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If you make $10M in sales, Apple's cut is $6.2M annually

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Re: If you make $10M in sales, Apple's cut is $6.2M annually

#31

Post by nathan_phoenix »

I'm not sure why some call the authors choice of 1$ per install disingenuous. Wouldn't that be the averaged out profit per app when you combine paying and non paying users?

Like for each app which costs 5$ I'd expect that there's at least 5 non-paying users using the free version.

Update: Also, the revenue per app doesn't affect the 0.5$ per app install fee. Meaning, if the app is making less than 0.5$ per install, averaged over free + paying users, then one would just be loosing money...

Re: If you make $10M in sales, Apple's cut is $6.2M annually

#32

Post by layer8 »

EA-3167 wrote: post #18
Keyframe wrote: post #6

Earlier quoted context omitted.

4) This atrocity was written and mandated by Apple Of course people will still not boycott them. They're no better than Microsoft was in the 90's. Not sure if it comes at that high level of a company or they're not all that different to begin with.

They won't boycott them because 99.999% of people aren't mobile devs, and none of this impacts them in the slightest. It didn't impact them when the price was 30% of anything over $1 mil, it doesn't impact them now. The average consumer of Apple products doesn't even care about side-loading, although I'm sure a significant minority is very pleased that it's an option going forward. I really like this site, but people…

The pricing model very much impacts users, because it incentivizes higher app prices, as well as subscriptions over one-time purchases. Users certainly don’t like subscriptions (but Apple loves those).

Re: If you make $10M in sales, Apple's cut is $6.2M annually

#33

Post by kj99 »

ezfe wrote: post #26
kj99 wrote: post #23

Earlier quoted context omitted.

$1 apps that make more than $10,000,000 in annual revenue?

The annual revenue does not affect the €0.50/install fee. 10 million installs would cost €500,000 for a free app under the new terms.

That's true but it doesn't contradict my point about a $1 app with 10 million installs.

In any case, a free app can always be released under the current terms.

I think the obvious point is that free to consumer apps still cost something in terms of the platform. It has been a common complaint in the past that apps like Uber or Facebook have a huge number of installs but don't pay anything. This simply brings transparency to that.

Re: If you make $10M in sales, Apple's cut is $6.2M annually

#34

Post by layer8 »

ezfe wrote: post #26
kj99 wrote: post #23

Earlier quoted context omitted.

$1 apps that make more than $10,000,000 in annual revenue?

The annual revenue does not affect the €0.50/install fee. 10 million installs would cost €500,000 for a free app under the new terms.

1 million installs already, not 10 million. And updates count as installs, so it is practically a yearly per-user fee.

Re: If you make $10M in sales, Apple's cut is $6.2M annually

#36

Post by lxgr »

ezfe wrote: post #3

Things to note: 1) The new terms are opt-in 2) The new terms have not been approved by the EU 3) The reason for the disparity is 10 million installs, which exceeds the 1 million threshold to pay €0.50/install. If you charge €1/install then you're paying 50% to Apple for that fee. If you charge €2/install then you'd be paying 25% to Apple because the fee is flat.

> The new terms are opt-in

It's unclear whether the old terms will be around forever or will be available to new developers.

They're also all-or-nothing for a given organization, as far as I understand; not sure if there's a way to form an "old terms subsidiary" entity.

Re: If you make $10M in sales, Apple's cut is $6.2M annually

#37

Post by itsnotafight »

goenning wrote: post #21
tananaev wrote: post #9

And most card payment processors will charge you more than 30% commission if you sell a product for $1. The numbers are specifically picked to make it look bad without providing a clear disclosure.

Where did you get that from? I only pay 10% fee on $1 online transactions

What processor?

Re: If you make $10M in sales, Apple's cut is $6.2M annually

#38

Post by impoppy »

And the conclusion this guy makes is "I will never launch an app in Europe". I am speechless. This is the same guy charging $7500 a month for 60 minutes of consulting, promising $1M ARR for your app. And him, being supposed to know what exactly Apple meant by "we are protecting our users from dangers and malwares imposed to our users by the EU and DMA", blindly shills for the top tier anti consumer comapny of the century. And there are lots of people like this just walking around, making decisions, driving, voting and posting on social media!

Re: If you make $10M in sales, Apple's cut is $6.2M annually

#40

Post by impoppy »

goenning wrote: post #17

> pay per install Isn't this the same model Unity tried a few months ago and rolled back after being flamed by the community?

Not even per release, which could've been justified by what they said about automated and manual reviews of apps submitted to _third party marketplaces_.
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