Re:Spotify: Apple rejected our app update to drive iPhone us...
by Jtsummers on Friday July 01, 2016 @12:22PM
(#12017448)
Not exactly. The problem is that you're not paying for the Spotify app itself, you're paying for a subscription service that Spotify provides, not Apple. Apple (corporation) doesn't store or stream the content that Spotify is providing, Spotify does. And Spotify streams it over the network connections the user (typically) pays for.
It may make sense for Apple as payment processor to take a cut, but not the 30% that they are for subscriptions. Subscriptions aren't actually adding features to the app, as demonstrated by the fact that you can subscribe outside the app (through Spotify's website), and still get the same content.
This is different than, say, my purchase of OmniFocus or another app. I'm not subscribing to anything, it's a one-time purchase enabling the app, perhaps more purchases later to enable more app features through in-app purchases.
The same problem, for me, exists with other subscriptions like, for instance, newspapers/magazines. Apple takes a big cut if I subscribe through the app, but going to their website I can subscribe and they retain more of the purchase price, and I can still access the content through the app.
TL;DR: Apple is acting as a payment processor and thinking they can get away with a 30% cut. Unlike apps which are hosted and vetted by Apple before making it into the app store, subscriptions to content are neither hosted nor vetted (beyond content type/suitability like porn being blocked - still?). The cost they impose on Spotify or any other subscription service is absurd.
It may make sense for Apple as payment processor to take a cut, but not the 30% that they are for subscriptions. Subscriptions aren't actually adding features to the app, as demonstrated by the fact that you can subscribe outside the app (through Spotify's website), and still get the same content.
This is different than, say, my purchase of OmniFocus or another app. I'm not subscribing to anything, it's a one-time purchase enabling the app, perhaps more purchases later to enable more app features through in-app purchases.
The same problem, for me, exists with other subscriptions like, for instance, newspapers/magazines. Apple takes a big cut if I subscribe through the app, but going to their website I can subscribe and they retain more of the purchase price, and I can still access the content through the app.
TL;DR: Apple is acting as a payment processor and thinking they can get away with a 30% cut. Unlike apps which are hosted and vetted by Apple before making it into the app store, subscriptions to content are neither hosted nor vetted (beyond content type/suitability like porn being blocked - still?). The cost they impose on Spotify or any other subscription service is absurd.