Apple Will Stop Taking a Cut of Some Video App Purchases Made Through the App Store (venturebeat.com) 8
Yesterday, Apple said it would stop taking a cut of some sales for "qualifying" streaming video services on iPhones and other Apple devices, including Amazon's Prime Video. Reuters reports: To make purchases inside apps on its App Store, Apple requires the use of its own payment systems and takes a commission of between 15% and 30% before passing on the rest to the third-party app developer. Many of Apple's rivals in streaming music and video, such as Netflix and Spotify, avoid paying those commissions by asking users to sign up with a credit card outside the App Store. That leaves those rivals' apps serving as log-in screens for existing customers.
In an emailed statement, Apple said that for "qualifying premium video entertainment apps such as Prime Video, Altice One, and Canal+, customers have the option to buy or rent movies and TV shows using the payment method tied to their existing video subscription." Apple also said the services will function better with Apple devices and apps, for example by letting users ask its voice assistant, Siri, to find shows on the third-party services. Last March, Spotify filed a complaint with EU antitrust regulators against Apple, saying the iPhone maker unfairly limits rivals to its own Apple Music streaming service. Spotify also raised the issue with the U.S. Justice Department and the House Judiciary Committee, "both of which have antitrust probes pending regarding Apple," notes Reuters.
In an emailed statement, Apple said that for "qualifying premium video entertainment apps such as Prime Video, Altice One, and Canal+, customers have the option to buy or rent movies and TV shows using the payment method tied to their existing video subscription." Apple also said the services will function better with Apple devices and apps, for example by letting users ask its voice assistant, Siri, to find shows on the third-party services. Last March, Spotify filed a complaint with EU antitrust regulators against Apple, saying the iPhone maker unfairly limits rivals to its own Apple Music streaming service. Spotify also raised the issue with the U.S. Justice Department and the House Judiciary Committee, "both of which have antitrust probes pending regarding Apple," notes Reuters.
About time. (Score:2)
I'm amazed Amazon didn't sue Apple over this years ago. The way Apple has handled this is utterly outrageous, and results in a seriously broken content buying experience on all iOS platforms. Spotify is just the only one hurt badly enough to be willing to take the risk of filing the lawsuit. But iOS users have, without question, been harmed by Apple's behavior.
Re: (Score:2)
Seems like Apple complained "They worked around our walled garden!" and lost.
Re: (Score:1)
How has anyone been harmed? You are worried that Amazon or Canal+ had to take a 15% cut on a small revenue stream? The decision to workaround the Apple fees has impacted usability for some apps, but that is a decision the developers consciously made and most people didn't care.
Re: (Score:2)
The alternative would have been, for example, Amazon Prime subscriptions costing 15% more for iOS users, and with Apple competing directly against some portion of that, I think you can see why that makes it an antitrust issue....
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[...] but that is a decision the developers were forced by Apple to make [...]
FTFY.
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amazon is the same way, except they take a cut of app advertising. even if it's a tv provider login like fox sports go or history channel. just like roku
everyone does stuff like this. don't like it, develop your own ecosystem
Reading it wrong (Score:5, Informative)
I think this has been misinterpreted...
"qualifying premium video entertainment apps such as Prime Video, Altice One, and Canal+, customers have the option to buy or rent movies and TV shows using the payment method tied to their existing video subscription."
Does NOT mean that you will be able to sign up with Prime Video through the app. It means that, if you have a Prime Video subscription... you will still be able to buy things within Prime Video using your Amazon account.
This is closer to how, with the Amazon app, you can buy things from Amazon and Apple doesn't get a 15% cut of that purchase.
Article is completely wrong (Score:2)
Simple rules: 1. All digital purchases on your phone must go through in-app purchase with Apple taking 30%. 2. All physical purchases or purchases for service must _not_ go through in-app purchases, so Apple takes nothing. 3. Purchases can be made outside the ap