- [email protected]
- Last Active
- unconfirmed, member
NFC is crusty old tech.
Ars Technica had an article in 2013 complaining about years of NFC hype while nothing happened.
Banks just recently caught up with 2010 and started using NFC. Banks love crusty old tech.
Apple never liked it, but if they want to play in mobile payments, which they do, they need to go with old tech the banks can handle.
If Apple is forced to keep supporting NFC at the low levels banks want access to, they will be stuck with it longer and their options for moving forward will be restricted.
That is what they mean by stifling innovation.
jayweiss said:There will be no more FREE Apps. Someone is going to have to pay for the infrastructure that provides developers a storefront where their Apps can be discovered.There is no such thing as a free lunch.
If these will have to start paying many will just leave and users will have to use their website.
Then even more developers will not think it worth the trouble, and money, to be on the AppStore.
This downward spiral might force Apple's take to go below break-even.
Things are going to get messier for developers.
The regulators are not going to demand Apple provides its services for free.
So, if Apple can no longer charge for use of their service by making it part of payments, they wil charge developers another way.
Make them pay more for the developer license, pay per app submission, pay per download, etc.
They could have a free tier for small developers.But this would mean that developers would have to submit accounting of their business to prove they are in fact small developers.
Maybe Apple will just start charging those that do not qualify for the small business program, those that make more than 1 million on the app store, a lot more for developer membership, and also for dev tools and app submissions. Apple hinted at this in the Epic trial. They will get their money one way or another, they prefer the system they have now.
gatorguy said:tundraboy said:LexerArray said:
People are arguing for reasonable commissions for those use cases that resolves a big discrepancy in pricing that we are seeing today.
According to expert testimony in the Epic case, from that 30 cent cut Apple spends 9 cents in supporting services and hardware to earn it. That leaves 21 cents as clear profit. That's a very healthy return, so no wonder Apple is so big on "Services".
Epic thinks this is unfair because they are effectively subsidizing the free apps, some of which are their competitors.
But that is just how taxes work, you pay for stuff you don't need, or even stuff you would like to not exist.
Epic is like someone who does not want to pay road tax for all the roads other people use.
gatorguy said:rob53 said:darkvader said:dewme said:Where this headed is that more and more apps will be free to download with a subscription managed totally out-of-band by the app developer. This is exactly how Microsoft Office 365 (and other subscription based apps) works today and it’s really not a big deal.
From a consumer perspective it just means that you’re having to deal with a separate payment system for all of these out-of-band subscriptions and you’re handing out your personal and financial information to many more people. In other words, consumers are taking on more complexity, inconvenience, and privacy/security risk so that App developers can skim a little more profit from you. Yes, they can be nice and pass along some of their savings to you, but they don’t have to. They can charge whatever they want and with addictive games the sky is the limit.
In the end, these out-of-band app subscription payment services aren’t screwing Apple nearly as much as they are screwing their customers.And all because Apple got far too greedy. A 30% cut is absolutely insane.Not that this is how I think the situation should be resolved. Regulators need to end Apple's app store monopoly. It's MY iPhone, not Apple's iPhone, and I should be able to install apps from any source of MY choosing. Apple's app store monopoly needs to end.
Based on courtroom testimony in the Apple/Epic trial it IS relatively cheap to operate Apple's AppStore. As little as 22% of what Apple keeps as their cut from app sales is enough to pay for it. The other 78% may be pure profit for them.
Translation: For a $5 purchase on the AppStore the developer typically gets $3.50. That leaves $1.50 for Apple. From that Apple uses .33 cents to support the service, servers, and all other necessary infrastructure. That leaves Apple with $1.17 in pure profit from the $5 app sale for simply enabling the transaction. Every developer would love having that impressive a margin.