charge, surely not 30%, maybe not even a commission on every sale, it could be a fixed fee.
 
Not 30% lower, but still it could be lower than what they’re charging today. Large companies already have payment systems set up, so they can start almost immediately.
For a $.99 purchase, maybe down to $.95?
As for apple collecting from external payments, remains to be seen how much they can charge, surely not 30%, maybe not even a commission on every sale, it could be a fixed fee.
The court didn’t limit their commissions and apple could still charge what they were charging previously.
 
Not 30% lower, but still it could be lower than what they’re charging today. Large companies already have payment systems set up, so they can start almost immediately.

One would hope but since customers already are paying X I bet they won't come down much. If they do and large amounts of IAP move off the App Store it will motivate Apple to aggressively find other ways to increase App Store revenue. My guess the best strategic move for developers is to make a small drop, if any, to bolster their competition argument without upsetting Apple.

As for apple collecting from external payments, remains to be seen how much they can charge, surely not 30%, maybe not even a commission on every sale, it could be a fixed fee.

It will be interesting to see how Apple responds. One idea I had posted earlier is to offer a bonus on iTune gift card purchases and redemptions. That could drive customers to use them for IAP since they would effectively get a discount for using them. It would cost Apple very little while shoring up the IAP model. This would also put pressure on developers offering payment processing outside of the App Store to lower prices.

A win for consumers no matter how they chose to pay.
 
I am glad Epic failed in their case. If they got their way then all consumers would have to monitor subscriptions individually than under one ecosystem. That raises security issues and is not efficient for consumers. Either build your own store or play by the rules. Apple has made developers tons of money and they appreciate the ecosystem Apple provides.
 
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This ruling could be a huge benefit to those parents who have been funding their kid’s in app purchases for stupid game upgrades that a lot of kids simply clicked on in-game without thinking of (or purposely not caring) how much of someone else’s money they were spending. Now, if kids want to buy an IAP, and they’re directed to a separate website that requires getting the (or stealing their parent’s) credit card and going through the payment process, it may slow down these types of purchases. Of course it could also make for one additional layer of complication when a parent sees charges for something they never authorized on an unfamiliar website, unlike when they see charges come through from Apple.

And yes, this is coming from a parent who went through exactly this, albeit with a kid playing xbox, not on iOS. Watching hundreds of dollars a month disappear, it was hugely frustrating and stopping it took more than a month of back and forth with Microsoft, not to mention getting the one child to understand money doesn’t grow on trees or magically show up in your bank account.

As a parent who solved your situation by using parental controls, I hope that there will be a simple way to prevent this new link from being presented. It should be something I can opt out of and disable in restrictions.
 
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It isn’t a monopoly. That’s like saying McDonalds has a monopoly on Happy Meals
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I agree. There is something really bizare about the idea Apple is a monopoly in the standard meaning for the word. They don't control the majority of the smartphone market (android does) and by the broad way it is being used "monopoly" would apply to anyone with an exclusive deal, or Nintendo.
 
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