Apple, Not Amazon, Is the Largest Online Retail Force

Posted by dankul1 on Monday August 17, 2020 @09:36AM
from the forbes.com dept.

( 2 comments | 3 points | on HN )

Re:Apple, Not Amazon, Is the Largest Online Retail Force by Someone on Monday August 17, 2020 @11:21AM (#24188119)

“Last year, the App Store’s apps (used on the iPhone) earned a staggering $519 billion in sales
[…]

Apple tacks on an “Apple tax” of 15-30% to every penny its third-party apps earn from Apple customers in the app”

I find it hard to reconcile those two numbers. Apple’s net income is about $60 billion (https://www.apple.com/newsroom/pdfs/Q4%20FY19%20Consolidated...). The hardware they sell has high margins, so it should bring in part of that $60 billion.

The statements above seem to say they also get at least 15% of $519 billion, or $78 billion from their ‘tax’.

If so, why isn’t net revenue a lot higher?

What do I overlook?

(Aside: Apple’s percentage is 15 or 30% of sale price, isn’t it? That would make the percentage they add 18 or 43%)

[ Parent | on HN ]

Re:Apple, Not Amazon, Is the Largest Online Retail Force by tantalor on Monday August 17, 2020 @09:53AM (#24187206)

No. Purely digital goods & services (apps, video, games, etc.) are not "retail".

Retail means "physical stuff".

[ Parent | on HN ]