[HN Gopher] Apple and Google must allow other payment systems, n...
       ___________________________________________________________________
        
       Apple and Google must allow other payment systems, new Korean law
       declares
        
       Author : commoner
       Score  : 1050 points
       Date   : 2021-08-31 10:25 UTC (12 hours ago)
        
 (HTM) web link (www.theverge.com)
 (TXT) w3m dump (www.theverge.com)
        
       | exabrial wrote:
       | Quite simply, if we're going to allow monopolies (which is a bad
       | idea, but here we are), we need to trend towards a platform owner
       | cannot compete inside the platform they are collecting revenue
       | from. You get to own the platform and collect commission from
       | players, or you get to own the platform and compete inside of it,
       | but not collect commissions from competitors.
        
       | Dah00n wrote:
       | When the EU does the same things will turn for real.
        
         | weddpros wrote:
         | and they can, because there's not a single EU company with an
         | app store to harm. App stores are designed for profit, not
         | simply for our convenience.
         | 
         | Imagine a government forcing AirBnb to let people pay hand to
         | hand to the owner of the apartment. It's the same issue, right?
        
           | perryizgr8 wrote:
           | No it is not the same issue. Airbnb doesn't have a say if I
           | make arrangements of my own with the host. We lose the
           | benefits and security provided by airbnb if we think that
           | airbnb's cut is unjustified.
           | 
           | I only wish we (users and devs) could do that on Ios.
        
             | weddpros wrote:
             | I'm pretty sure the "arrangements" you're talking about are
             | against their TOS, except if they happen after your stay
             | booked on AirBnB...
        
               | perryizgr8 wrote:
               | That's ok. Airbnb is free not to do business with me. But
               | I am free to do whatever I want with my property as
               | owner. That is not the case when dealing with Apple. They
               | block usage of my own hardware.
        
             | commoner wrote:
             | Actually, Airbnb does have strict anti-steering rules just
             | like Apple and Google do. Several lines from their off-
             | platform policy:
             | 
             | > In order to protect our community and business, the
             | following behaviors are prohibited:
             | 
             | > Taking people off of the Airbnb platform for new,
             | partial, or future bookings
             | 
             | > Contacting potential guests prior to booking on Airbnb to
             | move the booking off of Airbnb (ex: offering discounts to
             | book off of Airbnb)
             | 
             | > Asking guests for contact information prior to booking;
             | all guest communications prior to booking must be on Airbnb
             | 
             | > Asking for or using guests' contact information to settle
             | additional payments outside of Airbnb's platform; all
             | payments related to a guest's stay, including extensions of
             | a stay (and besides exceptions identified below), must go
             | through Airbnb (ex: using the Resolution Center)
             | 
             | https://www.airbnb.com/help/article/2799/airbnbs-
             | offplatform...
             | 
             | These rules are just as anti-competitive as the anti-
             | steering rules in the Apple and Google app stores, and
             | entrench Airbnb's market position.
        
               | perryizgr8 wrote:
               | I get that. But what will they do? I can still flout
               | their rules. Problem with iOS is that I can't do what I
               | want with the hardware I paid for.
        
               | commoner wrote:
               | Airbnb can ban you from their platform. This is more of a
               | problem for hosts (since Airbnb dominates the "home-
               | sharing" market) than for guests (who have plenty of
               | hotel and vacation rental options).
        
               | perryizgr8 wrote:
               | As a host, even if airbnb bans me, I can still do
               | whatever I want with my own property. That is not true
               | when it comes to iPhone. I am out of luck as a user and
               | also as a dev, my phone becomes a paperweight unless I
               | abide by apple's rules.
        
               | [deleted]
        
               | dannyw wrote:
               | I can switch to Vrbo or even just Craigslist.
               | 
               | I don't lose out on reaching ~100% of customers, because
               | Apple and Google control access to effectively 100% of
               | customers and act like a duopoly.
        
           | blackoil wrote:
           | If AirBnb and X capture market in an duopoly, maybe govt.
           | will have to and should intervene.
        
             | dannyw wrote:
             | They wouldn't need to, because guests and hosts are welcome
             | to use other platforms that exist.
             | 
             | Android OR iOS is an exact duopoly.
        
             | commoner wrote:
             | One research firm says that Airbnb and Expedia (which owns
             | Vrbo, Expedia.com, Hotels.com, and 5 other sites) control
             | 93% of the online travel agency market. That looks like a
             | duopoly to me.
             | 
             | https://www.earnestresearch.com/airbnb-1-among-otas-hotels/
        
           | dannyw wrote:
           | There is a big difference between computing devices and
           | marketplace services.
        
           | KptMarchewa wrote:
           | Uber allows cash payments. Don't see why would it be a
           | problem for Airbnb.
        
           | Hamuko wrote:
           | Right, because GDPR was enacted not because it was a good
           | idea, but rather because GDPR only harmed non-European
           | companies.
        
             | kzrdude wrote:
             | Gdpr was a jobs program for European web devs :)
        
           | jpambrun wrote:
           | It more like if airbnb could somehow prevent competitors (say
           | oxigenbnb) from reaching the internet.
        
       | zibzab wrote:
       | Nowhere near as bad as the Apple vs Samsung.
       | 
       | IIRC, one guy in the jury had lost his business in a previous
       | court fight with Samsung. How was that not discovered during the
       | jury selection process??
       | 
       | Edit: this was not a popular comment..
        
       | freakynit wrote:
       | Allow? That should be the norm. It should be "South Korea will
       | stop Apple and Google in restricting competing payments".
        
       | oenetan wrote:
       | https://archive.is/GkoA8
        
       | eric4smith wrote:
       | Aka: the "Samsung Protection Act"
        
       | billpg wrote:
       | "Huh. Must be a rule about usury and credit card interest."
       | 
       | "Oh, Korean, as in Korea."
        
       | mark_l_watson wrote:
       | A good regulatory trend. This is what governments are supposed to
       | do to support what I would call "safe and efficient capitalism."
       | 
       | That said, Apple did cut in half the fee for almost all
       | developers and I installed Netflix, HBO, Prime, and Hulu apps
       | that work fine with my existing streaming media plans that are
       | direct to the providers. I forget, did Google also recently
       | reduce developer fees? It may be as simple as both companies
       | seeing the writing in the wall and are trying to get in front of
       | this.
        
         | dannyw wrote:
         | Apple only gives those exception for "Reader" apps. They'll
         | still ban you if you tried to do a Hey (from Basecamp).
        
       | makecheck wrote:
       | The Mac App Store gives a hint at what would happen if there was
       | any choice. The amount of software actually _available_ for the
       | Mac is far, far greater than what's listed in the store.
       | Furthermore, while some quality and notable apps are still in the
       | Mac App Store, _many_ well-known apps are not there. The number
       | of lousy apps is also extremely high every time I go to search or
       | just look at the front page, to the point where Apple does itself
       | no favors by even drawing attention to most of the apps on that
       | store (and it gives the impression that "most" Mac software must
       | be like this).
       | 
       | If they simply listed all major Mac apps, e.g. linking to their
       | web sites or download links or whatever, they would _hugely_
       | increase the value of the Mac platform and bring enough direct
       | benefit to developers to be worth some kind of fee (and of course
       | Apple gets $99 /year anyway). Instead, they tried to port the
       | same clueless, greedy, review-burdened scheme to that store,
       | layering completely unnecessary requirements on top (like poorly-
       | thought-out sandboxing). And _since developers had a choice_ ,
       | they mostly said No.
        
         | kmonsen wrote:
         | Isn't this mostly due to burdensome requirements which means
         | most apps would have to remove features and the fact that they
         | don't support upgrades? At least those are the arguments I have
         | seen to not put the apps in the mac store.
        
           | dwaite wrote:
           | For many apps the issue isn't feature removal but sandboxing.
           | 
           | https://panic.com/blog/coda-2-5-and-the-mac-app-store/
           | 
           | MAS requires sandboxing, distribution outside the store does
           | not. That said, Apple turns the 'default sandboxing' screw
           | another half turn with every release.
           | 
           | In addition to subscription revenue, upgrades are possible by
           | releasing a new product version (e.g. "OmniGraffle 7" in MAS)
           | with a free tier ("read-only mode") and in-app purchases for
           | new users as well as upgrades from OG 6.
           | 
           | I believe you can read purchase receipts within your
           | developer team to determine upgrades.
        
         | barredo wrote:
         | > The Mac App Store gives a hint at what would happen if there
         | was any choice.
         | 
         | There's a choice of app store in Android and almost nobody uses
         | Amazon App Store, F-Droid, Samsung App Store and so on. It's
         | great that they can exist, but I don't think the Mac App Store
         | (which has been neglected since day 1) offers any guidance.
         | 
         | People mostly use what they know or are giving by default. In
         | desktop, be it Windows, Linux or macOS, people aren't used to
         | app stores.
        
           | jandrese wrote:
           | The Amazon store used to have a killer feature where they
           | gave away "bullshit excised" versions of apps (the "Actually
           | Free" program), but sadly that has been discontinued and now
           | the Amazon Store is a completely pointless cut down version
           | of the Play Store.
           | 
           | It's a shame because the old Fire tablets were pretty good
           | for kids, but now the malignant ad and micropayment cancer
           | has returned so it's no good anymore.
        
         | mauricio wrote:
         | I would disagree with the premise that the two stores are
         | comparable. The alternative to not use the Mac App Store is not
         | just financial, but also allows developers to bypass the
         | sandbox requirements.
         | 
         | Whether or not Apple permits alternative payment systems for
         | iOS/iPadOS, all the apps will likely remain sandboxed.
        
           | webmobdev wrote:
           | Any OS feature should be in control of the user, not Apple
           | who can sell access to these features to developers in the
           | form of "entitlements".
        
           | judge2020 wrote:
           | Precisely: https://www.cnbc.com/2021/05/19/apples-head-of-
           | software-says...
        
         | tsycho wrote:
         | I don't think that follows, sadly.
         | 
         | The evolutionary history matters a lot in these things, since
         | they set the culture and precedent on the platform.
         | 
         | Macs and desktops started (or at least, became popular) as an
         | open environment where users obtained software directly from
         | vendors. iOS and Android (with the caveat that it has always
         | supported sideloading) started as closed systems, and the vast
         | majority of customers are used to getting their software from
         | the official app store.
         | 
         | UPDATE: Fixed a typo
        
         | Reason077 wrote:
         | This is about allowing alternative payment systems for
         | purchases made in-app.
         | 
         | Not necessarily alternative app stores / install mechanisms,
         | which is a separate issue.
        
           | ezekg wrote:
           | But they are tightly related. Russia just issued a similar
           | warning concerning iOS app distribution.
        
             | jonny_eh wrote:
             | I don't see how they're related at all, at least beyond
             | them being about the App Store.
        
               | jacobr1 wrote:
               | While they aren't _necessarily_ coupled, the bundling of
               | an app-store and cloud services such as payments,
               | notifications, and more, along with vetting (for security
               | issues) does seem of value. One can certainly imagine
               | third-party app stores including similar requires to
               | apple. I can imagine a Yandex store, Tencent store, that
               | both require you to use their payment platform if you
               | want to host an app in their store. In fact, being
               | integrated into a cloud-service-vendor's ecosystem might
               | a reason to chose a particular store in the same way the
               | Play and Apple are part of the decision today.
        
         | cactus2093 wrote:
         | Not only that, but if you ever have the option of buying a
         | software license directly from the developer or through the Mac
         | App Store, you usually get much worse terms from the Mac App
         | Store.
         | 
         | You'll pay the same price, but instead of getting a license you
         | can run on unlimited of your own machines, or sometimes a fixed
         | number like you can register it to 3 machines at a time, you
         | can only install it on other computers that are managed by the
         | same iCloud account. I've learned this the hard way with a
         | bunch of productivity apps, if you want to use it on a personal
         | machine and a work machine in the same way you can easily
         | install all the free apps that you use on both machines, you're
         | out of luck if you bought it on the Mac App Store. I've ended
         | up re-buying a few different productivity tools over the years
         | that I made the mistake of buying on the Mac App Store first,
         | so that I actually had a portable license I could use that
         | wasn't tightly coupled to making my personal text messages and
         | iCloud files available on the same computer I want to use the
         | license on. You also can't install mac app store apps via
         | homebrew in a setup script or any kind of tooling you use to
         | manage the computer (maybe this is getting better with
         | shortcuts, but I'm not aware of a way to do it).
         | 
         | If it's a cross-platform app, you pay the same price but lose
         | the ability to ever run it on Windows in the future if you buy
         | it from the app store. If it's one of the few AAA games that
         | support MacOS at all, if you buy on Steam you usually get a
         | cross-platform license and there will often be a bunch of
         | bundles that include extra DLC packs at a discounted price.
         | Once a game is a few years old it will start going on sale all
         | the time on Steam. The mac app store version usually won't go
         | on the same sales and usually doesn't have any bundles
         | available either.
         | 
         | If you have multiple user accounts created on a computer, you
         | can't even upgrade a free app that a different user installed
         | via the Mac App store, even if your user also has admin
         | privileges. Only the same user that originally installed it can
         | upgrade the app even though the app is available to every user
         | on the machine.
         | 
         | There's really no reason to ever install anything from the Mac
         | App Store, other than first-party Apple apps where you have no
         | other choice (like XCode, Garage Band, Keynote, Final Cut,
         | etc.)
        
           | makecheck wrote:
           | And it's such an incredibly good example of why anti-steering
           | rules should be illegal. Apple basically refuses to let apps
           | even _tell_ the user that such alternate licenses are
           | available!
           | 
           | I hate anti-steering so much that I hope any future
           | legislation against it also enforces _retroactive_ refunds
           | for a significant period of time. Whatever money they have
           | made is basically entirely due to pulling wool over users'
           | eyes, and they need to be losing millions from this as a
           | punishment.
        
         | ComputerGuru wrote:
         | The Mac App Store came after there was a thriving ecosystem for
         | Mac apps online/organically and without a middle man, and it
         | provided close to zero value for developers on top of that. I
         | don't think it's a fair comparison.
        
           | giobox wrote:
           | I think there is still value in the comparison, but you are
           | absolutely correct. Any comparison must include this huge
           | caveat - the Mac had a third party software ecosystem for
           | over 20 years, well before OS X or a Mac App Store came
           | along. There simply was far, far less historical incentive to
           | adopt the macOS App Store than there was on iOS, which of
           | course mandated the App Store from the beginning.
           | 
           | As a thought experiment: how many companies would leave the
           | official iOS App Store if offered a choice tomorrow? Epic Im
           | sure... but the experience on Android suggests to me not that
           | many. As with Android, I think a lot will still want a
           | presence on the default/"official" store regardless of the 30
           | percent take. Don't forget Apple have also done the hard part
           | of getting a customer to enter their CC number to their
           | iCloud account for their store, removing an enormous amount
           | of friction in the sales process too.
        
