In the past, there has been a major attack on the App Store and the way Apple is managed. Although Google is also in the spotlight, but Apple is the biggest focus of the issues and companies. Mostly because the App Store is the biggest revenue generator and because Apple manufactures iPhones, while Google does not enter the imagination of the majority as a hardware maker. With successive cases and laws, Apple lost at times and laws were written against them and concessions were made in favor of developers and governments. So does this affect the App Store or Apple's income?
latest concessions
Among the latest concessions made by Apple and after a law was passed against it by the South Korean government, the company decided to allow applications such as Netflix or Spotify and other programs that Apple calls the “reader” to place a link to the user in the application to direct him to the subscription site without using in-purchase Apple's app. Thus, the company does not pay a percentage of the subscription to Apple.
Apple also agreed in one of the cases against the policies of the App Store to pay $100 million in reconciliation in the case and allocate about $60 million annually to the work of a fund to support small developers in order to be reconciled and stop the case. Although the conciliation does not mean an admission of guilt, it is an tacit admission that the company wants to communicate goodwill towards parts of the case and support small developers to avoid paying larger developers such as Epic who argue that Apple harms small developers.
What are reader apps?
These are apps like Netflix, OSN, and Audible for audiobooks. That is, it is an application that offers a service on the web. Only these are allowed to display a single link to payment methods outside the App Store.
But it is not possible for game apps like Fortnite, Minecraft, and others.
Even this change would not affect the software store's income much, as the investment bank Morgan Stanley estimates, it could affect Apple's overall income by only 1-2%.
Apple is ready to make concessions to small developers
Let's start by defining what a “small developer” is. They are the developers who make less than a million dollars a year from the store. They represent 98% of the developers in the App Store and so Apple always calls them the vast majority of developers. They are the ones who Apple has reduced its share of in-app purchases for them. From 30% to 15%. It is these developers who Apple pledges to help after every issue. It may seem that the company is going to lose profits or radically change the rules of the store. Most developers understand right?
Yes they are most developers. But all of these developers only bring in 5% of the App Store's income. As Apple's income depends mainly on 2% of developers, who represent major companies and bring the equivalent of 95% of the store's income.
The changes are well thought out
Apple has now allowed all developers to offer different payment methods to users. But not in applications. For example, a game owner can send you an e-mail informing you of external payment methods. Or use your phone number if you gave it to the app. However, most apps are still not allowed to display any in-app links. And if they want to sell something inside the app, they have to use Apple Pay.
The store is bigger and stronger than change
The App Store is very large and serves a huge number of users thanks to the proliferation of Apple devices. It also serves a lot of developers since the income from it is higher than the Google Play Store. And Apple's investments in many countries are very large and any government that decides to enact a law against Apple will try to make it the best it can be to satisfy all parties.
Apple is playing a smart game
As most of its attackers from Facebook, IPC and others, their biggest argument was that Apple is harming small developers and investors. Because if they invoke their own will as billionaire corporations to get more profit, they won't get much sympathy. So Apple decided to say well, we're going to discount the small developers and offer them multiple services and they're 98% of the sellers on the store. As for the high deductions, we get them only from the giant companies, which represent only 2% of the developers, and they will not go bankrupt if we take from them the percentage we want.
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It is in my interest as a consumer that I wish to trim the nails of all the big dominant companies, whether Google, Apple or others.
5% is suitable for small developers
2.5 is the best for young developers
Why are you defending monopoly!!! Why do I pay XNUMX% of my profits to Apple is haram, exploitation and monopoly?
For the services they provide to you (administrative fee)