There's been growing unhappiness with Apple's in-app subscription policies. Yesterday, Apple launched their subscription service in the App Store. This allowed publishers to sell subscriptions to their publications within their apps. The catch is, Apple gets a 30% cut of all revenue from in-app purchases. Apple's also being strict with workarounds. If publishers provide users with the ability to purchase digital subscriptions outside their apps, they must also provide the same subscriptions at the same price or cheaper within the app. They cannot post a link in their apps to prompt users to go to a different source to purchase their subscriptions.
A lot of publishers have made their opinions on this matter pretty loud and clear. A representative for the Online Publishers Association has expressed reservations on Apple's policies. A Sony executive has basically said that Apple is holding publishers at ransom with these policies. What's going to be interesting is Apple's reaction. A publisher, Rhapsody has already ominously warned Apple of legal action. Will Apple hold another press conference? Or will they not give a flying banana? It's a wait and watch game we're playing.
Published Date: Feb 16, 2011 11:01 am | Updated Date: Feb 16, 2011 11:01 am