             | mschuster91 wrote:
             | On the other side, as a customer I'm not exactly happy with
             | the prior ecosystem either:
             | 
             | - every app has their own licensing system
             | 
             | - I have to keep track of emails, license key files, logins
             | and other bullshit manually instead of having it
             | synchronized automatically at application install. Not to
             | mention I have a boatload of shop accounts that have
             | collected my payment and other personal data (e.g. postal
             | address) and whom I have to trust now that they keep their
             | data secure enough to not have it stolen.
             | 
             | - for subscription stuff, I have to update payment details
             | for an awful lot of individual shops instead of having one
             | single place
             | 
             | - refund policies vary _wildly_ , as is tax compliance for
             | foreign companies
             | 
             | I agree that Apple and Google must be reined in - 30% cut
             | are absurd rip-offs, and the fact that stores can censor
             | legal content (e.g. anything marijuana/tobacco/drug related
             | or adult content) is troubling - but the central store
             | model does have advantages.
        
           | grishka wrote:
           | I believe there are many iOS apps that have never seen the
           | light of day simply because it wasn't at all possible to make
           | them compliant with the "review guidelines".
        
             | jandrese wrote:
             | There are entire categories of apps that aren't allowed by
             | the rules (although you do occasionally find some examples
             | in the store somehow). Emulators that can run ROM files are
             | a good example. You won't find MAME in the app store except
             | occasionally when someone at AppleHQ makes a mistake. Even
             | then it quickly disappears.
        
         | Joeri wrote:
         | Sometimes I try to imagine what the app store rules would look
         | like if apple had to abide by those same rules for all of their
         | own apps. I imagine the rules would be much more lenient, app
         | review a lot less error prone, and developers would be chafed
         | far less by those golden handcuffs.
         | 
         | Pretty sure apple's developer documentation would still be bad
         | though.
        
           | mdoms wrote:
           | I agree, Apple should be broken up.
        
             | haswell wrote:
             | It's not necessary to break Apple up to implement a policy
             | that requires Apple to apply the same process to their own
             | apps.
             | 
             | There are other standalone arguments calling for a breakup,
             | but agreeing with the parent doesn't automatically lead to
             | the conclusion that a breakup is required.
        
               | wolpoli wrote:
               | > It's not necessary to break Apple up to implement a
               | policy that requires Apple to apply the same process to
               | their own apps.
               | 
               | It works in theory, but when the application team and
               | review team both report to the same CEO, the review team
               | will be pressured to bend the review policy.
        
               | haswell wrote:
               | Internal pressure is a fair concern, but is not a
               | foregone conclusion. If anything, unfair approvals of
               | Apple-developed apps would enrage the developer community
               | and shine even more light on the issue.
        
               | wins32767 wrote:
               | And if it's have the policy or be broken up the CEO will
               | be pressured to not let them bend it...
        
               | CydeWeys wrote:
               | The stick only works if you _actually_ get the stick if
               | it 's merited, though. So it could easily end up actually
               | being broken up under your proposal.
        
             | sunshinerag wrote:
             | or the users who don't like it can jump ship. really
             | nothing holding you back.
        
           | haswell wrote:
           | I work on a platform that provides its subscribers with a
           | store for 1st and 3rd party apps/solutions built on that
           | platform.
           | 
           | Every app delivered on this store must go through the same
           | review process whether it's internally built or not. This has
           | led to healthy innovation on the app store and deep empathy
           | for the 3rd party developer.
           | 
           | To be fair, it is possible to ship components that are part
           | of the core platform outside of this mechanism, but I think
           | just having one subset of internal development go through the
           | same review/approval channels as 3rd party apps has been very
           | positive for our developer community.
           | 
           | I'd love to see the same thing here.
        
             | novok wrote:
             | So what is the platform?
        
               | kernoble wrote:
               | If I had to guess it would be something like Slack,
               | Shopify, Squarespace or some other SaaS platform that
               | needs to meet the needs of a hugely diverse customer
               | base.
        
           | [deleted]
        
         | FpUser wrote:
         | >"many well-known apps are not there"
         | 
         | Not Mac user but I guess it is the same as for Windows. I have
         | some desktop products for Windows. The thought of releasing
         | them to MS Store had never crossed my mind.
        
         | ipaddr wrote:
         | You want Apple to pick 100 big apps and promote them?
         | 
         | That would take away from the smaller person's chance.
         | 
         | That list grows stale and complaints over who is on the list
         | starts.
        
           | arthurcolle wrote:
           | The arbitrary integer n = 100 is out of place, comparing your
           | example with GP's comment. The commenter is totally right -
           | the Mac App Store is just a gimmick in the same way that the
           | iOS App Store is a total gimmick to accumulate fees from app
           | developers. The fact that the review system is so broken is a
           | pure indictment of the model itself.
        
           | makecheck wrote:
           | Well honestly they should just have links to _all_ apps but
           | that would require the search engine to not also suck
           | (different discussion).
           | 
           | It's just surprising to me that Apple didn't take such a
           | basic step to do this, when it seems it would so clearly
           | increase the value of the platform. It is why it is difficult
           | to believe anything they say about how much they "love" the
           | Mac...every single action they take to "help" the Mac
           | platform is just baffling.
        
         | realusername wrote:
         | Maybe that's just a proof that there's not much value created
         | by the app store if they can't convince developers to use it if
         | they had a choice.
        
           | webmobdev wrote:
           | Exactly - I've always pointed out that developers for the
           | Apple's ecosystem are being dumbasses. Why would you
           | willingly pay Apple money annually (and then a percentage of
           | your profit too) to develop on their platform when you
           | actually _add value to it_!?
           | 
           | Platforms struggle and / or fail to be successful in the
           | market when developers don't support them. (You just have to
           | look at MS Windows Mobile, Samsung's Tizen OS, LG webOS,
           | Jolla Sailfish OS etc. to realise this).
           | 
           | (I was one of these dumbass too once and bought a mac and
           | other apple devices to create apps on Apple's platform before
           | I realised that I was being a dumbass).
        
         | Andrew_nenakhov wrote:
         | Developers said no because the proposition was bad.
        
       | alberth wrote:
       | I wonder if Samsung (HQ in Korea) had influence on this
       | requirement.
       | 
       | EDIT: why the downvotes? If you don't think Samsung had
       | influence, wouldn't it be more productive to reply and say so -
       | that way there can be a healthy dialogue on the topic.
        
         | joecool1029 wrote:
         | Oh, I absolutely think they had influence. LG already pulled
         | out of making Android phones as the hardware has become a loss
         | leader, no money in it for them. Samsung at least had the
         | benefit of almost totally complete vertical integration.
         | 
         | You would have to be a fool to think Samsung doesn't want a cut
         | of app sales on their devices and as the most powerful company
         | in Korea with large influence over government, they'll get
         | their way. This was never about developers and it isn't a
         | watershed moment to be excited about (unless I guess you live
         | in Korea).
        
         | jollybean wrote:
         | You are being downvoted because you went against the populist
         | grain of the thread, that's it. Accept that a lot of HN voting
         | is just 'sided' and if you're on the wrong side of the flow ...
         | that's it.
         | 
         | Just take a moment to reflect on your comments, if they are
         | reasonable and you're getting downvoted, and nobody is
         | bothering to respond, it's probably populism. It it was it is,
         | it's too bad, but don't fret about it.
        
       | whimsicalism wrote:
       | Excellent. I am in favor of governmental intervention to push
       | open standards, inter-operability, and public options for
       | monopolistic platforms (not social media, but, for instance,
       | Zelle or Venmo).
       | 
       | Next do iMessage.
        
       | coldtea wrote:
       | When you have a legislative body and you can yield it, it's that
       | easy...
        
       | DavideNL wrote:
       | Finally, hopefully the EU will follow soon and the break the
       | oligopoly (or whatever it is.)
        
       | throwawaysea wrote:
       | This needs to be taken much further, to allow alternate app
       | stores, as well as direct installation of apps. People must be
       | allowed control and ownership of their hardware.
        
       | chrisshroba wrote:
       | Is an "up to 3%" fine enough to make these companies relinquish
       | their 30% Apple/Google tax?
        
         | Tomte wrote:
         | Apple sells expensive phones, tablets and computers. 3% of
         | South Korean revenue (all revenue, not just app store fees)
         | should be massive.
        
         | [deleted]
        
       | EricE wrote:
       | Good. I once bought into the gatekeeping concept - except Apple
       | hasn't followed through with their end of the bargain. Scam apps
       | are still rampant - even dominating the recommended sections in
       | the app store. Customer service is abysmal - if you do go for a
       | refund it's a crap shoot as to if you will ever get a human
       | response. When they kicked Parlor for purely political reasons -
       | that was it. Time to force the gates open and let the market
       | decide.
        
       | [deleted]
        
       | jfoster wrote:
       | They should unbundle. At the moment, doing business on the app
       | stores entails so many things, but they can break them apart and
       | allow developers to purchase them individually:
       | 
       | 1. Put your app on the store. (but only reachable via direct
       | link)
       | 
       | 2. Have Gapple verify that your app does not represent any
       | obvious security threat. (or else warn users upon install)
       | 
       | 3. Make your app appear in search. (organically)
       | 
       | 4. Make your app eligible as a recommendation. (organically)
       | 
       | 5. Use Gapple payments.
       | 
       | 6. Have your app appear in search. (guaranteed placement)
       | 
       | 7. Have your app appear as a recommendation. (guaranteed
       | placement)
       | 
       | (and probably many others)
       | 
       | I'm not sure how well that would go down with developers, but I
       | view it as a more honest way for them to create a developer
       | offering. If they want to then go ahead and bundle some of these
       | and offer a discount for developers purchasing more of them, so
       | be it, but unbundling allows developers to pick & choose the
       | value they want provided.
        
         | sadfev wrote:
         | 2. Verification is key! I don't want more garbage (there's
         | already plenty) in app stores. They should charge a flat one
         | time fee or for smaller developers give the option of higher
         | fee/transaction till the amount is paid and then revert back to
         | normal fees.
        
         | intricatedetail wrote:
         | Google shouldn't control the store and the search. The
         | incentives for kickbacks are perverse and such conflicts of
         | interests shouldn't be allowed.
        
         | swiley wrote:
         | How about getting rid of App Stores altogether unless they
         | follow an f-droid like model? (Selection of alternative repos,
         | Published source, declaring potentially unwanted behavior etc.)
        
           | justapassenger wrote:
           | You want to explain to your grandma how to get the right repo
           | so she can get WhatsApp?
        
             | noptd wrote:
             | Having to forward a link to family members every so often
             | seems well worth it to me.
        
               | squeaky-clean wrote:
               | You either overestimate your family's tech literacy, or
               | you have a household of people working in tech if you
               | think it's as simple as reading a link for the average
               | consumer.
        
               | idle_zealot wrote:
               | > reading a link There's nothing to read. Clicking the
               | link immediately prompts the user to add the repository
               | to their F-Droid installation.
        
             | swiley wrote:
             | I don't want my grandma using WhatsApp. The corporation
             | that owns it behaves pathologically as a matter of policy
             | and I have no idea what they'd try to do to her.
             | 
             | So yes. That's a perfect example of how this would be an
             | improvement.
        
               | kobalsky wrote:
               | preventing your grandma from using whatsapp through
               | technological friction must be one of the worst ways to
               | handle it.
               | 
               | this extremely selfish, I've seen whatsapp let old people
               | enjoy internet like we did as kids.
               | 
               | if you want to be a responsible member of the tech
               | community at least take the time to educate your own
               | grandma.
        
               | smoldesu wrote:
               | Conversely, eliminating the friction required for Grandma
               | to unwittingly hand over her personal information isn't
               | exactly an altruistic response. It's a lose-lose
               | situation, you may as well just support the more open
               | platform if they're both bunk anyways.
        
             | benbristow wrote:
             | Doesn't F-Droid have quite a big repo configured by
             | default?
        
               | judge2020 wrote:
               | Depends on if Whatsapp still wants to abide by the
               | security/privacy requirements of being in an imaginary
               | Apple-operated default repo.
        
             | pessimizer wrote:
             | If I'm happy right now with Apple/Google management, the
             | way I would explain it to my grandmother is "don't change
             | anything, just use the default" or "pick [Apple/Google]
             | from the list."
             | 
             | Why does everyone pretend like this is hard?
             | 
             | -----
             | 
             | edit: The things I have a hard time explaining to my
             | grandmother are when she asks "How do I turn this off?" or
             | "Why did everything change and why can't you change it
             | back?"
        
           | raman162 wrote:
           | I don't think we can ever get rid of app stores but I am pro
           | multiple app stores per operating system.
           | 
           | The only downside I see to multiple app stores is having to
           | download multiple stores to get certain apps, kinda what it
           | is like with purchasing video games on steam versus origin,
           | etc. That is although minor, still an inconvenience.
        
       | tacker2000 wrote:
       | The dominoes have been in place for a while, now they are slowly
       | beginning to fall...
        
       | alarz wrote:
       | > In a statement, Google defended its service fees, which it says
       | "helps keep Android free,"
       | 
       | Isn't Android an open source OS? Sounds like they're just whining
       | to me.
        
       | jollybean wrote:
       | First Domino Drops.
       | 
       | Judges in some countries can reference rulings from other
       | jurisdictions.
       | 
       | Politicians are surely taking note.
        
       | jdavis703 wrote:
       | I'll take the opinion that the "App Store tax" is better for the
       | broader economy. Most people who aren't VCs can't get a piece of
       | startups early on anymore. If I can invest in Google and Apple I
       | get a bit of exposure to pre-IPO and private tech companies.
        
       | stirlo wrote:
       | Finally.
       | 
       | This is exactly how regulators should respond to the market abuse
       | of these technology monopolies.
       | 
       | If they wanted to head this off all they had to do was pay a
       | reasonable amount of tax in the country where the revenue was
       | generated and offer a reasonable (single percentage) fee for
       | facilitating payments.
       | 
       | They chose not to so they reap what they sow
        
         | laurent92 wrote:
         | What regulators should mostly do is provide rulings in 2 weeks.
         | Monopoly lawsuits have been threatening for 5 years and are
         | still in limbo, our entire West is in threadlock: Slow justice,
         | slow regulators, slow administrations, fast market grabs...
        
