Apple’s Stand-Off With Developers Over the App Store Puts It on the Wrong Side of Innovation | Inc.com
Apple controls the entire App Store, including deciding which apps are available there. Apple would argue its insistence on such rigid control of the app review process is so it can guarantee the best experience for users, preventing malicious or objectionable apps. At the same time, it also imposes requirements on developers around how they monetize their apps or services.
Where that gets complicated is with apps that serve as a way to access a service you already use and have subscribed to. Think Netflix. People used Netflix before there was an iOS version. The app just makes it possible to use the service on your device. You can’t, however, sign up for Netflix within the iOS app (though that hasn’t always been the case).
In the case of a game or a productivity app, you might pay a fee when you download it, or if you choose to “upgrade” or subscribe to gain access to additional features. That’s pretty cut and dry. So is the fact that Apple takes 30 percent of whatever you pay. (In the case of a subscription, that drops to 15 percent after the first year.)
If the developer offers a way to sign up in the app, Apple will take its cut. Many services, like Netflix, get around that by forcing you to sign up outside the app. You can understand why Apple isn’t a particular fan of this approach since it misses out on a cut.
The problem is that despite the fact that Apple is pretty good at creating great products, it doesn’t have a monopoly on great stuff. Thousands of app developers are creating incredibly innovative apps, and I’m not sure Apple should be the final arbiter of the relationship between those developers and iPhone users.
There’s an irony that Apple’s brand was long built as the young, scrappy, underdog, battling against the giant tech machine. It was the one that broke all the rules while creating iconic and innovative products. Now that it’s one making the rules, it’s more clear than ever, Apple has become the machine.