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hans1972

macrumors 68040
Apr 5, 2010
3,330
2,900
Apple charge a 30% for folks that sell digital content on an app they (not Apple) created. Apple didn't create Epic's games, they didn't license Spotify's music, and they're not paying their hosting and bandwidth costs. Or payment processing.

Apple are charging 30% for friggin' payment processing. Get a life Apple!
15% for small developers for some time now.

And even 15% for certain large developers too.
 
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Beautyspin

macrumors 65816
Dec 14, 2012
1,007
1,173
I’m not one who would ever second guess what Steve Jobs "would have" done, but I think you’re spot on. He was very much about being a person who lived by the strength of his convictions. When Steve Jobs played chicken, he rarely lost. He would absolutely pull out of a market if he felt it was the right thing to do. whether he was actually right or not.
Apple revenue for the 1Q 2024 has approximately 50% from the Americas and 30% from the EU. I doubt if Jobs would have said goodbye to this kind of revenue.

 

Asbow

macrumors regular
Aug 17, 2020
182
343
The EU is so stupid. Apple has to maintain and develop iOS so they have much higher cost than Epic who can leech of the platform for free and charge lower fees.

Why in the hell would you want to create a platform when everybody can just hop on for free without having to do any of the work?

Tim Cook should have just removed the iPhone from the EU and start selling Android phones. I'm sure Steve Jobs would have done it, because Steve Jobs was very strict about having absolute control over the iPhone, so he wouldn't compromise his iPhone by the EU.
And Apple’s Board would have fired him for costing them sales. The EU is a big market not just consumer but professional as well.

iPhones and Macs are not cheap devices. macOS used to carry a £99 upgrade fee. iOS was free to iPhone but iPods there was a small fee.
 
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vladimirc

macrumors member
Apr 26, 2018
65
111
Most of you are missing the point. This is not about developers. Small developers are obviously perfectly fine paying the 30% fee to Apple. The problem is related to in-app purchase. Epic was supposed to pay 30% for every skin sold in Fortnite. Spotify is supposed to pay for every subscription. The same goes for Netflix, Microsoft etc. Amazon can’t use the app to sell stuff. This is what makes Apple’s position absurd. Epic will not charge anything for in-app purchases. It’s a huge difference
 

jlc1978

macrumors 603
Aug 14, 2009
5,497
4,281
You'll have to elaborate on how Epic are being hypocritical because from what I'm seeing

I'd look at Epic's actions with Fortnight as an example. Epic doesn't allow alternative stores in it, requires the use of Bucks, and the T&Cs outlaw the sale of accounts. Why can't I sell a Fortnight account to someone else and not have Epic suspend it?

Epic expects payment for use of the Unreal engine in many cases. Why should they get a forever cut from a game they didn't develop if it is successful?

Epic is doing similar things to protect its revenue streams while whining about paying Apple for doing the same things. There's nothing wrong with that, but find it hypocritical to complain about another company doing it when you do the same; and acting like you are on some great crusade for fairness when in the end it's about getting a bigger share of the pie.

Now they don’t have to, they can still keep their Apple sale at a bigger margin for themselves, how is that a bad thing?

Consumers don't benefit from lower prices due to competition.

So it looks like in the end is a win for Epic. I wonder if the EU would have even imposed rules for Apple to follow if Epic did not sue in the first place.


Who knows?

But I suspect in the end Epic and other will still wind up paying Apple for access to the App Store an Apple's technology around it. It just remains to be seen how Apple does it to satisfy the EU. I hope smaller developers won't become collateral damage.
 
Epic just needs one hit, everyone who wants that game will download the store to download the app. They're not going to get the game anywhere else, if Epic plays it right.
If we are talking percentages of small percentages then sure. If we are dissecting the entire mobile user market into smaller segments, such as people who play AAA titles on their mobile phone, then sure Epic and game developers have an opportunity to capitalize and make money on those users. If kept as a narrow focus with smaller numbers of users then maybe this would work. But for the vast majority of apps and developers, they would never give us the volume of users the main App Store brings them because they would never make up the loss in revenue by a larger cut.
 

Beautyspin

macrumors 65816
Dec 14, 2012
1,007
1,173
If we are talking percentages of small percentages then sure. If we are dissecting the entire mobile user market into smaller segments, such as people who play AAA titles on their mobile phone, then sure Epic and game developers have an opportunity to capitalize and make money on those users. If kept as a narrow focus with smaller numbers of users then maybe this would work. But for the vast majority of apps and developers, they would never give us the volume of users the main App Store brings them because they would never make up the loss in revenue by a larger cut.
It will be a gaming store which will have gaming apps. Also, apps that do not use its payment services do not have pay anything so every game can list theirs in the store. This is the advantage with alt stores. You do not have to search for games in the Appstore for games. The entire store is for games. There may be demo games that one can play. Same case with Mobiventure will open store exclusively for corporate apps. So, there can be specialized stores and that eases the discovery. Who will wade through 1.8 million apps and the crappy search interface of the Appstore when you can easily do that on the alt app stores.
 
