Originally Posted by kpluck
You clearly are misinformed on the economics of these businesses. In many cases that 30% is going to have a huge impact on profit.
If Amazon is forced into these rules I bet you will see the Kindle app disappear from the App store. It would be more cost effective for Amazon to give iOS users Kindle hardware then to give Apple a 30% cut of the sales.
Being an Apple user is like living in a crime ridden neighborhood when a gang moves in and promises to clean it up. At first it is great, but then the gang starts wanting more and more for their services and soon the neighborhood is worse off.
I would encourage everyone to avoid these in-app purchases and subscriptions.
I would also like to point out the quote in my sig. It seems Steve's views on users are quite clear. They are money machines to suck dry, pure and simple.
You're generalizing too much. And while your colorful story is cute, it doesn't work. No company needs to be in the Apple ecosystem who didn't start there. If they feel they don't want to be there, they don't have to move there, or they can move out.
If they don't, then it shows that they believe being there is better than not being there.
We might as well say the same things about song pricing. I remember when songs were priced between $2.75 and $3.50 per song. That's years ago without taking inflation into account. Music companies didn't think iTunes would take off, so they went along with Apple's 99 cent pricing. Boy, were they wrong! But when Apple went to a higher quality product, they demanded a 30% pay hike. That pay hike has been responsible for the great slowdown in music download growth. So Apple's "strong-arm"tactics were right, and their free pricing was wrong.
Are they making more per song now? Sure. But sales aren't as great as they would have been, so they aren't making as much as they could be.
It's very possible that selling their wares on iTunes, even with a partial pay cut, would prove more profitable than doing it the old way. After all they haven't been successful in selling subs over the Internet yet.
And it must continue to be pointed out that Apple will allow purchasing of these subs out of iTunes or the AppStore without taking a single dime from these companies. It,s not as though Apple is demanding all the money from every sub.
And then there's the other big fight Apple has been having with publishers, and that's the information about the subscriber. That was considered by the publishing industry to be critical, and it's been resolved in their favor. That's a VERY big issue, as most subs aren't paid for by the sub price, it's paid for by the advertising within the publication.