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Apple execs describe a “unique arrangement” with Netflix (2018)

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Re: Apple execs describe a “unique arrangement” with Netflix (2018)

#161
post #83

I am pretty sure I read something similar before. Probably from Benedict Evans or somewhere else. I think the most important issue from these email isn't the lack of Alternative App Store, IAP, or 70/30 split. It is that Apple Execs has Zero understanding of how other business works especially with respect to Internet or Software Services. They continue to think Netflix as a physical product ( As they often like to c…

For comparison Netflix spends about $1.2 Billion dollars per year on AWS (Amazon Web Services). Their total revenue last year was 27.5B. So that means that AWS fees account for 4.3% of Netflix's revenue. AWS is streaming video, operating hundreds of edge location CDN locations, and everything else running on expensive server infrastructure. AWS has real serious costs with offering that service, to the point that Netf…

Is it reasonable to suggest AWS's primitives and even finished cloud products for video delivery are largely commodities?

Wheras, there is no such thing as the other App Store?

IIRC, Apple customers spend more and don't quote me on this, but are more influential in the spending of others. If that's true, then I think this comment under-represents the utility of operating in the App Store.

It doesn't necessarily mean that it should command the 15% tax, but it isn't "no value" either.

Re: Apple execs describe a “unique arrangement” with Netflix (2018)

#163

Earlier quoted context omitted.

>AWS is streaming video, operating hundreds of edge location CDN locations, and everything else running on expensive server infrastructure. AWS has real serious costs with offering that service, to the point that Netflix has yet to determine that it is better to build it themselves. Somewhat off the core topic, but netflix run their own CDN (I also don't see any evidence for that 1.2 billion AWS bill figure, can you…

I'm not sure Netflix Open Connect counts as a CDN? They might still use distributed servers from AWS.

Netflix themselves classify it as a content delivery network, and that seems pretty fair - how else would you classify a network they have built to optimise content delivery, by way of peering agreements and physical kit they deliver to ISPs on demand?

They do use AWS for a lot of their internal compute and packaging, but it wouldn't be cost-effective to use AWS for content delivery, even with a deep discount to the highway robbery standard AWS egress prices.

Re: Apple execs describe a “unique arrangement” with Netflix (2018)

#164

Earlier quoted context omitted.

In other words, Netflix is harder to cancel directly than through Apple's subscription UI. As is the case for virtually every dark pattern subscription (most of them) when not through Apple. This isn't a problem, it's a benefit -- from customer point of view. Apple makes a customer-friendly rather than seller friendly subscription UI, the reason I won't subscribe to things any more except through Apple. It's genuinel…

Apple is pretty dark-patterny about the subscriptions too. On Android the refund/uninstall button is right next to the open button in the Play store. You buy an app, don't like it, click a button and return it. I just bought an iPad app the other day (my first), it didn't meet my needs, but I still can't figure out where to go to refund it. And Apple's subscriptions expire immediately if you cancel during a free tria…

> And Apple's subscriptions expire immediately if you cancel during a free trial, whereas the Google ones will still let you finish the term of your trial.

Amusingly, this is only the case for Apple's first-party subscriptions. Third-party IAP subscriptions for which you are in the free trial when you cancel will continue to provide "access" until the trial period concludes.

Re: Apple execs describe a “unique arrangement” with Netflix (2018)

#165
post #27

Earlier quoted context omitted.

What is the consequence of such a blatantly false testimony to Congress?

It's only blatantly false if you ignore the context that it was spoken in of talking about basic App review and not IAP commission. And plenty of wiggle room there, especially if the "same process applied to everyone" includes the stage "Have we negotiated a contract with them for an exception on this" Not that I think that anything would happen if it were in the IAP context.

Err... even in that context, it's blatantly false.

https://web.archive.org/web/20210712060426/https://www.teleg...

