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Apple and Google Face Growing Revolt Over App Store ‘Tax’

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Re: Apple and Google Face Growing Revolt Over App Store ‘Tax’

#111
post #81

To avoid the app store tax, companies can look to Audible as an example. On iOS, I can only add books to my wishlist and have to make the purchase on my computer.

And the experience is pretty awful. There's little explanation of what's going on or how to actually make the purchase. There's a flow that works for Kindle without leaving your phone.

Re: Apple and Google Face Growing Revolt Over App Store ‘Tax’

#112
post #65

Doesn't Valve take 30% from games on Steam? But they're complaining Apple taking 30% is too much? I also don't really think the Apple/Google fee is that unreasonable. Considering the resources, tools, marketplaces, tutorials, payment processing, all the other All dev stuff they provide in general. Yes if your app goes big, they make a lot of money. But for every big app there's something like 9 that fail completely (…

People keep saying Apple adds no value but bringing millions of paying customers and a trusted storefront does in fact have lots of value for most apps. This is exactly the value Steam brings on PC. Being locked down or not is a red herring to the value argument, people sell on Steam because of simple math: the millions of additional paying customers outweighs the commission Valve demands.

Yes, but there comes a point when it just becomes rent seeking. It's digital nature for there to be one portal that leads you to everything.

Re: Apple and Google Face Growing Revolt Over App Store ‘Tax’

#113

For perspective.... In traditional retail, the publisher only gets 45% as opposed to 70% for the app stores. https://kotaku.com/5479698/what-your-60-really-buys

This makes sense in retail. The operating costs associated with retail are more than twice that of a pure digital store. Digital stores don't need to worry about theft, inventory, logistics, opportunity costs of floor space, bad returns, etc. I bet Apple's entire online operation cost less to run than all of the Walmarts in New Jersey. Plus, you can do cool things like individualize what's offered to customers in a d…

Justifying price you charge for something based solely on cost, isn't the way that capitalism works.

Price is purely a function of supply and demand. If app makers decide that it's not worth the 30% cut that Apple charges to reach the But realistically, the developers who are making the most money are the ones doing in app purchases for coins, loot boxes, etc. It's not exactly costing them anything to "produce" more coins.

Re: Apple and Google Face Growing Revolt Over App Store ‘Tax’

#114

Doesn't Valve take 30% from games on Steam? But they're complaining Apple taking 30% is too much? I also don't really think the Apple/Google fee is that unreasonable. Considering the resources, tools, marketplaces, tutorials, payment processing, all the other All dev stuff they provide in general. Yes if your app goes big, they make a lot of money. But for every big app there's something like 9 that fail completely (…

Don't Apple and Google take 30% of all in-app sales as well? It's like your phone and internet company saying, "Well, guess we're gonna take 30% of all business you do over the phone or internet" or your rental company demanding 30% of your income.

Re: Apple and Google Face Growing Revolt Over App Store ‘Tax’

#115

The 30% cut would have been reasonable after all this time if the platforms were doing anything useful with the money. Instead, we got: - Store APIs that to this day are stupidly complex to get right in all cases, making you wonder why it’s so hard - No support for very common, decades-old pricing schemes like “free demo, then buy” (except through convoluted means) - Stagnant app store designs (esp. Mac, for YEARS) -…

The iOS App Store design is pretty awesome actually. It got a total design revamp last year in iOS 11 [1], and it's coming to macOS Mojave in a couple of months, so to claim the design is stagnant is incorrect. It's fluid, and has great use of typography, spacing and colors. I don't see how it is criticize the design of it, the design is the best part. The missing features (like demo versions not being possible) etc…

I didn't (and won't) vote on your comment, however I think the down votes are due to the fact that you praised the App store while saying something negative about the Play store. Even HN is not without it's fanboys.

