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YOUR SEARCH FOR COMMISSION RETURNED 19 RESULTS


 * INDUSTRY BUZZ
   
   Apple legal filing indicates it intends to collect commission regardless of
   whether developers use IAP or a competing payments platform
   
   Google is already preparing to do this in South Korea, as a result of recent
   legislation there.
   
   Commissions on outside payment methods are something most analysts agree are
   specifically allowed under the terms of the Epic v. Apple ruling, but
   'allowed' and 'preferable' are quite different — one theory I've seen is that
   this filing is simply leverage, intended to get a stay on the ruling that is
   due to allow links to external payment methods starting on December 9.
   
   ISSUE 33 • DEC 4TH 2021


 * WALLED GARDENS
   
   Apple’s App Store and Other Digital Marketplaces [PDF]
   
   Apple sponsored a study to compare commission rates charged by popular
   digital marketplaces (which includes the App Store, but also Uber, Airbnb,
   Etsy, Roku, Steam, and so on).
   
    * Yes, sounds like 30% is the benchmark today for pretty much everyone.
    * No, this isn’t going to do anything to address the underlying developer
      protest over why any app store is worth a 30% cut (even if they might have
      been in the past).
   
   As evidence of the second point, yesterday saw some interesting whiplash on
   Hacker News: two of the day’s most popular comment threads were an
   [incorrect] report that Apple keeps their 30% cut even after a refund, and
   then the follow-up correction that no, they actually don’t do that anymore.
   
   ISSUE 11 • JUL 31ST 2020


 * WALLED GARDENS
   
   Google Play to pilot third-party billing option, starting with Spotify
   
   Yes, this is the mythical 'third-party in-app payment option'.
   
   No, this is not a 'get-out-of-commission-free card'.
   
   The details of this pilot program are not public, but that doesn't mean we're
   without precedent: Google already offers a similar program in South Korea,
   and the commission rate is only reduced by 4% for non-Google payment methods.
   
   ISSUE 37 • MAR 26TH 2022


 * WALLED GARDENS
   
   The Small Business Program is a huge, clever U-turn by Apple
   
   Via a middle-of-the-night press release, buried in the middle of this week's
   Apple Silicon MacBook noise, Apple just announced a new program to cut App
   Store commission rates from 30% to 15%…for ‘small businesses’.
   
   In other words, commission rates are cut in half for all of the companies
   that hadn’t really been complaining all that loudly (perhaps because they
   lacked a tall enough soap box), but which everyone was assuming made up the
   silent majority.
   
   It’s a great chess move. The impact on Apple’s App Store revenue will
   probably be statistically insignificant, and the big tech companies that are
   complaining loudly now look a whole lot more lonely.
   
   ISSUE 16 • NOV 20TH 2020


 * TOOLS
   
   App Store Promote Tool
   
   This week, Apple released a couple of self-serve tools to help developers
   promote their apps.
   
   They're…basic. But maybe a sign of more to come? After all, a robust array of
   tools integrated directly with the App Store could help justify that 30%
   commission rate…
   
   ISSUE 30 • SEP 18TH 2021


 * WALLED GARDENS
   
   Their Businesses Went Virtual. Then Apple Wanted a Cut.
   
   At the risk of going overboard this week on the topic of App Store
   commissions, here’s a perfect illustration of the system’s quirks: COVID has
   forced business models to adapt, and formerly-offline activities like gym
   classes are now online gym classes.
   
   …which suddenly makes payments for them subject to Apple’s 30%.
   
   ISSUE 11 • JUL 31ST 2020


 * WALLED GARDENS
   
   'This is exposing our weak points': Amazon changes teach publishers - again -
   platform dependence is risky - Digiday
   
   Remember a few years ago, when Facebook made algorithm changes and publishers
   swore to get serious about revenue diversification?
   
   Turns out many of those publishers ‘diversified’ right into the open arms of
   Amazon’s affiliate program, which announced this week that commission rates
   would be cut in half. Ouch.
   
   ISSUE 4 • APR 24TH 2020


 * INDUSTRY BUZZ
   
   Patrick McGee on Twitter: "Overnight both @Apple and @EpicGames released
   hundreds of pages of new documents, containing lots of colour based on
   discovery and recent depositions. I stayed up reading so you don't have to."
   
   The Apple v Epic lawsuit is ongoing (recap: Fortnite tried to enable in-app
   purchases without going through the App Store framework, and got kicked off
   the platform by Apple in response), and it's bringing to light some very
   interesting details.
   
   This thread is FULL of fascinating scoops, but the clear theme is that Epic
   wants to demonstrate that the App Store's benefits aren't worth Apple's 30%
   commission.
   
   ISSUE 24 • APR 17TH 2021


 * COMMENT
   
   Bloomberg dropped an explosive-sounding report this week: Apple to Allow
   Outside App Stores in Overhaul Spurred by EU Laws (here's an alternative
   TechCrunch article, if you aren't a Bloomberg subscriber).
   
   Most of the media is talking about this story like some sort of bombshell
   scoop, but it really shouldn't be a surprise — the bones of the the Digital
   Markets Act (the 'EU Laws' referenced here) have been an open secret for a
   while.
   
   It's good to see progress on this, but I've said it before (more than once)
   and I'll say it again: this is the worst outcome for pretty much everyone
   involved. Yes, there are many issues with walled garden app stores, but there
   are also major benefits (no one really wants a return to the days of Windows
   98, when an antivirus scanner was the only thing standing between your
   computer and total anarchy). The unwillingness shown by Apple and — to a
   somewhat lesser degree — Google towards engaging in any sort of thoughtful
   compromise is leading to 'product roadmap by regulation'. And since that is
   basically how we got into cookie consent banner hell with GDPR, I don't think
   anyone is going to be thrilled with the outcome this time either.
   
   John Koetsier has a great piece on all the open questions around what this
   new, multi-store world would look like, but I think the key point is this:
   the primary driver here is pretty obviously a challenge to the 15-30%
   commission rate. And we already have a clear playbook — going back years —
   for how Apple and Google respond in these scenarios: they will give only the
   bare minimum in concessions necessary to comply with the literal letter of
   each new law.
   
   These changes will be no different, which means we should expect them to come
   with UX requirements designed to make things as unappealing as possible…and
   some other way to collect an equivalent amount in fees. This is scorched
   earth, trench warfare, and the unfortunate thing is that it's just ultimately
   harming the broader mobile ecosystem.
   
   --------------------------------------------------------------------------------
   
   PS, barring some unforeseen, apocalyptic event, this will be the final Mobile
   Growth News of 2022. Thanks for reading, for your thoughtful replies (I
   respond to all of them!), and for coming along for another year of mobile
   growth. Happy holidays, and see you all again in 2023!
   
   ISSUE 49 • DEC 17TH 2022


 * INDUSTRY BUZZ
   
   Google will reduce Play Store cut to 15 percent for a developer’s first $1M
   in annual revenue
   
   Google is responding to Apple's App Store Small Business Program, which
   reduces the App Store commission to 15% for select developers (with some
   fairly strict limits and caveats). However, Google is upping the ante in the
   process: their new Play Store program applies to the first $1 million in
   earnings for all developers.
   
   This handily avoids the 'revenue cliff' problem some iOS developers face,
   where they suddenly find themselves out of the Small Business program and
   subject to a flat 30% fee for slightly exceeding the cutoff.
   
   Both policies are obviously good news, but Google's seems simpler and less
   likely to lead to unpleasant surprises.
   
   ISSUE 23 • MAR 20TH 2021

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