Re: Apple execs describe a “unique arrangement” with Netflix (2018)

#166
post #132
post #83

I am pretty sure I read something similar before. Probably from Benedict Evans or somewhere else. I think the most important issue from these email isn't the lack of Alternative App Store, IAP, or 70/30 split. It is that Apple Execs has Zero understanding of how other business works especially with respect to Internet or Software Services. They continue to think Netflix as a physical product ( As they often like to c…

Woz never seemed bad at teamwork. "Whole banana" was the results of jobs obession with dictatorial control, not the cause of it. Woz tried to add expansion ports to the Apple computer, but Jobs refused. Jobs seems to be throwing Woz under the bus (as usual) to deflect from his own flaws.

> Woz tried to add expansion ports to the Apple computer

Like the expansion slots in the [Apple II, Apple ///, Mac II, IIgs, Power Mac, Mac Pro, etc.] or the [SCSI, ADB, USB, FireWire, PC/Express/SD card, Thunderbolt, etc.] expansion ports on various Apple computers?

Re: Apple execs describe a “unique arrangement” with Netflix (2018)

#167

Earlier quoted context omitted.

For comparison Netflix spends about $1.2 Billion dollars per year on AWS (Amazon Web Services). Their total revenue last year was 27.5B. So that means that AWS fees account for 4.3% of Netflix's revenue. AWS is streaming video, operating hundreds of edge location CDN locations, and everything else running on expensive server infrastructure. AWS has real serious costs with offering that service, to the point that Netf…

>AWS is streaming video, operating hundreds of edge location CDN locations, and everything else running on expensive server infrastructure. AWS has real serious costs with offering that service, to the point that Netflix has yet to determine that it is better to build it themselves. Somewhat off the core topic, but netflix run their own CDN (I also don't see any evidence for that 1.2 billion AWS bill figure, can you…

Obiously they've meant IX PoP's or stuff inside ISP networks.

Re: Apple execs describe a “unique arrangement” with Netflix (2018)

#168

Earlier quoted context omitted.

This is a solved problem. Just do what most American cities do with other natural monopolies like utilities: use careful price controls to cap margins and slow rate increases. You don't need to invent some esoteric market-based solution, especially for a service where marginal costs are near zero and supply is almost infinite.

My city recently forced every resident into an esoteric market-based solution for electricity (sold with a pack of lies about renewable energy and reduced rates) that required explicit opt-out to avoid and stay with the provider who actually generates power and services the people on its infrastructure.

Which city?

Re: Apple execs describe a “unique arrangement” with Netflix (2018)

#169

Earlier quoted context omitted.

You snark, but legally preventing banks from offering better rates to favored clients would probably be a good thing for society and the banks themselves. After all, plenty of charming and well liked clients have turned out to be terrible credit risks.

Credit scores are a very good thing. Someone who pays their bills on time shouldn’t have to pay the same rate as someone who always skips the bill, and without them, every loan would have 10% interest at least, even for mortgages

The concept is fine. The implementation is garbage (in the US), and insufficiently transparent.

Re: Apple execs describe a “unique arrangement” with Netflix (2018)

#170
post #132

Earlier quoted context omitted.

Woz never seemed bad at teamwork. "Whole banana" was the results of jobs obession with dictatorial control, not the cause of it. Woz tried to add expansion ports to the Apple computer, but Jobs refused. Jobs seems to be throwing Woz under the bus (as usual) to deflect from his own flaws.

> Woz tried to add expansion ports to the Apple computer Like the expansion slots in the [Apple II, Apple ///, Mac II, IIgs, Power Mac, Mac Pro, etc.] or the [SCSI, ADB, USB, FireWire, PC/Express/SD card, Thunderbolt, etc.] expansion ports on various Apple computers?

yes. Here's wikipedia on the Apple II:

"During the design stage, Jobs argued that the Apple II should have two expansion slots, while Wozniak wanted eight. After a heated argument, during which Wozniak threatened that Jobs should "go get himself another computer", they decided to go with eight slots."

https://en.wikipedia.org/wiki/Steve_Wozniak

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