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I used to work at a sneaker store. We'd buy a pair of, say, Vans Authentics for £20 and sell them for the RRP of £45.00. If we had decided to become a sneaker manufacturer, too, we could have sold our own sneakers for £20.00 and made the same amount of money as Vans did. That's allowed. So why isn't the App Store?

How long before the FTC cause Apple so much **** that they decide to leave America?

After all, as Spotify have shown, there is a way around the 30% fee.

There are a couple things to consider here. One is that the store actually purchases those items at a set rate. Apple has brick and mortar stores that do this. Apps don't work that way. Apple effectively takes a commission. They do not purchase the product at any point.

There are an army of developers working on the music app each one costs a minimum of 200k/hr + health care and other benefits. Then factor into that the amount of time before you have even a releasable product which was about a year or longer. then don't forget the designers who all have to be paid and the record licensing and the fees etc... yeah.. much harder than manufacturing.

The way you wrote 200k/hr suggests you aren't computing in US dollars. People generally read 200k as 200,000 USD. Even $200/hr seems highly unlikely. That would be over 400,000 USD before benefits. I get the issue of office space and support, but you don't really give any indication of how you arrived at that figure. You also don't mention what leads you to believe that the app store is barely profitable.
 
which include a prohibition that the company is on other platforms
Wait, what?! There's no way that's right. Not a single streaming company I can think of is Apple-only besides Apple. Did I misread or something?
 
I guess we should all expect AT&T to take a 30% cut of Apple's profits, since they're the ones who initially sold you the iPhone, and provide the service that makes it work...
If they had done that, Apple would have gone to Verizon instead. The difference here is that Apple has such a strong control over this market that they can strong-arm app publishers into these restrictive terms. Google doesn't do it because they couldn't get away with it, so I would strongly suspect Apple of abusing market power.
 
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I get the issue of office space and support, but you don't really give any indication of how you arrived at that figure. You also don't mention what leads you to believe that the app store is barely profitable.

I did some searching around, and I learned that the App Store is roughly a billion dollar a year business. That's a small cut of the whole Apple pie, but it's not like they're suffering much.
 
The situation isn't at all Apple giving in to greedy services. Apple has ultimately created a market that serves its own needs, and allows others to take part in it. While it's popularity does make it attractive to 3rd parties, it's not like they're leeching off Apple's good graces by using it. The services are directly responsible for the popularity of the platform. The more there are, the more appealing the platform becomes, and thus the more likely it is consumers will buy into it.

Do you think the iPhone would have been as popular without the App Store? The iPad? They would've been dead in the water after the initial hype wore off.


Apple benefits of the platform for sure. That doesn't mean it should offer it up for free to other companies. Particularly if the said company is charging the end user for the use of their apps, why shouldn't apple charge them for using the appstore?
Nothing is free. You can't expect to gain access to the vast, lucrative market built and maintained by someone else, for free. You can always get around it like Spotify is now doing with emails, but not by inserting a link designed to circumvent the payment mechanism built into the platform. No reason for Apple to allow that.
 
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Apple benefits of the platform for sure. That doesn't mean it should offer it up for free to other companies. Particularly if the said company is charging the end user for the use of their apps, why shouldn't apple charge them for using the appstore?
Nothing is free. You can't expect to gain access to the vast, lucrative market built and maintained by someone else, for free. You can always get around it like Spotify is now doing with emails, but not by inserting a link designed to circumvent the payment mechanism built into the platform. No reason for Apple to allow that.

They don't give it for free, the developers pay an annual fee
 
Exactly! If you don't want to give Apple 30% then don't put offer your service to iPhone users. Devs are paying Apple for the awesome delivery service that is the app store. So stop complaining or pull your app.

Apple is wrong. They charged 30% to devs for every app purchased, that's a one time fee. Why the **** do they charge 30% every month for a service they don't offer? Is spotify running on apple servers? NO! Apple has been doing this for too long but now that they have their own music streaming service they won't be able to get away with it.
 
… which would be fine advice if there were any competing store fronts around. Last time I checked, Google Play doesn't sell iOS apps. Don't you early responders think ANYTHING through?

Obviously not. They're out to defend Apple no matter what.
 
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Spotify are just being greedy whiney scumbags who want to use Apple's goodwill and not pay for it. If they were genuine and smart, they should split the $3 Apple fee with the user and advertise online purchase for $8.99 or buy from App store for $9.99.
 
Apple is wrong. They charged 30% to devs for every app purchased, that's a one time fee. Why the **** do they charge 30% every month for a service they don't offer? Is spotify running on apple servers? NO! Apple has been doing this for too long but now that they have their own music streaming service they won't be able to get away with it.

They may not be running subscriptions on Apple's servers, but they are having Apple process the monthly fees through iTune's payment system. Yes, 30% is high for this service, but this is why Apple is charging them. 30% cut for Apple on all monies taken in. Spotify should (and it appears they are) follow Amazon's Kindle app route, and take payments directly.
 
Heres your problem and its not apple

While users can still subscribe to the service of their choice outside of the App Store, avoiding the 30 percent fee for the respective companies, sources tell Reuters that many users do not realize its an option.

educate your people , educate your children as this stuff should be common knowledge
 
They may not be running subscriptions on Apple's servers, but they are having Apple process the monthly fees through iTune's payment system. Yes, 30% is high for this service, but this is why Apple is charging them. 30% cut for Apple on all monies taken in. Spotify should (and it appears they are) follow Amazon's Kindle app route, and take payments directly.

Correction, they are forced to use its payment processing system.
Amazon Kindle doesn't take payments, they can't
 
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I don't get this. Apple rents them space in its house to display their product

The antitrust concerns stem from certain App Store restrictions placed on streaming companies, which include a prohibition that the company is on other platforms, a ban on advertising how users can subscribe on a company's website and the ban on links to the company's website.

and now these anti trust people want apple to allow them to display signs saying its cheaper else where.

How many shops on the high street would allow this?

walk into a clothes shop and all the stickers say its cheaper up the road.

what the f.... k!

come on the problem is the shoppers dumbness not apples. Go in one shop/onto a website go to another, decide which is the better deal. Buy in shop/on site of your choice.
 
They may not be running subscriptions on Apple's servers, but they are having Apple process the monthly fees through iTune's payment system. Yes, 30% is high for this service, but this is why Apple is charging them. 30% cut for Apple on all monies taken in. Spotify should (and it appears they are) follow Amazon's Kindle app route, and take payments directly.

It would be trivially easy for Spotify to set up a payments system, because they already have. It's the same payment system you use if you buy on desktop. The trouble is that they are not allowed to build it into an iOS app, which is outrageous. It's Apple's payment system or nothing. This is also why Amazon's Kindle and Audible apps don't include a function for buying books. They'd need to pay Apple 30% of every sale.

Apps that allow the purchase of real-world goods like eBay and Kickstarter seem to get a free pass, which makes it all the more bemusing why media platforms like Spotify have to pay the 30% levy.
 
I don't get this. Apple rents them space in its house to display their product



and now these anti trust people want apple to allow them to display signs saying its cheaper else where.

How many shops on the high street would allow this?

walk into a clothes shop and all the stickers say its cheaper up the road.

what the f.... k!

come on the problem is the shoppers dumbness not apples. Go in one shop/onto a website go to another, decide which is the better deal. Buy in shop/on site of your choice.
They don't rent space
 
If I was apple I would ask for a reciprocating deal if they happen to loose this. Spotify etc allow apple to put a add on their sites saying how much better the user experience is with apple when purchasing through apple. See how they like that.
 
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