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Consider an App that is rejected by Apple for frivolous reasons. It can now go to Epic store, pay 12% and make money. Apple would now have to negotiate with that app to make it come back to the AppStore. Roles reversed.

Also, Apple has no business taking a cut from in-app purchases.
It feels to me that you like finding "injustice" in things and then pushing hard to "make things right"

I don't want to take that personal drive away from you but it isn't great when trying to be open to all sides of a topic. I will attempt though.

Sure, there are always fringe cases. Those cases where Apple made the wrong call and a developer gets screwed. However, it is not a large percentage of the apps in the App Store. It is a small percentage.

Also, remember these changes are not happening because the independent small developers care. This is happening because of large businesses wanting more profit (which I am not judging as bad).

So unless a very massive organization, that would bring in tens or hundreds of millions of dollars for Apple goes to another App Store, I don't think that Apple is going to pursue them to come back. Also, if that happens, chances are good they still won't pursue them because it wouldn't make financial sense for either party.

Finally, let me address the "Apple has no business taking a cut" comment. I am not sure how many businesses you have run, where your decisions affect the paychecks of your employees and if they can pay their bills and put food on their tables. I have been in that position several times (currently I am) and I make decisions that allow my business to make money. I don't turn down revenue streams because consumers don't want to pay money. I think most business operate with a general set of business principles, so you are totally allowed to have that opinion. However, I don't think it really will ever happen as long as capitalism is the basis for our business principles. I think your energy might be better focused on that effort.
 
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Jensend

macrumors 65816
Dec 19, 2008
1,394
1,611
When Microsoft said that Windows 10 would be the last version, it's dead. Now they did came with Windows 11 I know, but it simply shows how little energy Microsoft puts into Windows these days.
You do know that Mac OS was stuck on version 10 for 20 years? That didn't mean it was dead.
Microsoft just meant that they'd keep the name perpetuaty, not that they'd no longer update it. Part of the reason for that is that they made upgrades free. You only have to pay for a license again when you get a new PC.

If Microsoft cared about Windows, they wouldn't tolerate pirating. It's simply not their main business anymore like how it used to be in the past.
It's still their 3rd biggest category behind server and office/365. It's ahead of both Bing and Xbox for revenue, for example.
 
It admittedly is - but it was a rebuttal to another "extremely reductionist" statement.

We should, however, not ignore the compensation that Apple receives from selling devices - and neither the value it receives from the rich ecosystem of third-party apps the help sell their iPhones to consumers in the first place.
While the comment you were responding to might have been constructed a bit better, the main point still stands. Apple provides much more to the entire ecosystem than Epic can or will. For the, relatively, small amount that Epic is going to add to the overall ecosystem, they are going to charge 40% of what Apple does. I will be willing to have my socks knocked off in surprise if they offer anything close to 40% of the value Apple adds to the ecosystem.

Now, if you feel like, as the consumer, you want to pay a business less for the products they are trying to sell at a high margin....that is a different topic. That is Apple operating as a business. If that is the issue than I think the direction of conversation should be more on capitalism as an engine rather than the gears and cogs (business, rules, etc...) operating inside of it, but that is completely just my personal perspective.
 
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Beautyspin

macrumors 65816
Dec 14, 2012
1,007
1,173
It feels to me that you like finding "injustice" in things and then pushing hard to "make things right"

I don't want to take that personal drive away from you but it isn't great when trying to be open to all sides of a topic. I will attempt though.

Sure, there are always fringe cases. Those cases where Apple made the wrong call and a developer gets screwed. However, it is not a large percentage of the apps in the App Store. It is a small percentage.

Also, remember these changes are not happening because the independent small developers care. This is happening because of large businesses wanting more profit (which I am not judging as bad).

So unless a very massive organization, that would bring in tens or hundreds of millions of dollars for Apple goes to another App Store, I don't think that Apple is going to pursue them to come back. Also, if that happens, chances are good they still won't pursue them because it wouldn't make financial sense for either party.