Re: Apple and Google Face Growing Revolt Over App Store ‘Tax’

#116

The 30% cut would have been reasonable after all this time if the platforms were doing anything useful with the money. Instead, we got: - Store APIs that to this day are stupidly complex to get right in all cases, making you wonder why it’s so hard - No support for very common, decades-old pricing schemes like “free demo, then buy” (except through convoluted means) - Stagnant app store designs (esp. Mac, for YEARS) -…

The iOS App Store design is pretty awesome actually. It got a total design revamp last year in iOS 11 [1], and it's coming to macOS Mojave in a couple of months, so to claim the design is stagnant is incorrect. It's fluid, and has great use of typography, spacing and colors. I don't see how it is criticize the design of it, the design is the best part. The missing features (like demo versions not being possible) etc…

[deleted]

Re: Apple and Google Face Growing Revolt Over App Store ‘Tax’

#117

The 30% cut would have been reasonable after all this time if the platforms were doing anything useful with the money. Instead, we got: - Store APIs that to this day are stupidly complex to get right in all cases, making you wonder why it’s so hard - No support for very common, decades-old pricing schemes like “free demo, then buy” (except through convoluted means) - Stagnant app store designs (esp. Mac, for YEARS) -…

They are doing a ton that is useful: - Taking care of payment processing - Storing the user's credit card information - Providing a ton of pricing options - Providing analytics and crash monitoring tools - Providing deployment tools - Providing development tools (push notifications, regular updates to their platforms, market segmentation, beta releases, etc) - Providing distribution - Creating a market place for the…

At the scale Apple operate None of what you stated above is worth anywhere near 10%, let alone 30%. And for the last few points, they are covered by the Hardware cost which in Apple case cover the software as well. ( Where Windows and Android are covered by other means )

And I don't think you are actually disagreeing with your parents at all. Because all the services they provided and as you have listed are now considered as standard. That is like accepting credit cards and cashiers in Retail stores. They are not providing enough useful valued ON TOP of the standard expected.

Re: Apple and Google Face Growing Revolt Over App Store ‘Tax’

#118

I think the focus on "30%" is a little mis-statement. You can pretty easily argue that 30% is too high, but clearly they aren't going to pass along the 12-15% or whatever it actually costs them (assuming 5-7% for payment, a few more % for server costs and bandwidth, a few more % for customer support and developer support) -- clearly they're going to value their monopoly audience attention at some non-zero number. So…

I'm not sure trying to figure out the "correct" percentage to cover Apple's costs really makes sense.

All those factors you mention are probably better measured as a flat fee per user rather than a percentage of the sale cost. Free apps cost Apple just as much to host and support as paid apps, so why don't they get charged?

The 30% is essentially arbitrary. They're making a healthy profit from the App Store, so 30% must be on the high side. And the amount different apps are paying must vary a huge amount, only loosely correlated with their hosting costs.

Re: Apple and Google Face Growing Revolt Over App Store ‘Tax’

#119

Doesn't Valve take 30% from games on Steam? But they're complaining Apple taking 30% is too much? I also don't really think the Apple/Google fee is that unreasonable. Considering the resources, tools, marketplaces, tutorials, payment processing, all the other All dev stuff they provide in general. Yes if your app goes big, they make a lot of money. But for every big app there's something like 9 that fail completely (…

30% seems a lot when BlueSnap/Avangate/FastSpring provide most of the same services for 6-8%. Of course Apple would argue that they are connecting you to their customers. When there are a million apps in the store I'm not sure how true that is.

Apple also has a large and growing editorial staff writing articles and highlights for their App Store; it's virtually becoming a house magazine. So being in their store potentially offers exposure and marketing for free that's immensely valuable. (Whether it's 30% valuable is debatable, of course. Personally I think they should drop it from 15%/30% to 10%/20%, but "Apple: always more expensive than you think they should be" has worked for them for a long time.)

Re: Apple and Google Face Growing Revolt Over App Store ‘Tax’

#120

Is there a SaaS opportunity here? Helping developers create a frictionless experience redirecting customers to an optimized web view to complete payment and then back to the app in a seamless way?

> Is there a SaaS opportunity here? No, because it's (obviously) forbidden.
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