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Regulators probe Apple 30% subscription plan

reuters.com

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Re: Regulators probe Apple 30% subscription plan

#51

Post by brown9-2 »

ghshephard wrote: post #46

The last thing we need at this stage of the game is "Regulators" messing around in the market. It's early years, in the tablet market, and Google is going to come out with some awesome android operating systems, and I'm confident we're going to see some great tablets that will let me read my Kindle books on. If Apple wants to shoot itself in the foot, and send everyone over to Google/honeycomb tablets by coming up wi…

How does one know when the the market has entered the stage where regulation is ok? I'm not sure how anyone can tell whether if the timing is "too early" or "just right".

Re: Regulators probe Apple 30% subscription plan

#52

Post by commandar »

danilocampos wrote: post #17
benologist wrote: post #15

Earlier quoted context omitted.

Except Apple didn't build Netflix any more than HP, Dell or LG did, all of whom provide devices you can use for Netflix. Why doesn't Firefox get to charge 30%? A big chunk of people probably get to Netflix via it.

So we'll let the market decide which approach provides better value and a better user experience. Sounds like we've all got options, so what's the problem?

Because Apple's terms are distinctly anti-market. Apple is forcing vendors that sell content on their platform to incur a 30% overhead, and then forcing them to maintain the same pricing across all platforms.

So you have an overhead that doesn't exist on other platforms artificially introducing pricing inefficiencies elsewhere. Just the tip of the iceberg, really.

Re: Regulators probe Apple 30% subscription plan

#53

Post by reedF211 »

Apple has gone too far trying to gouge developers and the backlash is well deserved. I was planning on buying an ipad but I decided to boycott all Apple products until they back off from this madness. I bet if 90s Microsoft could travel ahead in time and see apple's behavior recently, even they would blush with blatant anti-competitive moves, monopolistic practices and gouging of their users.

Re: Regulators probe Apple 30% subscription plan

#54

Post by neild »

falcolas wrote: post #38
danilocampos wrote: post #17

Earlier quoted context omitted.

So we'll let the market decide which approach provides better value and a better user experience. Sounds like we've all got options, so what's the problem?

The problem is Netflix can't offer their content to Apple customers at $13, and everyone else $10. Apple using their position to remove those options you say consumers have.

Sure they can: Charge $13 for Netflix with iOS streaming, or $10 for Netflix with no iOS streaming.

Re: Regulators probe Apple 30% subscription plan

#55

Post by mortenjorck »

There is only one thing the DOJ should be concerned about with Apple's app subscription program, and that is the price requirement. As it's highly dubious that Apple has any kind of monopoly, it should be free to set whatever requirements it sees fit for its platform, but mandating other prices outside the App Store sounds an awful lot like restraint of trade to me: http://dictionary.findlaw.com/definition/restraint-of-trade....

*Not a lawyer

Re: Regulators probe Apple 30% subscription plan

#56

Post by zzleeper »

ghshephard wrote: post #46

The last thing we need at this stage of the game is "Regulators" messing around in the market. It's early years, in the tablet market, and Google is going to come out with some awesome android operating systems, and I'm confident we're going to see some great tablets that will let me read my Kindle books on. If Apple wants to shoot itself in the foot, and send everyone over to Google/honeycomb tablets by coming up wi…

I don't think they "shot themselves in the foot" in terms of profit. If they actually have a dominant position in the market (kinda true for ipads), then Amazon and the others will accept Apple's terms.

That means that EVERYONE ELSE will subsidize Apple prizes (since they have to sell their products at the same prize as in the ipad). With that subsidy, Apple can choose to lower the prices of ipads, thus cementing it's incumbent advantage.

Let's put it in another way: If MSFT circa 1999 forced every shop selling Windows programs for a 30% share (and lower or equal prices than everywhere else), and with that share they gave away Windows at a low price (or for free), then it would have been VERY HARD for Apple or any other competitor to disrupt Windows.

Re: Regulators probe Apple 30% subscription plan

#57

Post by [deleted] »

jokermatt999 wrote: post #48
alanfalcon wrote: post #42

Earlier quoted context omitted.

The parent comment makes no mention of any terms beyond the 30%. I agree that there seem to be some questionable terms (especially involving the most favored nation clause) but the 30% fee itself is simply not highway robbery. There are two roads to your customer on an iPhone. One is nicely paved with trees planted and maintained for maximum appearance, and if you take this road you're charged 30%. The other road is…

But Apple made the other path illegal, so as it stands, you have to give the bandits your money. Personally, I just hope people realize the kingdom of Android has a much nicer path. Sure, some parts aren't as nice as iOS, and the locals tend to do less business, but there are no bandits, and no gate keeping you out if the king suddenly decides he doesn't like what you're selling.

[deleted]

Re: Regulators probe Apple 30% subscription plan

#58

Post by alanfalcon »

jokermatt999 wrote: post #48
alanfalcon wrote: post #42

Earlier quoted context omitted.

The parent comment makes no mention of any terms beyond the 30%. I agree that there seem to be some questionable terms (especially involving the most favored nation clause) but the 30% fee itself is simply not highway robbery. There are two roads to your customer on an iPhone. One is nicely paved with trees planted and maintained for maximum appearance, and if you take this road you're charged 30%. The other road is…

But Apple made the other path illegal, so as it stands, you have to give the bandits your money. Personally, I just hope people realize the kingdom of Android has a much nicer path. Sure, some parts aren't as nice as iOS, and the locals tend to do less business, but there are no bandits, and no gate keeping you out if the king suddenly decides he doesn't like what you're selling.

Apple has not changed your ability to create a web app. I don't think you understood the analogy.

Re: Regulators probe Apple 30% subscription plan

#59

Post by juiceandjuice »

bryanallen22 wrote: post #22

Google Launches New Web Referral Program Google today announced a new Web Referral program as part of their search engine. Indexed web pages that accept payment will be required to accept Google Checkout as a payment option. Google Checkout payments now give Google a 30% cut per transaction. CEO Larry Page stated, "Our philosophy is simple - when Google brings a new buyer to the web page, Google earns a 30 percent sh…

Paypal Reacts, proposes same thing.

Companies offering payment from both services increase prices 170%.

Re: Regulators probe Apple 30% subscription plan

#60

Post by Bossman »

The issue isn't just the 30% subscription fee. The problem is they won't let app developers charge any more than they would on their own site to make up for the fee. Also, they can't link outside the app anymore to where the developer would actually get more of the profit.
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