           | pyrale wrote:
           | Due process doesn't fit in 2 weeks, and I don't believe the
           | issue with monopoly law not being enforced is related to the
           | speed of justice.
        
           | ethbr0 wrote:
           | Slow justice and slow regulation are a feature, not a bug.
           | Premature either is more dangerous than delayed action.
           | 
           | In hindsight, the correct time for regulation was probably
           | 2008 for Google (DoubleClick purchase and Android shipping
           | with "Android Market") and Apple (App Store).
           | 
           | It should have been a clear line from hardware control ->
           | distribution control. And if regulators hadn't seen it, then
           | Congress should have drawn it for them in updated laws.
           | 
           | Unfortunately, the world had a bit more going on that year.
        
             | beambot wrote:
             | Android was effectively launched in 2008, per Wikipedia:
             | "It was unveiled in November 2007, with the first
             | commercial Android device, the HTC Dream, being launched in
             | September 2008."
             | 
             | In this case, I'm not sure how to square new innovation
             | (smart phones first launching in 2008) with slow
             | regulation.
        
             | stonemetal12 wrote:
             | No, the spec doc lists "Speedy trials" as a requirement.
             | Slow justice is no justice.
        
         | germandiago wrote:
         | one of the first regulations that make sense: more free market.
         | 
         | As long as there are regulators with a lot of power there will
         | be incentive to corruption anyway.
         | 
         | I like free competition. Something that Google and Apple were
         | trying to prevent.
         | 
         | But putting all in the hands of an ever-increasing state is not
         | the way to go either. Though I gree with the decision.
        
           | dragonwriter wrote:
           | > one of the first regulations that make sense: more free
           | market
           | 
           | State regulations dictating conditions to market participants
           | cannot make something more "free market". They can favor more
           | competition by artificially limiting the advantage of the
           | most successful competitors, but that's not "free market",
           | which is the _absence_ of market distortion by state
           | regulation, not the presence of only those market distortions
           | that you prefer.
           | 
           | > I like free competition.
           | 
           | No, clearly, you like competition with the leaders
           | artificially handicapped by the State, not _free_
           | competition. Which may be a valid preference, but don 't
           | pretend its a free market with free competition.
        
             | MatekCopatek wrote:
             | Well, depends on your definition of free market. Wiki says:
             | 
             | > In a free market, the laws and forces of supply and
             | demand are free from any intervention by a government or
             | other authority, and from all forms of economic privilege,
             | monopolies and artificial scarcities.
             | 
             | So while your remark about state regulations isn't wrong,
             | the (grand)parent comment is clearly talking about the
             | second part of this definition.
             | 
             | Whose freedom is the "free" bit about? Is it about Apple
             | being free to do whatever they want with their platform or
             | is it about me being free to buy iPhone apps from anyone?
        
           | oblio wrote:
           | 1. Network effects.
           | 
           | 2. Information asymmetry.
           | 
           | 3. Barriers to entry.
           | 
           | Purely free markets only apply to toiler paper rolls, and not
           | even that.
        
           | vincnetas wrote:
           | So when you have Apple and Google (two gorillas) how do you
           | imagine "free competition" happening without state
           | intervention?
        
         | amelius wrote:
         | > This is exactly how regulators should respond to the market
         | abuse of these technology monopolies.
         | 
         | A somewhat faster response would have been nice though.
        
         | alisonkisk wrote:
         | What are you talking about? They pay sales tax based on
         | revenue, and they provide a lot more than facilitate payments.
        
         | mrtksn wrote:
         | It's going to be a hell for the users and the smaller
         | developers.
         | 
         | Devs will have to support multiple platforms, different API and
         | options. Also different legal arrangements would be needed as
         | each country has different laws and processes. Remember the
         | agreements and forms we fill for different countries when we
         | want to sell paid apps/features on App Store? I also can't wait
         | to pay account fees for many app stores and modify my apps to
         | fit specific app store rules.
         | 
         | The %30 cut, for me covers this boring complexity. I'm
         | sceptical that the potentially lower commissions will offset
         | the added development and administrative costs.
         | 
         | As for the users, people will start forgetting where they paid
         | what. They will get frustrated, blame devs etc. It would become
         | tiresome and many will be turned off the moment a payment is
         | requested simply because they don't want to go through the same
         | stuff multiple times.
         | 
         | I despise platform fragmentations. Instead of telling companies
         | what they must do, I think the regulators should intervene for
         | market fairness, i.e. Apple&Google getting heavily fined when
         | enforce different rules on different developers differently or
         | compel them to accept an app in the App Store if they can't
         | clearly indicate which rule is being broken.
         | 
         | I would like to remind you all the troubles we need to go
         | through to support just platforms: AppStore and Play Store. I
         | am NOT looking forward to start paying fees and do
         | development/Marketing work/Adjustments for Epic, Microsoft,
         | Oracle, T-Mobile, Vodafone etc. just to reach the exact same
         | users as of today.
         | 
         | Edit:
         | 
         | I, as a developer, don't want to deal with multiple platforms
         | and their management and fees. Please tell me if you are mobile
         | developer or is your opinion ideological. The Arguments so far
         | look like coming from people who have no real experience with
         | getting an app into the AppStore.
         | 
         | How do you plan to sell Apps in the UK, France, Turkey, charge
         | VAT and pay it to the respective governments for example. How
         | do you plan to file your export paperwork in the US? How do you
         | plan to deal with compliance?
         | 
         | Seriously, are there any indie developers here with hands on
         | experience? How do you handle international trade and taxation
         | outside of platforms like AppleStore?
        
           | sleepydog wrote:
           | I think what will happen is that most developers will offer
           | in-app payments with a discount if you don't pay through
           | Google or Apple, to reflect the lower cut that alternative
           | payment services would take. This should put pressure on
           | Google and Apple to compete with those payment services,
           | which is a good thing, IMO.
           | 
           | It may reduce the revenue Google and Apple receive, but
           | honestly I think that could be a good thing. They both do
           | much more than maintain their OS. Both companies have suites
           | of apps that they develop in-house and offer for free.
        
           | onlyrealcuzzo wrote:
           | You realize that you don't have to deal with "boring
           | complexity" when you use plenty of other payment processors,
           | like Stripe, right?
           | 
           | And instead of being charged 30%, you get charged a
           | transaction fee, plus ~3%.
        
             | mrtksn wrote:
             | It doesn't work like that. Here is the Stipe page with
             | description of what you need to do:
             | https://stripe.com/docs/tax/registering
             | 
             | Essentially, you need to register with the authorities of
             | all the markets you would like to support.
             | 
             | Different trade agreements with each country, different
             | documents, different language.
             | 
             | So you pay %3 instead %30 and then give the rest to the
             | lawyers and accountants.
             | 
             | Good luck with that.
        
               | Vespasian wrote:
               | Your app might only be targeted at a single country or a
               | single market with "easy" taxation rules across borders
               | like the EU.
               | 
               | Companies do that all the time and if they see the value
               | of being available globally by paying apple 30% that's
               | fine as well.
               | 
               | However right now we don't know whether such a service is
               | in fact worth 30% percent because Google and Apple
               | effectively prevent a competitor from offering lower
               | prices
        
               | mrtksn wrote:
               | Obviously everyone can do whatever they like, I am
               | pointing out the burden this puts on smaller developers.
               | 
               | Suddenly, creating and distributing apps can get
               | prohibitive for smaller developers.
        
               | commoner wrote:
               | > Suddenly, creating and distributing apps can get
               | prohibitive for smaller developers.
               | 
               | That's not true, because the law does not prohibit
               | developers from using Apple's or Google's current payment
               | systems. It enables more payment processing options (with
               | lower fees) without removing existing ones. Developers
               | can also choose different payment processors for
               | different regions.
        
               | mrtksn wrote:
               | It means that if those payment processors gain market
               | share from Apple I will need to support them to reach the
               | exact same userbase because if the users adopt using the
               | alternatives it is very likely that they will stop
               | bothering to upkeep their Apple payment methods. It
               | happens all the time and there's even API for it to offer
               | the users a grace period until they fix their payment.
        
               | commoner wrote:
               | If your customers prefer to use a payment processor that
               | costs you 3% instead of Apple's 15%/30%, then why
               | wouldn't you support that payment processor? You gain
               | more revenue and honor your customers' preferences at the
               | same time.
        
               | mrtksn wrote:
               | Because supporting payment processors is extra work(which
               | is requires technical and non technical skills) that can
               | go into development, that's why. It is something that I
               | would prefer to delegate, pay the due and forget about
               | it.
               | 
               | What's so hard to understand that? Have you ever created
               | a product and made money from it?
        
               | commoner wrote:
               | By migrating from Apple's 30% fee to a payment processor
               | that charges only 3%, your revenue would increase by
               | 38.6%. The only way that additional revenue would not
               | make up for your development cost is if your revenue were
               | low in the first place. There are plenty of developers
               | who would gladly integrate another payment API for the
               | additional revenue.
        
               | mrtksn wrote:
               | My revenue wouldn't necessarily increase(unless maybe
               | price reduction drives the sales enough), my costs due to
               | Apple's commission will decrees and my development and
               | legal costs will increase.
        
               | commoner wrote:
               | Just to be clear, by "revenue", I'm referring to revenue
               | after Apple's or the payment processor's cut.
        
               | mrtksn wrote:
               | My landlord doesn't care. From his perspective, all that
               | matters is that if I make enough money to pay the rent.
               | He is not interested if my revenue after Apple's cut has
               | increased.
               | 
               | If my net income decreases(because my costs increase more
               | that the revenue after Apple's cut increase), I am
               | screwed.
        
               | mbesto wrote:
               | > I am pointing out the burden this puts on smaller
               | developers.
               | 
               | This already existed. You're saying that the 30% was to
               | cover this burden, but what other people are pointing out
               | is that this 30% isn't necessarily a true market cost of
               | doing business since there was never another option.
               | There is nothing stopping another entity (Stripe or
               | otherwise) from providing a service that covers this
               | burden similar to Apple. If it happens to cost 30% then
               | so be it, but we don't truly know the cost because its
               | effectively a monopolistic economic arrangement provided
               | by Apple.
               | 
               | > Suddenly, creating and distributing apps can get
               | prohibitive for smaller developers.
               | 
               | How so? It's not effected distribution. Apple will still
               | provide an option for a 30% cut. If more devs go to
               | another option then Apple may compete and this 30% may
               | even go down. This is a good thing for the consumer and
               | the developer.
        
           | yobbo wrote:
           | > I despise platform fragmentations
           | 
           | It is fair to point out that "platform fragmentation" occurs
           | _because_ of the policies of Apple and Google, not because of
           | regulation.
           | 
           | If they had some altruistic care for user/dev experience, the
           | platforms would be open and frictionless to begin with. Their
           | aim is to insert friction at all points of interoperability,
           | and remove friction inside of their own platform.
        
             | mrtksn wrote:
             | Nothing is altruistic. It's simply business and business is
             | about to get harder for smaller developers.
        
               | commoner wrote:
               | Smaller developers now have more payment processing
               | options in South Korea. In addition to Apple's and
               | Google's own systems, they can also choose from a wide
               | variety of third-party systems that charge ~3% instead of
               | 15%/30%. I don't see how this would be anything but a
               | benefit for smaller developers.
        
               | mrtksn wrote:
               | Do you have know-how on distributing apps and getting
               | paid for? This sounds to me like ideological talk.
               | 
               | "We wouldn't need to spend money on cleaning staff if
               | everyone clean their door front."
               | 
               | Yeah, sure.
        
               | commoner wrote:
               | I do, and your arguments in this thread don't convince me
               | at all. Is there something incorrect in my comment?
               | Developers went from having one payment processor that
               | charges 15%/30% to many payment processors that can
               | charge as little as under 3%. Revenue-wise, there is no
               | downside to having these additional options.
        
               | mrtksn wrote:
               | Where can I buy your stuff?
               | 
               | I don't know if your money works differently from mine
               | but for me I get to own the difference between Cost and
               | Revenue. Revenue increase is not good if the cost
               | increase is higher. I doubt that the revenue will
               | increase, the costs will certainly.
               | 
               | The costs consist of my time and the payments I make to
               | build and distribute my stuff. This will reduce the costs
               | that I pay to Apple but will increase the development and
               | legal burden.
        
           | sam0x17 wrote:
           | Users definitely want to have third party app stores. One of
           | the most obvious use cases for a smartphone imo, running a
           | GBA emulator, isn't even possible in Apple's ecosystem
           | because of the stringent app store regulations. How crazy is
           | it that my $1200 phone can't play pokemon red but a $80 linux
           | handheld (or any android device if you know what you're
           | doing) can. Simply pathetic. 9-year-old 90s me is laughing at
           | these pathetic devices of the future.
           | 
           | Side note if Nintendo had played their cards right they could
           | have made the entire library of GBA games available in a
           | Nintendo smart phone app, like 10 years ago...
        
           | keithnz wrote:
           | I saw nothing saying you can't still use them.
        
             | mrtksn wrote:
             | Sure, you can do dev work for Windows Phone Store. That
             | doesn't mean that it's as rewarding as doing work for Apple
             | AppStore.
             | 
             | The fragmentation will not open the floodgate for all the
             | users out there who were holding off because they didn't
             | want to use App Store or Play Store. It's going to be the
             | exact same userbase but there will be more gatekeepers to
             | deal with.
        
               | stirlo wrote:
               | > but there will be more gatekeepers to deal with.
               | 
               | They're not mandating support for alternative payment
               | providers merely saying Apple and Google cannot prevent
               | you as a developer offering an alternative to your users.
               | Whether you decide to support alternatives is up to you
               | but when you can use stripe for a 2% fee or Apple/Google
               | with 30% how can you be worse off?
        
               | mrtksn wrote:
               | No one mandates to support AppStore or Google Play in
               | first place. That's something you do if you want to reach
               | the users of that service.
        
               | mbesto wrote:
               | From the article:
               | 
               | > require in-app purchases
               | 
               | You need to bifurcate the payment % from the selling of
               | the app itself and the in-app purchase.
               | 
               | For iOS, the AppStore is essentially mandated to download
               | and sign an iOS app. No one is saying that you shouldn't
               | have some cost associated with getting that distribution
               | (since Apple is providing value there), it's more about
               | the cut they take for every additional fees once the app
               | is already downloaded.
        
               | Vespasian wrote:
               | Companies want to reach the users of the devices.
               | 
               | Apple and Google effectively prevent you from doing that
               | without being in their stores. The fact that
               | "technically" you can install apps on android and
               | "technically" users can get an apple dev certificate / or
               | sometimes jailbreak their device are nothing more than a
               | single atom layer thick fig leaf.
               | 
               | These two companies effectively have a duopoly on the
               | mobile phone market and act accordingly.
               | 
               | Edit: Corrected to not attack the parent commenter.
        