Finally, let me address the "Apple has no business taking a cut" comment. I am not sure how many businesses you have run, where your decisions affect the paychecks of your employees and if they can pay their bills and put food on their tables. I have been in that position several times (currently I am) and I make decisions that allow my business to make money. I don't turn down revenue streams because consumers don't want to pay money. I think most business operate with a general set of business principles, so you are totally allowed to have that opinion. However, I don't think it really will ever happen as long as capitalism is the basis for our business principles. I think your energy might be better focused on that effort.
My example was to show that Apple no longer has a monopoly on the apps that can run on iOS so they cannot stop a developer from listing/selling their apps on alternative stores. Earlier they had so they could misuse it. Now they do not have it so they cannot misuse it because the consequences may be immediate.

Apple can take fees for listing the app in their Appstore. The quantum may be up for discussion but the fact is that nobody is telling that Apple has to do it free.

However, in-app purchases are extra features that an App offers. Apple has not contributed to the development of the extra features and is not sure why it feels it is entitled to a cut in that. Once the alt appstores come and offer their listing at a lower rate, Apple will also lower its rates to compete. That is what competition does and Apple is terrified that such a future will come to pass.

Just because it has a monopoly on the apps that can be listed in the store, they are exploiting it with many such irrelevant rules. I am sure all the governments are interested in attacking that part.

Why do I need to have run a business and paid salaries to employees to know that it is illegal to stifle competition using one's dominant position? Nobody is asking Apple to not make money. They Just should not make it at the expense of the competitors by stifling their legitimate rights.
 

thewill586

macrumors member
Feb 18, 2009
55
41
Apple charge a 30% for folks that sell digital content on an app they (not Apple) created. Apple didn't create Epic's games, they didn't license Spotify's music, and they're not paying their hosting and bandwidth costs. Or payment processing.

Apple are charging 30% for friggin' payment processing. Get a life Apple!
do u really think developers create an app without any help from Apple? the iOS API is so good that anyone can write code and it just works? developers contact Apple for support and that support cost is part of the fee. if the developer makes a profit, shouldn’t Apple also get a percentage from that collaboration? EPIC app store is just hosting. i bet EPIC will take customer details, sell it, and also profit off advertisements.
 
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Jensend

macrumors 65816
Dec 19, 2008
1,394
1,611
I'd look at Epic's actions with Fortnight as an example. Epic doesn't allow alternative stores in it, requires the use of Bucks,
While I don't think a cosmetic store within a single game is equivalent to an App store for various reasons, this is a better angle at finding hypocrisy.
But most people in this thread are calling Epic hypocrites in response to a story about Epic charging a fee in the Epic Store.

and the T&Cs outlaw the sale of accounts. Why can't I sell a Fortnight account to someone else and not have Epic suspend it?
Where has Epic criticized Apple for not allowing the sale of accounts? I must have missed that part.

Epic expects payment for use of the Unreal engine in many cases. Why should they get a forever cut from a game they didn't develop if it is successful?
Epic also has a one time fee option for the Unreal Engine. Also, end users buy operating systems ahead of time; they don't pay a hundred bucks for Unreal Engine.
It's the difference between selling a whole modified car and selling a modification to a car.

Consumers don't benefit from lower prices due to competition.
I have.
 
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SpaceJello

macrumors 6502
Dec 2, 2006
441
83
Oh come on, free and unregulated market is unsustainable. It does exist but only within a limited timeframe. If not regulated it will turn into monopoly or duopoly real quick.

Please name us just one unregulated, relevant consumer market that is free and open and that currently doesn't have a duopoly or tripoly. Cookies? Maybe. Soda? Oh wait...

Before you say automotive I would like to remind you that one is super heavy regulated toward consumer benefits. Unlike cable and telephony/communications which has remained partially unregulated and now we have single cable providers for the whole neighborhoods and three nationwide mobile operators for a country of 400,000,000 people. That's an unregulated market turned into a cartel.

Oh come on! 🤣 I merely was pointing out the incorrect usage of “free“ and “open” markets. More importantly, the delusion that such a thing actually exists, if ever, as you pointed out so eloquently. 😉

Its important that we clarify such noble ideas as ”freedom” and “choice” in these discussions, as they are often used with gusto to support our opinions. Can any discussion ever get anywhere if we just throw these terms out there without care? Who would actually support more “oppression” and less “freedom“?

This is like the ever lovely “think about the children” mindset behind some discussions. It’s counter productive, especially if we don’t understand what we are working with. 😁
 

AppliedMicro

macrumors 68020
Aug 17, 2008
2,260
2,613
do u really think developers create an app without any help from Apple?
Yes. Many.
developers contact Apple for support and that support cost is part of the fee. if the developer makes a profit
It’s not. It’s part of the developer subscription.
Uber, Amazon with their store app or booking.com/Expedia can make any profit they want, without paying an additional dime to Apple.
 
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