Apple defends App Store's 30% cut ahead of Tim Cook testimony



For Cook, the questioning is expected to center around Apple’s App Store, which is the only way to install consumer software on an iPhone. For years, developers have alleged Apple engages in anti-competitive behavior, with complaints centering around Apple’s 30% cut of digital goods, and business practices such as requiring developers to use Apple’s payment system for digital purchases.

It’s a given that the App Store has to review the apps and ensure that the apps that we install are safe and secure. How can the process be made more easily accessible without compromising the security of our devices?

“The commission rates charged by digital marketplaces most similar to the App Store, such as other app stores and video game digital marketplaces, are generally around 30%,” the authors of the study wrote.

The Apple-backed study has four major findings:

  • Most app stores charge the same 30% cut on digital goods.
  • Retailers, travel booking services and other marketplaces can charge more than 30% for their services.
  • Distributing software through an app store is less expensive than distributing through brick-and-mortar retailers.
  • Other app stores and digital marketplaces often require users to use their in-app payment mechanism and forbid sellers from redirecting buyers to finish the transaction in another venue.

I wonder if anyone has done a comparison chart on this?


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