               | mrtksn wrote:
               | No body is preventing me from doing anything, please stop
               | speaking for me.
               | 
               | Please read carefully: I do have Apps in the AppStore, I
               | am happy with the business relationship with Apple and I
               | am not looking forward to be forced into establishing new
               | business relationships to reach the exact same user base.
        
               | keithnz wrote:
               | I'm not sure how you think you will have to do anything
               | different or be forced into something? your app can stay
               | the same, has the same presence. But, under this law, you
               | could choose to have micro transactions or subscriptions
               | where , if you choose to, you could use stripe, or some
               | other payment provider where you pay a much lower fee, if
               | you choose to.
        
               | Vespasian wrote:
               | I clarified that I did not intend to speak for you. Sorry
               | for that.
               | 
               | You'll be in luck then because you will still be able to
               | use apples services without anything changing. This or
               | similar laws do not obligate you to offer options.
        
           | WesolyKubeczek wrote:
           | "Allow other payment platforms" is not the same as "Demand
           | devs to support them all", I don't know between which lines
           | you must have read it.
        
             | mrtksn wrote:
             | Sure, You can't have platform fragmentation costs if you
             | don't support platforms.
             | 
             | You only support them if you want to reach the customers.
             | That's exactly the same as not supporting Android or iOS or
             | not getting into App Development in first place.
        
               | WesolyKubeczek wrote:
               | So, for example, if the bulk of the customers in Korea
               | might be using Samsung Pay, you might just want to keep
               | integrating with that instead of also having to provide
               | Apple mechanisms, and maybe restructure your price since
               | Apple imposes its tax?
        
               | mrtksn wrote:
               | Sure, I can do that. Let's take a look at it:
               | 
               | 1) I need to learn and integrate Samsung's API or I need
               | to hire someone to do that for me. I need to maintain a
               | version of the app that works the way Samsung thinks it
               | should(how do you deliver and restore purchases might
               | differ from Apple).
               | 
               | 2) Then I need to go through paperwork and payments that
               | will enable me to sell Korea software from UK. I haven't
               | look at the trade agreements between UK and Korea, I
               | guess the easiest way is to pay a specialist that knows
               | it.
               | 
               | That's something that I would rather don't go through.
               | Probably it's not possible unless I make significant
               | money from it anyway.
        
               | WesolyKubeczek wrote:
               | Well, Korean government is likely to prioritize their
               | local developers. And their darling, Samsung. UK and US
               | have to jump through some hoops, sorry not sorry.
        
               | mrtksn wrote:
               | Why not compete on merits instead?
        
               | WesolyKubeczek wrote:
               | There's a Goldilocks zone in which something mostly
               | resembling free market can exist. Beyond that zone,
               | there's some old boys network running the show, where
               | who's married to whom, who plays <leisure sport for rich
               | dudes> with whom, and who's chums with whom are the
               | things that matter.
        
               | mrtksn wrote:
               | So the small developers are the old boys network? That's
               | funny.
               | 
               | Let me tell you what will happen if that becomes the
               | case, there would be publishers that you pay so that they
               | release your apps in Korea and there would be large
               | companies with enough departments to handle the hops.
               | 
               | The idea that this will benefit anyone but the large
               | companies is ridiculous. Don't you find suspicious that
               | there are no crowds of indie developers but giants like
               | Epic who make the noise about it? Do you believe that
               | Epic is an altruistic organisation?
        
           | ethbr0 wrote:
           | Developers (and users) deserve _choice_.
           | 
           | If you want to pay 30% to Apple to take care of that for you,
           | then you should be able to.
           | 
           | If someone else _doesn 't_ want to pay 30% to Apple, then
           | they should have that right too.
           | 
           | I've lived through both fragmented platforms and unified
           | platforms, and I'll take the former any day.
           | 
           | They're messy, but fair and dynamic. And critically, they
           | _evolve_ and allow new competition to emerge.
        
             | monkeywork wrote:
             | >If someone else doesn't want to pay 30% to Apple, then
             | they should have that right too.
             | 
             | They have that right they can choose to not develop on
             | Apples platform.
        
               | simion314 wrote:
               | >They have that right they can choose to not develop on
               | Apples platform.
               | 
               | This is the EXACT same choice you or Apple/Google the
               | company not to use electricity, nobody comes with guns
               | and forces you to connect your stuff to the electric
               | grid. I can be a business but not make a mobile app for
               | iOS and Google Store because I think this companies are
               | evil, I am "forced" similarly on how I have to use
               | electricity.
        
               | oblio wrote:
               | To go to Google's platform which is just Eurasia painted
               | a different color :-)
        
               | joshuaissac wrote:
               | > They have that right they can choose to not develop on
               | Apples platform.
               | 
               | The same argument also applies to Korea. Apple has the
               | choice of allowing other payment systems, or they can
               | choose not to sell in Korea.
        
             | simondotau wrote:
             | > _If someone else doesn 't want to pay 30% to Apple, then
             | they should have that right_
             | 
             | That _right?_ Are you saying developers should have the
             | right to all of Apple 's stuff for free, no matter what? Is
             | Apple not allowed to distribute their tools and libraries
             | under a license of their choosing?
             | 
             | Should we ignore licenses altogether? Perhaps I don't want
             | to pay the "cost" associated with use of a GPL-licensed
             | library in my proprietary application. Should I have the
             | right to just ignore the GPL license?
        
               | passivate wrote:
               | We need to re-define what 'rights' mean in a digital age.
               | The ideas of property rights from the 1800's are vaguely
               | applicable in digital contexts.
               | 
               | Ultimately, we are the creators of the society we live
               | in, so if we don't think laws are working for everyone,
               | we should change them. We have tons of laws against price
               | gouging, preventing businesses from fleecing customers,
               | etc. Apple grabbing 30% of sales of a company is not
               | something I support.
        
               | jpambrun wrote:
               | This argument is nonsensical.. I should be able to use my
               | fully-paid-for device how I see fit.
        
               | the_solenoid wrote:
               | You can (I guess to an extent). But, you cannot use iOS
               | however you see fit - it's probably in that wall of text
               | you agree to every time it updates.
               | 
               | I get all these laws etc, but they are all at the behest
               | of other big business who wants to take the ecosystem
               | apple made and profit MORE off of it.
               | 
               | This whole thing does not help small devs, or consumers.
               | I would argue apples PR stance that it actively basically
               | harms consumers is 100% spot on.
               | 
               | The problem may be that people in ios have grown to not
               | be looking over their shoulders for scams, but all of
               | this will just bring about that exact thing.
               | 
               | The grift as soon as ios/app store opens up will be
               | insane. You can't stop it in an open platform, and again,
               | the average tech user is not at all savvy about tech.
               | 
               | There are probably good solutions to this, but so far
               | nothing out in public is anything but self-serving of
               | already monied interests.
        
               | simondotau wrote:
               | Apologies if I wasn't clear. I'm talking about the
               | relationship between Apple and developers who are
               | building applications using Apple's proprietary software
               | libraries.
               | 
               | I completely agree that consumers should have very wide
               | rights to the device they purchased.
        
               | seanalltogether wrote:
               | Should I pay Apple for the right to build a Mac app, or
               | Windows for using their desktop apis? Maybe I should have
               | to pay mozilla and google every time someone visiting my
               | website and I use a piece of javascript that executes in
               | their browsers?
        
               | simondotau wrote:
               | If Apple or Microsoft or Mozilla or Google wanted to,
               | they could have. They chose a different model because it
               | suited their business strategy.
               | 
               | Whereas Sony and Nintendo _did_ choose that model for
               | their games consoles.
        
               | Dracophoenix wrote:
               | Historically, people had to buy developer tools like
               | compilers and assemblers for hundreds if not thousands of
               | dollars either directly from the company or through
               | retail channels if they wanted access to the inner
               | workings of their computer. Apple included. So the pay-
               | to-build model isn't new. As far as what "should" happen
               | is concerned, that'll be a matter of debate and contract
               | law if/when Apple changes its terms and if/when you agree
               | to them.
        
               | simondotau wrote:
               | Indeed. And Apple does have the benefit of prior art in
               | the case of games consoles which have--for the past 30
               | years at least--required developers to accept some kind
               | of revenue share for the right to distribute software to
               | customers.
        
               | howinteresting wrote:
               | Is Apple advertising iPhones as game consoles?
               | 
               | When I search for iPhone on Google, the top result is a
               | link to Apple with the text "Explore iPhone, the world's
               | most powerful personal device."
        
               | simondotau wrote:
               | Can you suggest why that would be relevant? It's not like
               | the software license model of general purpose computers
               | is enforced under law.
        
               | howinteresting wrote:
               | It would be evidence in antitrust proceedings to
               | demonstrate that Apple is not aligning itself with the
               | game console market but with the personal computer
               | market.
        
               | ethbr0 wrote:
               | Or maybe Google should have to pay Oracle for duplicating
               | the layout of standard Java classes.
        
               | simondotau wrote:
               | Indeed, though here we're talking about developers
               | literally including Apple proprietary code in their build
               | process.
        
               | ethbr0 wrote:
               | If Apple wants to license theur libraries and dev tools
               | at FRAND rates, I'd have no problem with them charging
               | for those.
               | 
               | But pretending the current cut isn't supported only
               | because of their platform control is crazy.
               | 
               | Form an open market for app distribution, and then see
               | what the market sets competitive rates at.
        
               | giyokun wrote:
               | Actually not really. Developers are just calling into
               | code that the user already paid for when they bought the
               | device.
        
               | oblio wrote:
               | And Oracle should pay IBM for having practically invented
               | SQL.
               | 
               | And everyone using virtualization should be paying IBM
               | for having practically invented virtualization.
               | 
               | Repeat ad nauseam.
        
               | CrimsonRain wrote:
               | Apple has no right to restrict any API usage in the iOS
               | that is running on MY hardware that I fully paid them
               | for.
        
               | mrtksn wrote:
               | Apple doesn't do that. The restrictions Apple impose are
               | on distribution(i.e. you can't use Apple's distribution
               | services to distribute your app to the users of that
               | service if Apple don't let you), you can do whatever you
               | like to your own device and Apple can't do anything about
               | it. That's why it's perfectly legal to jailbreak your
               | phone.
        
               | FireBeyond wrote:
               | That's splitting hairs. They do do that, exactly by
               | imposing restrictions on distribution.
               | 
               | Your argument is: "You're free to write an app for
               | yourself, but Apple isn't restricting you from using
               | private APIs, they're restricting you from distributing
               | it using their resources, oh and they're blocking any
               | alternative distribution methods, too."
        
               | lotsofpulp wrote:
               | What does "fully paid" mean? Would that allow Apple to
               | sell hardware where they control API usage at a cheaper
               | price than a device where they do not control API?
        
               | simondotau wrote:
               | I'm not talking about restrictions placed upon the end
               | user, but rather on the developer who is distributing an
               | application which uses these libraries. If they're not
               | willing to accept the license terms for those libraries,
               | that is a license violation.
               | 
               | Do you know who would agree with that? The FSF. They will
               | argue that an application built against an API licensed
               | under the GPL is a derivative work and therefore falls
               | under the terms of the GPL.
               | 
               | This was the case back when Qt was quite infamously
               | licensed under the GPL rather than the LGPL.
        
               | White_Wolf wrote:
               | Would forcing Apple to make everything required to run
               | linux on Apple hardware available to all devs be fine
               | then? Just to keep things fair and allow for competitors
               | and such. Maybe force all hardware manufacturers to allow
               | OS selection when doing a factory reset? Libraries? I'm
               | allowed to use them without selling/distributing as long
               | as they are critical to run the hardware that I paid
               | for(as long as they are only used for said device).
               | Copyrighting/blocking people from reverse engineering any
               | piece of code that is needed for hardware to function
               | should be illegal in the first place.
               | 
               | Edit: A few typos and such.
        
           | WastingMyTime89 wrote:
           | > Devs will have to support multiple platforms, different API
           | and options. Also different legal arrangements would be
           | needed as each country has different laws and processes.
           | Remember the agreements and forms we fill for different
           | countries when we want to sell paid apps/features on App
           | Store? I also can't wait to pay account fees for many app
           | stores and modify my apps to fit specific app store rules.
           | 
           | The ruling force platforms to allow developers to use
           | different payment processors. It doesn't force developers to
           | use these processors.
           | 
           | Digital payments predate app stores by a decade. It's mostly
           | a solved issue.
           | 
           | > As for the users, people will start forgetting where they
           | paid what.
           | 
           | It's just a charge on your bank account in the end. I'm not
           | sure the where is really significant.
           | 
           | > I think the regulators should intervene for market fairness
           | 
           | You must be happy then because that's exactly what they are
           | doing.
        
           | boudin wrote:
           | I think it's going to be better for users and developers. On
           | the ios store it will be possible to add a link to a website,
           | tell the user that an external registration is necessary for
           | apps that are companion app of a web service.
           | 
           | For the case above, it should also be possible for customers
           | with one user account only to use ios apps. What I just say
           | above might seems to make no sense, but that's the current
           | user experience that Apple enforces us to provide.
           | 
           | From a dev experience, I can only see thinga getting better.
           | If we can get to the point when an app store allows to
           | publish apps that can be built on something else than a mac
           | and with a good CI and CD, that could be a dev dream come
           | true.
           | 
           | From a business point of view, it can only be positive,
           | having ways out of the random death sentenced decided
           | randomly by Apple and Google using their store obscure rules
           | and review process to kill apps.
           | 
           | On android it's already fragmented in a way (Huawei has its
           | own store now that their phones doesn't ship with the google
           | layer). So it can just push more devs to take this into
           | consideration.
        
         | dmitryminkovsky wrote:
         | I very much agree that this app stores market abuse thing needs
         | to end, and I am also really glad to see that at least one
         | country is responding like this.
         | 
         | > a reasonable (single percentage) fee for facilitating
         | payments.
         | 
         | I want to point out, though, that the service Apple provides is
         | not merely payment processing. They offer total customer
         | management. Which, when integrated with their entire developer
         | offering (TestFlight, App Store, etc) is pretty neat. I've
         | integrated my app with Apple for iOS and then had to do it all
         | over again with Braintree of web. You might say that entire
         | exercise speaks to the inanity of the App Store monopoly, but
         | the experience illustrated for me how much more Apple provides
         | than just mere payment processing. You won't find the words
         | "chargeback" or "dispute" in Apple's docs, because they take
         | care of all that for you. With Apple, you don't have to program
         | UIs for changing subscription tiers or viewing transaction
         | histories. And many other things.
         | 
         | Is it worth 30%? No. 15%? I don't think so. Should I have to
         | maintain and juggle different integrations for every app store?
         | Definitely not. But Apple's offering is decent and
         | comprehensive. It would be made much better if it wasn't a
         | racket that held developers hostage. Think App Store competing
         | with Play Store on Android devices. And vice versa. Now that
         | would be cool!
         | 
         | I really hope similar legislation is passed in the United
         | States and EU.
        
