Apple makes subscription business model in the App Store more attractive
Apple wants to become more attractive to app developers and content providers and is giving them a higher share of subscription revenue.
Currently, Apple generally retains 30 percent. In the future, it will only be 15 percent after the first year. When it comes to selling apps, the distribution will remain the same as before, marketing boss Phil Schiller told the technology blog "The Verge" on Wednesday. The change could encourage more providers to switch from one-time sales to a subscription model.
Google wants to follow suit, according to a media report. The Internet company also wants to leave 85 percent of subscription revenues to developers instead of 70 percent - and not just after the first year, but right from the start, the technology blog "Recode" wrote on Thursday night.
Apple's App Store is considered more lucrative for software developers and content providers than Google's Android because iPhone users are more willing to spend money. At the same time, however, Android has a market share of over 80 percent of the smartphone market and iPhones around 15 percent. That, in turn, also makes Android attractive as a platform.
In the future, paid advertising for applications will also appear in the results list when searching in Apple's App Store, Schiller added. The company has accelerated the approval process for new apps. Half of them will be checked within 24 hours and 90 percent after 48 hours.
In the past, it sometimes took a week for an application submitted to Apple to make it into the App Store. (SDA)