           | no_wizard wrote:
           | I wonder if raising fees in the developer program would
           | recoup some of the cost of doing at least some of these
           | things. 99 dollars for an individual and 299 for a business
           | if I recall correctly, that's peanuts and hasn't been raised
           | in a very long time. I don't think asking for more is bad,
           | since it's a yearly fixed cost
        
             | MR4D wrote:
             | Asking for more will start to limit the number of
             | developers who develop for their platform. Probably not the
             | Microsoft's of the world, but tons of smaller ones.
             | 
             | For instance, if you raised the individual's fee to $500,
             | then a bunch of people would opt out, either not developing
             | iOS apps, or just make a web app. Neither of those are good
             | solutions from Apple's point of view.
        
           | howinteresting wrote:
           | If the app/play stores allowed alternative payment
           | mechanisms, then third parties would have an incentive to
           | build out an end-to-end flow as well, possibly even better
           | than Apple or Google do (eg upgrade pricing, better cross-
           | platform support).
        
           | Analemma_ wrote:
           | Apple very pointedly does _not_ offer total customer
           | management. As an iOS developer, I don't know who my
           | customers are; I can't contact them; I can't offer them a
           | refund, demo, or promo code; I can't have any kind of
           | relationship with them whatsoever. It's infuriatingly archaic
           | and useless. Whatever that system is, it certainly isn't
           | "total customer management".
        
             | horsawlarway wrote:
             | It's pretty clearly "Total customer control" not
             | management.
             | 
             | Apple has pulled off a _really_ nifty trick of convincing
             | (cough _abusively forcing_... cough) companies to concede
             | full control of the customer /business relationship to
             | Apple.
             | 
             | From my point of view, you're not really selling anything
             | on the Apple App store - you're giving Apple the right to
             | resell your digital products.
             | 
             | In exchange they keep all analytics data. They keep full
             | control of customer contact and communication. They dictate
             | the terms of the sale, including place and payment method.
             | They control everything.
             | 
             | Your customer is Apple, and they are just as abusive to
             | their "vendors" (app developers) as Walmart is.
             | 
             | Calling it a "Marketplace" is a sham - The core definition
             | of a "Marketplace" is --- arena of competitive or
             | commercial dealings --- And the Apple store is no more a
             | "marketplace" than Walmart.
        
               | dmitryminkovsky wrote:
               | > From my point of view, you're not really selling
               | anything on the Apple App store - you're giving Apple the
               | right to resell your digital products.
               | 
               | In my understanding that that's the contractual
               | relationship the developer and user enter into with
               | Apple.
               | 
               | Personally I think this isn't all bad considering it
               | provides a uniform experience for the user, which lowers
               | cognitive load for the user and might makes the user more
               | willing to purchase. Once they know what app purchasing
               | is like, they can confidently purchase more apps. And
               | they know that no matter who develops an app, in the
               | event of a dispute they will deal directly with Apple.
        
             | DocTomoe wrote:
             | That sounds like a problem, but as a customer, I see that
             | as a feature. I do not want to be mailbombed by everyone
             | who has ever written an app I used for some time in the
             | past.
        
               | jkestner wrote:
               | And there are other features that I'd like as a customer
               | that Apple will not let developers offer. More payment
               | options, for example. Why not have the choice of multiple
               | app stores and let the market sort them out? We'll see
               | the best ideas adopted by all.
        
               | makeitdouble wrote:
               | The other side of the coin is the app can't refund from
               | their side, nor stop your subscription or fire you as a
               | client either. They need to wait for you to do it, which
               | can brew complicated situations.
        
             | simonh wrote:
             | I suppose it's customer management in the sense that they
             | are not your customers, they are Apple's customers. Apple
             | is providing you access to sell your app to Apple's
             | customers through Apple's store.
        
             | dmitryminkovsky wrote:
             | This is true. I should have used the term "billing
             | management." The opaqueness you mention I like to think of
             | as a firewall between the developer and the user in terms
             | of billing. I can truly say to the user: "I'm sorry, but I
             | can't help you with that." Many times that's bad, many
             | times that's good, and not because I don't want to deal
             | with users but because I like when users have uniform,
             | familiar experiences that they understand. The clearly
             | divided responsibilities (developer provides software,
             | Apple provides billing) helps maintain focus on product.
        
           | mdoms wrote:
           | > They offer total customer management.
           | 
           | No, they FORCE total customer management.
        
           | skrtskrt wrote:
           | > total customer management
           | 
           | you mean end-to-end locked-in ownership of your customers
           | 
           | You can offer total customer and management and compete on
           | its merits and price point, not by forced monopoly.
        
           | mafuy wrote:
           | I agree that Apple's system adds a lot of value. And that's
           | why I believe it can and should compete with other systems.
           | There should be no problem with informing users about other
           | payment options both in- and outside of an app. But Apple
           | chose to forbid this. And that's not ok.
        
           | ehsankia wrote:
           | Sure but the point is that developers should have the option
           | of rolling out their own solution if they don't need all the
           | features Apple provides or agree with the fee. This in turn
           | creates competition which may reduce rates all around.
        
             | judge2020 wrote:
             | The common argument against that is that the 30% also goes
             | to actually developing iOS - you could envision the margin
             | Apple makes on every iPhone as one that goes towards the
             | R&D costs of developing the hardware, while the post-sale
             | revenue goes towards the post-sale costs of developing iOS
             | (and all the updates they test/push out for 5+ years after
             | the device is released).
        
               | pessimizer wrote:
               | It's weird using the argument that it's a shell game as a
               | positive argument. "It's not a money grab, it's just a
               | hidden fee!"
        
               | vineyardmike wrote:
               | Apple admitted this wasn't true in a lawsuit. There were
               | actual internal convos about how they didn't need as much
               | money...
               | 
               | > Separately, the documents show that in 2011, Schiller
               | suggested that Apple could "ratchet down from 70/30 to
               | 75/25 or even 80/20 if we can maintain a $1B a year run
               | rate," in terms of App Store commissions, since the 30
               | percent commission rate would "not last forever."
               | 
               | https://www.macrumors.com/2021/08/20/apple-sideloading-
               | plans...
        
               | judge2020 wrote:
               | It's not that they don't need more money, it's that, in
               | my opinion, they also shouldn't be forced to operate on
               | razor-thin margins. What is an acceptable profit margin?
               | There's no clear answer so you'd be reliant on a judge or
               | congress to determine that.
        
               | ThatPlayer wrote:
               | An acceptable profit margin would be based on actual
               | costs, not a static 30% which means paid apps are
               | subsidizing free apps or apps like Netflix and Amazon
               | that do not take payment on iOS. Charge based on
               | bandwidth/downloads, not on who is using their payment
               | processor.
        
               | vineyardmike wrote:
               | > Charge based on bandwidth/downloads, not on who is
               | using their payment processor.
               | 
               | This obviously doesn't tell the whole story either. Some
               | apps provide utility to the end user but don't monetize
               | well. Those apps are valuable to have as a way to drive
               | people to use app store, and keep developers educated.
        
               | wvenable wrote:
               | > The common argument against that is that the 30% also
               | goes to actually developing iOS
               | 
               | How were operating systems funded before vendors could
               | take a cut of every transaction?
        
               | judge2020 wrote:
               | They didn't receive updates. Now Windows pushes ads in
               | the OS as a mechanism of recouping the cost of developing
               | and testing updates for old hardware.
        
               | wvenable wrote:
               | Operating systems have been getting automatic updates for
               | over 20 years. And what 3rd party ads are in Windows? I
               | don't have any.
        
               | threeseed wrote:
               | Here is how to disable the many forms of advertising on
               | Windows 10:
               | 
               | https://www.howtogeek.com/269331/how-to-disable-all-of-
               | windo...
               | 
               | Also don't forget that there is a ridiculous amount of
               | user behaviour telemetry and metadata that Microsoft has
               | permission to use for any reason.
        
               | madeofpalk wrote:
               | This isn't a common argument, it's just Apple's argument.
        
               | dmitryminkovsky wrote:
               | Nothing like a business exposing its alleged cost
               | structure to try and justify passing on costs. It's the
               | worst argument. It's not even an argument. It induces me
               | to somehow be part of their business, when I'm not an
               | employee, board member or even a shareholder. It's TMI.
        
               | danieldisu wrote:
               | iPhone users pay the development of iOS, iphone users
               | want to use an iPhone in part because all these third
               | party apps.
               | 
               | This is just them wanting more money, and according to
               | latest earnings they already make a lot.
        
             | orangepanda wrote:
             | > if [developers] don't need all the features
             | 
             | Some "features" are seen only by customers, e.g., managing
             | all your subscriptions in one place. I can think of some
             | services that would LOVE making cancelling a subscription
             | more difficult.
             | 
             | I don't care about apple's cut. Allowing sideloading
             | instead would have been a win win for everyone
        
           | diebeforei485 wrote:
           | Stripe Billing[1] only charges 0.5% for this.
           | 
           | Apple's offerings may have been good when the alternative was
           | software sold on physical CD's in a store, but compared to
           | the alternatives today there is no way 30% is by any means
           | fair or reasonable. The 30% commission is essentially
           | monopoly rents.
           | 
           | 1. https://stripe.com/billing
        
             | eigen wrote:
             | Looks like its a bit more complicated than that according
             | to the webpage.
             | 
             | Stripe Payments [1]: 2.9% + $0.30
             | 
             | Stripe Billing [2]: 0.5%
             | 
             | Stripe Invoicing [3]: 0.4%
             | 
             | [1] https://stripe.com/pricing
             | 
             | [2] https://stripe.com/billing/pricing
             | 
             | [3] https://stripe.com/invoicing/pricing
        
               | diebeforei485 wrote:
               | You don't need both Billing and Invoicing. Invoicing is
               | for one-time payments (typically after a service has been
               | delivered), and Billing is for recurring payments.
               | 
               | All in all, we're looking at $0.30 + 3.4% (or 3.3%). This
               | is clearly lower than 30%, except for very inexpensive
               | apps (~$1.29 or less).
        
         | lotsofpulp wrote:
         | > If they wanted to head this off all they had to do was pay a
         | reasonable amount of tax in the country where the revenue was
         | generated
         | 
         | Like a donation? Or are these companies evading tax laws?
        
           | stirlo wrote:
           | I think we can all agree that transfer pricing and the Double
           | Irish Dutch sandwich were not intended to be used in the way
           | they have been by modern multinationals.
        
             | svdr wrote:
             | This seems to have ended:
             | https://www.bbc.com/news/world-57368247
        
               | oblio wrote:
               | Want to bet that the end of this included a hidden grace
               | period to allow large corporations using them to:
               | 
               | A) find another similar system
               | 
               | B) put their internal bureaucracies at work to switch the
               | entire corporation to the new system?
               | 
               | It's like stock market news, by the time it's in the
               | newspaper it's much too late, all the insiders have
               | finished their trades and you're the chump buying
               | overpriced stuff.
               | 
               | We'll probably find out the 2021 latest scheme in 2031,
               | when it gets banned.
        
             | lotsofpulp wrote:
             | What is stopping the governments from changing the laws to
             | make it illegal?
             | 
             | I do not understand the concept of expecting an entity to
             | pay taxes they are not liable for paying.
        
               | pindab0ter wrote:
               | Because that would be bad for 'het vestigingsklimaat';
               | the branch/business climate.
        
               | xdennis wrote:
               | These companies paying them not to.
        
               | jtbayly wrote:
               | So... they _are_ paying money to the government that they
               | aren 't required to?
        
               | foepys wrote:
               | The problem is the EU's process which requires all
               | countries to vote unanimous on this. Ireland is vetoing
               | any change to keep being allowed to set their own tax
               | rates and underbid anybody else while still keeping
               | access to the EU market. In that regard The Netherlands
               | aren't any better by the way.
        
               | fabianhjr wrote:
               | They do that to pay proportionally less (not zero) and
               | the countries they are paying proportionally less to are
               | interested in being the fiscal hosts of those
               | multinationals.
        
               | [deleted]
        
               | criley2 wrote:
               | The issue is that the governments offering tax evasion to
               | corporations are smaller countries that use their evasion
               | schemes as a competitive advantage against larger
               | countries.
               | 
               | The incentive for a big country like the US is to make
               | these companies pay their domestically accrued taxes, but
               | the incentive for a small country like Ireland is to
               | attract these companies to come open offices and do
               | business locally at all.
               | 
               | These companies have tricks to avoid paying taxes, such
               | as creating a parent company in Ireland that owns all of
               | the intellectual property, then making the actual Apple
               | or Google in the USA rent the intellectual property from
               | that Irish parent for the cost of all of their revenue.
               | Thus to the US company, they paid 100% of their revenue
               | as the cost of doing business and have 0 tax. Then to the
               | Irish company, they can essentially launder this revenue
               | into being almost completely tax-free.
               | 
               | For the record, the "Double Dutch Irish" has been closed,
               | but there will always be another Caribbean country or
               | looked-over European country willing to offer major
               | benefits to a multinational in exchange for an office and
               | some local hires. After all, why should a small country
               | care if a multinational isn't paying taxes to another
               | country far away?
        
               | lotsofpulp wrote:
               | > Thus to the US company, they paid 100% of their revenue
               | as the cost of doing business and have 0 tax.
               | 
               | Why is the country that wants taxes not able to change
               | their rules to collect something similar to an excise
               | tax?
        
               | [deleted]
        
               | MomoXenosaga wrote:
               | America. Recall Washington crying foul when France wanted
               | a digital tax.
        
               | fighterpilot wrote:
               | It's a problem when small companies have to pay company
               | tax, and large multinational companies do not, merely
               | because the latter has the legal know-how and the funds
               | to achieve it. As an analogy, it'd be like a road worker
               | paying 30 percent tax on a $70k income and a company CEO
               | paying 0-5 percent tax on a $10m income.
               | 
               | The necessary solution is obviously systemic change
               | rather than asking large companies to pay above what
               | they're required to, the latter would actually be a
               | breach of their agency duty and anyone who thinks
               | companies should do that are foolish.
               | 
               | I don't know _what_ the solution is. Perhaps abolishing
               | company tax, which is my favorite proposal. Perhaps a
               | worldwide company tax as Biden is pushing for (which
               | concerns me for other reasons, even though I do admit it
               | would solve this specific problem).
        
               | lotsofpulp wrote:
               | > It's a problem when small companies have to pay company
               | tax, and large multinational companies do not, merely
               | because the latter has the legal know-how and the funds
               | to achieve it.
               | 
               | Hence the question of why are countries not changing the
               | rules so the large multinational companies cannot achieve
               | it.
               | 
               | > As an analogy, it'd be like a road worker paying 30
               | percent tax on a $100k income and a company CEO paying
               | 0-5 percent tax on a $10m income.
               | 
               | This seems unrelated to my question, but is there
               | anywhere that this is true? All the examples of this I am
               | familiar with in the US involve ignoring the fact that
               | the CEO is not getting $10m of cash income, otherwise
               | they would be paying a lot more tax than someone with
               | $100k cash income. Which is stupid and invalidates any
               | point trying to be made.
               | 
               | If the argument is that society needs to start collecting
               | tax on wealth and forcing sales of assets, then so be it,
               | but it should be stated as such.
        
               | fighterpilot wrote:
               | "Hence the question of why are countries not changing the
               | rules so the large multinational companies cannot achieve
               | it."
               | 
               | I don't know. Probably some combination of cronyism,
               | status quo bias, and the problem being very difficult to
               | solve? Also it wasn't really front of mind in a big way
               | in people's day to day political thinking in the US until
               | about 5 years ago.                 "but is there anywhere
               | that this is true?"
               | 
               | It was a hypothetical, I was trying to provide a what-if
               | analogy. I don't know if it is true or not true in
               | itself.                 "If the argument is that society
               | needs to start collecting tax on wealth and forcing sales
               | of assets, then so be it, but it should be stated as
               | such."
               | 
               | That's some people's argument, but not mine. My only
               | observation is that the company tax as it is currently
               | implemented is extremely regressive. I'm not against
               | regressive tax per se, but it's too regressive in this
               | case. If large and small companies paid the same flat
               | rate, I'd be pretty happy. How to achieve it, I don't
               | know.
        
               | mercutio2 wrote:
               | Large companies pay giant amounts of tax when they aren't
               | reinvesting all their earnings like Amazon was for
               | decades.
               | 
               | Reinvesting earnings is a strategy available to all
               | corporations, large and small.
               | 
               | Corporate income tax is not in any way shape or form
               | regressive.
               | 
               | Crazily innumerate reporting on taxes paid by big
               | corporations leads people to believe straight up false
               | things about taxation.
        
               | moomin wrote:
               | Think of it like an invasive and experimental medical
               | treatment. You know the disease is there, but a lot of
               | the changes you could make would damage good tissue as
               | well as the bad.
        
         | muh_gradle wrote:
         | Agreed. Hopefully we see a growing trend on this.
        
       | jollybean wrote:
       | Good ruling, however, I think it's fair that if the app is listed
       | in a store, they can require that in-app payments are via the
       | store. For downloads from other sources, this doesn't have to be
       | a requirement. I don't think G&A should be obligated to showcase
       | products for which they don't receive the revenue as vendors
       | would simply shift the payment inside the app.
       | 
       | A bigger ruling would be to require Apple to allow downloads from
       | other sources, a feature which exists on Android. I don't think
       | the security argument really holds, moreover, people should be
       | able to have the choice.
        
       | bloppe wrote:
       | This is going in the wrong direction. Government shouldn't be
       | imposing regulations on monopolistic app stores when competition
       | can naturally break the monopolies and bring them in line with
       | developer and consumer needs. Let there be multiple app stores,
       | charging developers competitive fees and implementing competitive
       | security and convenience features. Don't let the platform favor
       | any particular app store, or raise barriers to app mobility
       | between stores. See how long 30% fees and hostile policies last
       | when any developer can just upload their apps to another store
       | with minimal modifications, and any consumer can easily use that
       | store.
        
         | threeseed wrote:
         | > See how long 30% fees and hostile policies last
         | 
         | And then see how the ecosystem degrades to the lowest common
         | denominator and we re-enter the Windows 95 era.
         | 
         | Race to build malware apps, virus and malware checker apps to
         | prevent the malware etc.
        
           | 10000truths wrote:
           | That lowest common denominator _already_ exists in official
           | app stores. There are huge swathes of garbage apps that try
           | to scam you with expensive subscriptions /MTX, use shady ad
           | networks that push more garbage apps on you, ask for every
           | permission under the sun for no other reason than to collect
           | data on you, etc.
        
       | StreamBright wrote:
       | This has to happen in the EU too.
        
       | sam0x17 wrote:
       | Awesome, now let's see the U.S. pass a similar law please.
        
       | 57844743385 wrote:
       | The breaking of control of these companies has to go much
       | further.
       | 
       | Businesses build on the platform and can be killed in an instant
       | by some arbitrary automated decision to kick the developer off
       | the platform with no recourse.
       | 
       | That's completely unacceptable.
       | 
       | Also, they must be made to pay tax. Why do you and I pay for
       | military education, government services education etc but they
       | pay zero?
       | 
       | These big companies are thief kingdoms and parasites on society.
       | 
       | Apple and google have had it good for too long. Something must be
       | done.
        
       | JoshTko wrote:
       | Unsurprising that this is happening in South Korea first as there
       | is a clear beneficiary that has strong government ties.
        
         | mromanuk wrote:
         | It's only bad if this benefits Samsung, opening an App Store
         | with high fees. Competition should lower Payment fees, now it's
         | a cartel or duopoly.
        
           | [deleted]
        
       | hamilyon2 wrote:
       | They could make up for that 3% with elevated fees from korean app
       | publishers and consumers. Then pretend law doesn't exist and
       | simply count that as operating cost in Korea?
        
       | [deleted]
        
       | stephc_int13 wrote:
       | Very good.
       | 
       | South Korea is maybe less corrupt than most EU countries after
       | all...
        
         | fleaaaa wrote:
         | Given the history of payment process in SK, I doubt it.. it's
         | just other side of messed up system, likely worse. But this is
         | definitely a step up I guess.
        
         | [deleted]
        
         | andai wrote:
         | Maybe, or perhaps the government was "persuaded" by Korean
         | payment companies? Still, sounds like a net win.
        
           | stephc_int13 wrote:
           | Yes, Samsung or some other giant probably played a role
           | there.
           | 
           | But this is long overdue, Apple and Google should have never
           | been allowed to take that much power in the first place.
        
       | xmly wrote:
       | Apply pay and Google Pay are both handy. I like using Apple Pay
       | now instead of typing credit card number.
        
       | tpae wrote:
       | This is a bit hypocritical from the South Korean government. If
       | you worked in IT in South Korea, you would know their payment
       | systems are complete garbage. They won't let you integrate with
       | anything else, and consumers have to use Internet Explorer with
       | ActiveX to be able to make any purchases
        
       | stale2002 wrote:
       | So, everything else that has happened up to now, could be
       | described as minor losses, for Apple and Google.
       | 
       | This is not such a case though. This is a major loss for them.
       | 
       | For all the hacker new commenters, who have been commenting on
       | this topic, for the year that the drama has been going on, and
       | were convinced that Apple and Google were going to win this
       | fight.... well you need to re-evaluate what made you think that.
       | 
       | Because, the writing has been on the wall, for quite a while now,
       | for their iron grip on their app store payments.
       | 
       | If it wasn't going to be the epic lawsuit, it was going to be a
       | different lawsuit in the US, or another country. Or if all that
       | didn't work, it was going to be laws such as this, that blow the
       | doors wide open, and spell doom for these closed systems.
        
         | square_usual wrote:
         | > For all the hacker new commenters, who have been commenting
         | on this topic, for the year that the drama has been going on,
         | and were convinced that Apple and Google were going to win this
         | fight.... well you need to re-evaluate what made you think
         | that.
         | 
         | To the extent that I've seen this point on HN, it has always
         | been in the context that there is no law in the _US_ which
         | prohibits what Apple or Google are doing, and hence it would be
         | difficult for regulators to win _without_ new laws or rules in
         | place. I 'm not American, so I can't say whether those people
         | were right or not, but I think it would've been pretty
         | ridiculous if anyone said there would never be laws against it.
        
         | misnome wrote:
         | > For all the hacker new commenters, who have been commenting
         | on this topic, for the year that the drama has been going on,
         | and were convinced that Apple and Google were going to win this
         | fight.... well you need to re-evaluate what made you think
         | that.
         | 
         | Or perhaps you need to go re-read the comments? I don't recall
         | people writing "Apple and Google are in the right and deserve
         | to win" as much as I recall people writing "Apple and Google
         | are wrong and deserve to lose" and "30% is unfair os they
         | deserve to lose", and people pointing out that the current
         | system does have benefits.
         | 
         | I recall people saying that they don't think their behaviour is
         | outright illegal, or doesn't qualify as antitrust in the US.
         | Obviously regulation supersedes this.
         | 
         | In fact, making regulatory laws to force changes in the way
         | they are behaving, implies that it's not illegal now, so seems
         | to vindicate the people saying that?
        
         | q-rews wrote:
         | I agree but I'm curious about how it will play out in practice.
         | Apple charges $99/year just to publish apps on the store and
         | then takes 30% of the payments. If forced, will they leave just
         | the $99 payment or will they change it to, say, "pay more if
         | you want your payment processor" or "you can use your payment
         | processor but you still owe us 15%"?
         | 
         | Many platforms require fees to sell on them. eBay for example
         | has asked for a percentage for years, even if it did not handle
         | payments at all.
         | 
         | Are Apple and Google going to be forced to offer the service
         | (the App Store) for free because of their duopoly?
        
           | Vespasian wrote:
           | They wouldn't be forced to offer their services for free.
           | 
           | However laws can and do regulate what constitutes a "fair"
           | price for a certain service.
           | 
           | In some countries the quasi/effective/total monopoly ISP is
           | forced to rent their last mile phone cables to competitors
           | for a regulated price.
           | 
           | A similar thing could happen to Apple and Google with a
           | government agency deciding what they are allowed to charge
           | for their services of providing the app store and the OS.
           | 
           | Or they could be forced to allow competing app stores with
           | the same privileges as their own (beyond what is
           | "technically" possible on Android).
           | 
           | Either way it looks like they'll loose their iron grip over
           | on customers phones (in some countries at least). That's the
           | price of effectively monopolizing a market and getting very
           | rich doing it.
        
       | techpression wrote:
       | I will assume this will end up just how banking regulation ends
       | up, the banks makes the same amount of money (or more) and the
       | loss from regulation is made up somewhere else (higher fees,
       | worse interest rates, etc).
       | 
       | Pay-per-download seems to be a very likely future for apps using
       | external payment systems, free or not (which is only fair, you
       | are after all leeching off the App stores in that scenario),
       | charged by Apple/Google to the developer.
        
       | munhitsu wrote:
       | In other words South Korea is asking for 3% digital tax. This
       | seems actually pretty low.
        
       | ewg4345h43 wrote:
       | Great news! Every country should do the same! and each OS should
       | also allow external app stores.
        
       | jimnotgym wrote:
       | In a statement, Google defended its service fees, which it says
       | "helps keep Android free,"
       | 
       | Now that is some brass neck, payments keep a service free!
       | Newspeak! If you pay me PS500k a year I will work for free. Give
       | me PS20k and I'll give you a free car. Unbelievable, well done
       | Korea
        
       | Despegar wrote:
       | People who believed the propaganda about "charging 30% for
       | payment processing" are in for a surprise when they pay Stripe's
       | fees but then realize they're still on the hook for
       | Apple/Google's commission. It will just be collected in a less
       | efficient way.
        
         | 015a wrote:
         | I was under the impression that the App Store was a value-
         | addition for iPhone customers. Its a reason why people buy
         | iPhones, after all! Apple's commission should be covered in
         | operating system fees, which of course there are none, because
         | its all rolled into the hardware, which of course costs $1400
         | with 200% margins.
         | 
         | Well, ok, maybe that's an extreme take. Short of that,
         | certainly, developers would possibly pay some kind of annual
         | fee to gain publishing access to the store? Maybe a setup like
         | this could work? Wait, (puts finger to ear) I'm getting some
         | new information, it turns out... they already do this?
         | 
         | Yes, as changes like this roll out in more countries,
         | inevitably, their ability to collect commissions will get
         | "weird". Its their own damn fault! Apple and Google were the
         | ones who picked a rotten, cursed way to collect revenue.
         | They'll need to figure it out; its their lunch.
         | 
         | How long has apt, snap, npm, whatever, ran with zero revenue?
         | Epic and Microsoft run stores at, what, 12%? Don't start with
         | me about how "they're incumbents, they have to price lower";
         | yeah, they're pricing nearer to cost instead of using their
         | monopoly market power to justify arbitrarily higher prices!
         | Application distribution is not that hard. Its not that
         | expensive. Its a fucking GET request on an object that can be
         | easily CDN'd, with some light versioning on top; just think
         | about how many package managers Linux has, then tell me Apple
         | needs to make a billion bucks a year to justify keeping the ten
         | people who maintain it around. Its a value-addition to the OS
         | and for your users who paid $1400 for a new phone; not a line
         | of business. Anyone who says differently is trying to sell you
         | something (and Apple is _definitely_ trying to sell you
         | something).
        
       | ptspts wrote:
       | A possible outcome of this regulation: all Android and iOS
       | payments get disabled in South Korea, paid apps become
       | unavailable.
        
         | tjpnz wrote:
         | Such a move might embolden lawmakers in jurisdictions already
         | considering similar laws.
        
         | tester34 wrote:
         | uh, so what?
         | 
         | I struggle to understand acting as if those things were some
         | incredibly important stuff just like water, internet,
         | computers,
         | 
         | or something that nobody would risk losing e.g via standing to
         | fight against its vendor
         | 
         | Maybe losing those will result in creating new, more open and
         | less vendor locking alternatives
        
         | dtech wrote:
         | I don't think that's likely. It would be a suicidal PR move.
         | 
         | If _anything_ is going to shake up law enforcement and
         | regulators it 's these megacorps holding things hostage because
         | they don't want to comply.
        
         | krageon wrote:
         | Any action may have a hundred different potential results.
         | Simply calling out one of them (devoid of _any_ context, I
         | might add) is not useful conversation.
        
         | realusername wrote:
         | That would be complete suicide by Apple & Google though...
        
           | akmarinov wrote:
           | How so? They'll lose just the SK market, that's not even in
           | the top 5 of markets for them.
        
             | realusername wrote:
             | That would trigger a wave of countries who would like to
             | imitate that by creating local competitors. If they fail so
             | badly in korea, every country will want to replicate that.
        
         | amelius wrote:
         | Another possible outcome: apps with external payment methods
         | will end up at the bottom of the search rankings.
        
           | ryandrake wrote:
           | Or, a bold red message in the AppStore description saying
           | "WARNING: This app accepts payment through a scary, untrusted
           | payment system! You're likely going to be scammed! Are you
           | sure you want to download this potentially fraudulent app?"
        
       | swiley wrote:
       | It's not about the fees, it's about Apple dictating what people
       | do with the phones after they're sold.
        
         | cm2187 wrote:
         | Unless I misread the article, it doesn't seem to break the
         | monopoly on app stores, just on payments. I actually asked the
         | question on another thread if anyone knows.
        
       | pcr910303 wrote:
       | It's not usual for news on my country to be on top of HN. Very
       | unexpected.
       | 
       | I'm guessing though that the South Korean market is be
       | significant enough for Apple and Google to not just pull out it's
       | business from South Korea and call it a day. I guess this is, in
       | some kind, a victory against the huge companies.
       | 
       | But... personally I do find sad that this would be detrimental to
       | South Korean app UX. Stripe isn't a thing here, and most of the
       | home-grown web-based payment systems have... like super shitty UX
       | that require (on the desktop) native plugins running a server on
       | some bespoke port. It did come a long way since from when we were
       | the country that required IE6 for web banking, but the UX is
       | still not really there.
       | 
       | I'm hoping that Apple will provide APIs for showing payment
       | screens and Apple will still control the ability to show all
       | subscriptions, cancel them in one single place, etc... but I
       | don't think Apple will ever do that. Unfortunate...
        
         | ricardobeat wrote:
         | Apple Pay is already available as an API, you can even use it
         | on the web.
         | 
         | Indeed would be nice to centralize all subscriptions, we have
         | yet to see how they would interface with 3rd party payment
         | options. But on the whole this should be a win - if anything,
         | those competitors will have a strong incentive to improve their
         | UX.
        
         | jonny_eh wrote:
         | > home-grown web-based payment systems have... like super
         | shitty UX
         | 
         | They now have a reason to make it better, since they can now
         | actually compete with Apple Pay and Google Pay.
        
         | rkangel wrote:
         | > I'm guessing though that the South Korean market is be
         | significant enough for Apple and Google to not just pull out
         | it's business from South Korea and call it a day.
         | 
         | I think that's right. The next step would be for a large enough
         | market to have a similar law, and then they'll just have that
         | as their policy globally. That probably means EU or US.
        
           | PontifexMinimus wrote:
           | > That probably means EU or US.
           | 
           | Or the UK, which has a larger economy than South Korea.
           | Although going after big tech is not, as far as I know, on
           | the radar of the UK government.
        
             | truth_ wrote:
             | Could things change if the Tories were to lose power?
        
         | cblconfederate wrote:
         | Traction brings improvement over time. SV companies enjoy
         | enormous first mover advantage and megaphone that pushes their
         | products to the masses early to capture them, and then iterate
         | on UX.
        
         | [deleted]
        
         | ClumsyPilot wrote:
         | "significant enough for Apple and Google to not just pull out
         | it's business from South Korea and call it a day."
         | 
         | I always found this line of argument disingenious and
         | disturbing.
         | 
         | Disingenious because it doesn't happen historically, so it
         | sounds like a tired threat
         | 
         | Disturbing - are we saying we would rather kneecap our
         | democratic institutions, right or wrong, than live without
         | iPhones?
         | 
         | We'd die to defend our lands and laws from demands of foreign
         | governments, but fold to demands of foreign megacorps?
        
           | threeseed wrote:
           | Companies pull out of countries all the time when changes in
           | the socio, political, economic and most importantly regularly
           | environment make their business untenable.
           | 
           | Case in point: China or post-Brexit UK.
           | 
           | You use this hyperbolic rhetoric to describe the situation
           | but it really is an every day occurence.
        
       | yuan_foundi wrote:
       | so right!!
        
       | astlouis44 wrote:
       | Hopefully this starts a domino effect in other countries passing
       | the same law.
       | 
       | We have Epic to thank for this!
        
         | joecool1029 wrote:
         | >We have Epic to thank for this!
         | 
         | More like the Republic of Samsung and Samsung Pay.
        
       | wdb wrote:
       | I am fine with them allowing other payment systems. As long its
       | not OR OR so if apps start to avoid using the built-in payment
       | solution of Apple and Google then I see it as a negative.
       | 
       | I can't think of needing to use like Paypal to pay for in-app
       | purchases or something for app X and use stripe for app Y and use
       | iDEAL for app Z. In those cases its better to avoid the app and
       | that's even ignoring app developers getting your payment details.
        
         | vbezhenar wrote:
         | Are you ready to pay 30% premium for using Apple payment
         | system?
        
           | wdb wrote:
           | Well, if it makes it easy to cancel a subscription or get a
           | refund. Sure. And yes, if I don't need to use Paypal I am
           | happy to pay a 15-30% premium.
           | 
           | I am worried that using other payment systems make it much
           | harder to achieve that.
        
             | vbezhenar wrote:
             | Last time I checked, Paypal has dedicated page to all your
             | subscriptions where you can just cancel them.
        
               | wdb wrote:
               | It's a horrible company that without reason keeps your
               | money hostage. I still struggling to get my money back
               | because you can't talk to a human
        
           | mrweasel wrote:
           | At this point: Yes, but only because I cannot imagine the
           | alternatives being anything but worse.
           | 
           | That's not to say that I don't think it would be interesting,
           | and maybe it will be better in the long run. Personally I
           | believe it will result in massive amounts of fraud.
           | 
           | Multiple app stores are also going to be terrible, either for
           | the developers or for the customers. Either you'll need five
           | different app stores installed, because Facebook, EPIC,
           | Google, Microsoft and others will be wanting their own store.
           | Or developers need to push their apps to every bloody app
           | store on the planet so they can reach all potential
           | customers. So now you need to pay multiple developer fees to
           | be in the different stores.
           | 
           | Yes, 30% is a ripoff. Not allowing to charge for upgrades is
           | developer hostile. The App Store is a mess of low budget apps
           | and nonsense subscriptions, because Apple created a "race to
           | the buttom" environment where developers can't actual make
           | money. I'd rather see Apple fix their store, then governments
           | forcing Apple to implement solutions that will even worse.
        
       | musesum wrote:
       | Would love to offer NFTs of works that are both authored and
       | offered on iOS/Android. Would this be a first step? I don't know
       | how to do it otherwise.
        
       | janmo wrote:
       | 2 things that surprise me: - Why did it take so long? This is
       | clearly an abuse of monopoly power - The App Store is Apple's
       | biggest cash cow, yet despite Apple losing it's ability to charge
       | its 30% racketeering tax their stock is at an ATH.
        
       | mikehearn wrote:
       | I have a question about monopolies and market abuses.
       | 
       | Apple released their phone in 2007, the App Store in 2008, and
       | in-app payments in 2009. During that time their marketshare was
       | fairly small, and it didn't start to really grow until they
       | expanded availability to the Verizon network in 2011.
       | 
       | Right at launch of the App Store, Apple announced its sales
       | commission would be 30%. Then they extended that same fee to in-
       | app purchases a year later. At the same time they set the rules
       | that third-party app stores were not allowed, and that third-
       | party payment processors could not be used.
       | 
       | I'm mentioning all of this history to make this point: Apple made
       | these rules when they were not a monopoly by any definition. They
       | released these products, with these rules, into a free market and
       | let the market (both users and developers) decide which products
       | to use and which products to develop for.
       | 
       | Now, obviously, between 2007 and 2021 the iPhone has been a wild
       | success. Its platform has grown in users and developers every
       | year.
       | 
       | So in terms of the framing of "market abuse", at what point
       | between the launch of these rules and now did Apple cross that
       | threshold between free-market competitor who can legally control
       | their own platform to monopolist abusing its power?
       | 
       | I'm asking this question not just to make a point, but because I
       | think it will be instructive for future companies to understand
       | where in the growth curve the rules they started with can
       | potentially cross over into being "abusive".
        
         | MrStonedOne wrote:
         | > I'm mentioning all of this history to make this point: Apple
         | made these rules when they were not a monopoly by any
         | definition.
         | 
         | They are a monopoly for getting your app on ios phones and in
         | front of ios users.
         | 
         | This is why bundling is part of anti-trust law.
         | 
         | Bundling their app store as the _only_ way to install
         | applications on ios devices should have been stopped years ago.
        
         | rawgabbit wrote:
         | There are two issues at play here.
         | 
         | First, with regards to the App store or Music store, Apple is
         | the Market maker. It controls who gets to sell Apps on their
         | market similar to how NASDAQ or the NY Stock Exchange controls
         | which stocks are listed. Korea is saying Apple you already
         | control the market, but you shouldn't dictate the payment
         | systems too. I expect Apple will start raising the fees it
         | charges to list Apps on their App store.
         | 
         | Second, this article is about South Korea. South Korea doesn't
         | care about the historical context of the US. Korea is saying if
         | the Apple App store want access to South Korean customers, you
         | must play by our rules. This is not unlike the European Union
         | saying if you want to store data about EU citizens, then you
         | must comply with GDPR.
         | 
         | For the past few decades, we had assumed there was a monolithic
         | global market for software apps. We are seeing now the
         | fragmentation of the internet and the software market as
         | countries assert their power over big tech.
        
         | bostik wrote:
         | 30% was highway robbery from the start. Pure and simple.
         | 
         | It was merely a _less awful deal_ than most other indie
         | commission models, with sites like Kongregate and their ilk
         | demanding  >80%. Against that kind of flaying and skinning, 30%
         | was an improvement!
         | 
         | I've said it before. A very good agent, who actually works for
         | their client and arranges them with repeat lucrative contracts,
         | gets 15%. App stores, as gatekeepers to their walled gardens,
         | extort twice that.
         | 
         | Btw - if they want to get into recurring payment scene, let
         | them compete with payment processor fee structures. For the
         | privilege of arranging trusted, mostly secured payments and
         | handling the back office accounting, 3% should be a damn good
         | ceiling. The payment industry is making money hand over fist
         | with that kind of cut.
        
           | simonh wrote:
           | >30% was highway robbery from the start.
           | 
           | That was not at all obvious to anyone in 2008. It's a pretty
           | typical margin from the console industry, which was the main
           | point of reference at the time. Apple spent several billion
           | building the App Store infrastructure, the SDK and setting up
           | the review and payments system and it took years for App
           | Store revenue to catch up with the sunk investment and
           | expenses. Also practically everyone in the industry at the
           | time was saying Microsoft and Google would imminently wipe
           | Apple out of the mobile market.
           | 
           | This is a tough one, I think 30% made perfect sense in 2008
           | but does seem steep now. Apple makes huge profits on the App
           | Store, but it mostly seems to have happened by accident,
           | their original strategy seems to have genuinely been to just
           | break even and maybe make a modest margin, with the store
           | mainly just being a competitive advantage. The huge success
           | and profits have been a windfall.
           | 
           | However that all happened and we are where we are. I don't
           | object to Apple's app store margins or IAP charges, it's
           | their product, their rules.
           | 
           | I do think banning developers from informing users of how to
           | get subscriptions and such outside the store is foolish.
           | That's clear overreach. I see why they do it, otherwise
           | subscription services can cut Apple out and free-ride, but
           | they probably just have to take the hit.
        
             | grapist420 wrote:
             | nooo aha don't take away our profit margins haha it was an
             | accident we promise haha
        
             | bostik wrote:
             | > _It 's a pretty typical margin from the console industry,
             | which was the main point of reference at the time._
             | 
             | It may have been the closest equivalent but it doesn't make
             | it any less extortionate.
             | 
             | If your neighbour's wife only ever goes out wearing
             | sunglasses to hide her two black eyes, it doesn't give you
             | the right to start beating yours. Even if it is less awful
             | than what the human trafficker living down the road does.
        
               | simonh wrote:
               | I just don't even.
        
           | mattl wrote:
           | 30% was the iTunes deal for apps. On iTunes songs were all 99
           | cents and Apple got 30 cents.
        
         | jandrese wrote:
         | > Apple made these rules when they were not a monopoly by any
         | definition
         | 
         | Didn't Apple have the only app store for iOS devices at that
         | point? For that matter the competing app stores of the time
         | (for Symbian devices) were dreadful and all of them are long
         | gone.
        
         | tsycho wrote:
         | You can do all sorts of "monopolistic abuse" on your platform
         | as long as it is small and inconsequential. No one cares, even
         | if it was illegal, though it mostly is not.
         | 
         | But the rules and scrutiny changes once you become large enough
         | to be "considered" a monopoly i.e. once your decisions and
         | policies start affecting a significant portion of the
         | market/ecosystem, then your policies are going to be subject to
         | new regulation.
         | 
         | Google supporting side loading from the very beginning was a
         | smart idea, even if its too complex and scary for the majority
         | of Android users. They should have done the same for payments.
        
         | 8ytecoder wrote:
         | Ask yourself - is there a difference between a small company
         | acquiring another competitor and a large monopoly acquiring a
         | competitor? They're both acquisitions. Same event at two
         | different market conditions attract two different reactions by
         | regulators.
         | 
         | To answer your question - when developing for Apple went from
         | being a choice to a necessity to run your business.
        
         | yyyk wrote:
         | >So in terms of the framing of "market abuse", at what point
         | between the launch of these rules and now did Apple cross that
         | threshold between free-market competitor who can legally
         | control their own platform to monopolist abusing its power?
         | 
         | When Apple launched Apple Pay (in 2014, not that long ago), its
         | App Store rules turned from dubious to outright market abuse by
         | using one market where it had a strong position to infiltrate
         | another very different market of payment processing (there are
         | other issues, but this story is about payment processors).
         | 
         | By the way, 'monopoly' has little to do with it. It's about
         | market power, monopoly is an nigh irrelevant term to the issue.
        
         | criddell wrote:
         | There's no definable line that Apple crossed. It's a long, slow
         | transition.
        
         | jimnotgym wrote:
         | Didn't they become a monopoly when they stopped allowing other
         | app stores. From that point they were a monopoly on iPhone. But
         | being a monopoly is not enough to warrant action, it's abusing
         | the monopoly position that is market abuse, i would have
         | thought?
        
           | tshaddox wrote:
           | When did they ever allow other app stores?
        
         | yholio wrote:
         | You are framing this as if there is a magical "growth curve"
         | that must take you from an inovative startup to a 800 pound
         | gorilla that has a complete chokehold over the market.
         | 
         | No, if regulators do their job, nobody gets to ask that
         | question because there is continuous competition. Getting to
         | that monopoly or oligopoly requires sustained effort from would
         | be monopolists, it's a strategy they have been executing for
         | more than a decade. And if you do that, you must expect there
         | is a moment where society says: ok, it's time to regulate it
         | and not let company X extract economic rent solely based on
         | market dominance.
        
           | simonh wrote:
           | Not at all, there was nothing inevitable about Apple's
           | success, many analysts, pundits and their competitors have
           | been adamant Apple would fail for the first decade or so of
           | the iPhone. After that these claims started looking a bit
           | thin.
           | 
           | You're presuming that market abuse has occurred and that
           | market abuse is the only way to get popular, but I don't see
           | that's a given. Maybe people simply genuinely like iPhones
           | just the way they are, and maybe network effects just
           | legitimately lead to the most popular platforms dominating.
           | 
           | Apple don't have a monopoly on the phone market anyway, they
           | only have 27% of the South Korean phone market. In the US
           | it's 65%, high but not a monopoly, but it only went over 50%
           | in 2020.
           | 
           | What changed to make them a market abuser and when did it
           | happen, as you allege? That's the question OP is asking.
        
             | kbenson wrote:
             | They've expressed anti-competitive behavior from the
             | beginning, but it's advanced over time. It's the confluence
             | of factors that makes it particularly bad in Apple's case.
             | You can't chance the software (OS) on the device. You can't
             | run iOS on a different set of hardware. You can't run any
             | store but the App Store on iOS. You can't deliver software
             | to customers without using the App Store (or jumping
             | through hoops for very limited methods of getting it on
             | there otherwise). It's not that 30% was ever good or bad,
             | but that initially there was no competition, and at every
             | step Apple has taken steps to make sure competing is
             | extremely hard to do, by tying you to an entire ecosystem.
             | 
             | Android is better in some respects, but is mostly happy to
             | not actually compete on a lot of levels because that would
             | possibly endanger the 30% industry standard. What we have
             | is two extremely large players, so large and so establishes
             | and in a market that takes so much money to enter that new
             | competitors are at an extreme disadvantage agreeing, even
             | if tacitly, that the fees for their stores are not
             | something they will compete on.
             | 
             | That's not better than when they agreed they wouldn't hire
             | each other's employees (which they were punished for). It
             | benefits only themselves at the detriment of everyone else,
             | and through market manipulation. If they actually cared to
             | compete, we would see competition in store fees.
        
             | hutzlibu wrote:
             | "What changed to make them a market abuser and when did it
             | happen, as you allege? That's the question OP is asking. "
             | 
             | There is no clear line or answer, as the topic is
             | incredibly complex.
             | 
             | Electronic devices are not just gadgets anymore, but tools
             | to participate in modern life. We never had that situation
             | before.
             | 
             | So by traditional meassures like absolute market share,
             | apple might not be a monopolist, but because of the massive
             | lock in and market dominance (of the luxory segment), with
             | all its implications, I surely would say they abuse their
             | power since a long time. But I also do not believe in
             | regulations as the magic bullet to really solve it, exactly
             | because the lines are too blurry.
        
         | fsckboy wrote:
         | abuse of monopoly power is a big area, there's no one answer,
         | but you're asking good questions. It's not really going to help
         | future companies though, because any company in a position to
         | think about this problem has the type and quality of attorneys
         | who already best know the answers.
         | 
         | In any case, though, that's not what's going on with this
         | Korean law. Antitrust violations of existing law are generally
         | determined by courts and or regulatory agencies, whereas this
         | is a new law from a legislature signalling that they want to
         | encourage a competitive marketplace in this manner. Of course,
         | with lobbying and nationalism, it's quite possible that this
         | law was guided by powerful Korean interests or nationalist
         | parties who simply want to hobble foreign entities in favor of
         | local companies: still not an example of antitrust, except
         | possibly in the other direction.
         | 
         | in any case, in the US it's not monopoly that's against the
         | law, it's that market power being used to abuse market
         | participants or influence prices. And there is no clearcut
         | answer, but there are "guidelines", for example if you control
         | 70% of a market and your major competitor controls 25%, you
         | have a good basis to say that you are not a monopoly. Notice
         | that Microsoft invested to prop up Apple when Apple was on the
         | ropes in the late 90's. That type of action shows how tricky
         | and pernicious these regulations can be, Microsoft gets the
         | excuse "we have a major competitor" and also benefits from the
         | success of the competitor.
         | 
         | But that's the market share part of the equation. The
         | additional aspects are "can it be shown that the price of the
         | good is being manipulated upward?" So, Microsoft offering big
         | discounts to PC manufacturers to get them to exclusively offer
         | MS OSes on their platform: are those discounts abuse of the
         | market?
         | 
         | I'm not a particular expert on this, there are many places to
         | quibble with what I've said, I'm just trying to offer the
         | flavor of what I thought when I read your questions.
         | 
         | Oh, at what point did Apple cross the line? Has Apple even
         | crossed the line now? Is not really the question. By the time
         | enforcement actions are taken, companies are generally well
         | over the line. The real question is "how much can we abuse our
         | market power and get away with it before the clamor to regulate
         | us gets too strong for politicians to ignore? And what is the
         | temperament of the administration in office?"
        
         | guerrilla wrote:
         | > So in terms of the framing of "market abuse", at what point
         | between the launch of these rules and now did Apple cross that
         | threshold between free-market competitor who can legally
         | control their own platform to monopolist abusing its power?
         | 
         | I'd presume that would be when they became a monopoly, which
         | may be seen as something that comes with new responsibilities.
         | "With great [market] power, comes great responsibility" would
         | probably make a lot of sense to a lot of people. We wouldn't
         | hold tiny entrants to the same standards as those who can set
         | prices, sue into dust or buy almost all of the competition.
        
       | sharmin123 wrote:
       | 5 Things To Check Before Taking Divorce Decision Or Separate:
       | https://www.hackerslist.co/5-things-to-check-before-taking-d...
        
       | mtgx wrote:
       | And they would've gotten away with it, too, if it wasn't for
       | those meddling kids!
       | 
       | Seriously, though, I can't believe both Apple and Google thought
       | they'd get away with this. Of course it makes zero sense from a
       | consumer point of view to only allow one payment system.
        
       | elisbce wrote:
       | As an app developer, I'm shocked that people just don't get it.
       | 
       | The 30% cut of in-app purchase that Apple/Google collected is NOT
       | a payment processing fee and has largely nothing to do with
       | payment services. It is primarily a way to ensure the app
       | developers pay a fair amount of "use tax" on using and benefiting
       | from the entire ecosystem, including but not limited to reaching
       | billions of users, covering the cost of developing and
       | maintaining the ecosystem, tools and cloud services, etc.
       | 
       | It is really no different from paying income taxes to the IRS for
       | being a US resident and enjoying all the benefits of living in
       | the US. Whether it is fair to collect 30% tax is debatable, but
       | the idea is the same, collect a simple tax since it is extremely
       | hard to quantify all the obvious and non-obvious benefits that
       | are provided by the ecosystem.
       | 
       | Since Apple/Google is not the IRS, they can't audit all your
       | app's income sources. If your app gives users a way to pay via
       | 3rd party payment services, you can effectively evade that tax.
       | And that is already happening with some apps TODAY, some of which
       | actually very big (e.g. some Chinese broadcasting apps). Do you
       | think this is fair to Apple/Google?
       | 
       | So the issue here is not just about choices. If the government
       | allows 3rd-party payment services to be used by the apps, they
       | should at the same time provide a feasible solution to audit the
       | app income and negotiate a fair amount of use tax to pay the
       | ecosystem.
        
         | tristan957 wrote:
         | That is not what the 30% is at all. Apple charges its tax as
         | the $99/year fee everyone is required to pay to enter the App
         | Store. If $99 is not enough, Apple is free to increase it as
         | long as alternative app stores are available on iOS to keep
         | costs competitive for developers.
         | 
         | Apple isn't worth defending.
        
       | stevespang wrote:
       | Step in the right direction which US politicians fail to do,
       | since they are all paid off by the usual suspects . . . .
        
       | tyingq wrote:
       | I'm wonder what method Apple and Google will use to comply.
       | Current GPS location? Market where the phone was sold? Cellular
       | carrer? Something else?
        
       | sebyx07 wrote:
       | Awesome news, but let's wait and see how this will turn out.
        
       | hosh wrote:
       | It makes sense since Samsung has its own payment infrastructure
       | (Apple Pay, Google Pay, Samsung Pay). Although those are for
       | retail payments for in-person purchases rather than app store
       | purchases, I can also see South Korea not wanting to have foreign
       | merchants controlling substantial markets, such as an app store.
       | 
       | Those laws probably apply to Samsung as well, if Samsung deploys
       | its own app store.
        
         | hosh wrote:
         | To put it in perspective for those who havn't been following
         | what Samsung has been up to:
         | 
         | - Samsung is a major conglomerate domestic to S Korea. LG is a
         | similar congolmerate
         | 
         | - They make consumer appliances and durable goods, similar to
         | how General Electric in the US used to (washer, dryer, fridges,
         | dish washers, TVs) and are on their way to make them "smart"
         | and connected devices
         | 
         | - They compete in the Android phone and smartphone market. LG
         | (another S Korean consumer devices conglomerate) had recently
         | withdrawn from that market.
         | 
         | - They own their own cloud (Joyent acquisition). However they
         | are cutting back on their consumer cloud offering in Mar 2021.
         | 
         | - They own world-class semiconductor fabrication facilities,
         | peers of TSCM and Intel. Samsung produces chips, memory for
         | themselves and other customers. They also produce milspec,
         | secure smartphones for the US military
         | 
         | - They own an AI research team (Viv Labs acquisition, founded
         | by the team that created Siri and sold to Apple)
         | 
         | - They have Samsung Pay
         | 
         | In other words, Samsung has its own flywheel going and controls
         | a national stategic assets (semiconductor fabs). Maybe South
         | Korean law is intended to open the market more, but I think
         | this move is as much motivated as being able to project
         | economic power through Samsung as anything.
        
       | formvoltron wrote:
       | We devs need to somehow contact the Korean authorities to thank
       | them for this & to let them know that Apple's statement about
       | "fewer opportunities for devs" is pure nonsense.
        
         | [deleted]
        
       | Hamuko wrote:
       | How long do we have to wait for all those disaster scenarios
       | Apple and Google have been promising us to become true? I want to
       | mark a date on my calendar.
        
         | simondotau wrote:
         | At a glance, this law doesn't necessarily trigger any of the
         | disaster scenarios. This doesn't mandate any changes to the
         | security model and Apple could still adjust their terms to
         | require a revenue share even if they aren't the ones executing
         | the transaction--as a license fee for use of their software
         | libraries.
        
       | illuminated wrote:
       | I wonder if this would lead to an increased number of company
       | formations in S. Korea. My first impulsive reaction was to search
       | about their local formation and tax laws.
        
         | Hamuko wrote:
         | I imagine that this would only apply to users in South Korea.
        
           | illuminated wrote:
           | The text mentions developers, not just users... I assume (by
           | understanding the published text) they'd (Korean officials)
           | want to target any users of apps published by Korean
           | developers, no matter the location.
        
             | simondotau wrote:
             | Korean law cannot reach into sales performed in another
             | country--at least not without some fairly tenuous moves.
             | 
             | Apple's phone market share in South Korea is a moderately
             | healthy 22% given the presence of strong domestic and
             | regional brands, but I've no doubt Apple would sooner give
             | up on South Korea altogether than have a weird law tying
             | their hands globally.
        
               | zaarn wrote:
               | They can't but the korean developer has a relationship
               | with Google or Apple that the government can reach.
               | 
               | If Google forbade a korean dev from making an
               | international app with external payment provider, then SK
               | could very much punish Google SK for it. Doesn't matter
               | if the target users are in Europe. Read the GDPR, same
               | principle.
        
               | minhazm wrote:
               | > Doesn't matter if the target users are in Europe. Read
               | the GDPR, same principle.
               | 
               | Actually this is not true. It only applies to companies
               | that are providing services to people physically in the
               | EU. If you're an EU citizen but you're in America, it
               | does not apply.
               | 
               | > When the regulation does not apply. Your company is
               | service provider based outside the EU. It provides
               | services to customers outside the EU. Its clients can use
               | its services when they travel to other countries,
               | including within the EU. Provided your company doesn't
               | specifically target its services at individuals in the
               | EU, it is not subject to the rules of the GDPR.
               | 
               | https://ec.europa.eu/info/law/law-topic/data-
               | protection/refo...
               | 
               | https://www.dyspatch.io/blog/gdpr-location-or-
               | citizenship/
        
       | cm2187 wrote:
       | Does it merely prevent monopoly on the payment or does Apple
       | still have full discretion on who is allowed to make an app
       | available to your smartphone?
        
       | superasn wrote:
       | I hope India too follows suit.
       | 
       | Our government is notorious for it's heavy handed laws on tech
       | startups (read twitter, paypal, chinese apps, etc) maybe this
       | time it could be actually be for some good.
        
         | truth_ wrote:
         | Unlikely. Indian market is the furthest thing possible from a
         | free market.
         | 
         | With Google's immense investments in Jio, the company of
         | Ambani, it is very unlikely. Ambani is in entente with Modi,
         | the Prime Minister.
        
       | Andrew_nenakhov wrote:
       | Please, next time do not forget about the requirements to allow
       | other marketplaces and push notification sources.
        
       | speg wrote:
       | I really hope they implement this somehow that allows the same
       | processes to exist.
       | 
       | e.g., manage all subscriptions from one location, cancel
       | subscriptions without losing time remaining (hello Creative
       | Cloud!), and the entire parental control process.
        
         | wilde wrote:
         | Managing all subscriptions from one location is great, but
         | Apple already exempts themselves from cancelling subscriptions
         | without losing time remaining. I expect most of these to go
         | away as processors compete for app business.
        
           | djrogers wrote:
           | > Apple already exempts themselves from cancelling
           | subscriptions without losing time remaining.
           | 
           | That hasn't been my experience - do you have a cite for that?
        
             | wilde wrote:
             | Ah, it looks like it only applied to the free trial of
             | Apple Arcade. https://ios.gadgethacks.com/news/psa-dont-
             | cancel-your-apple-...
        
           | speg wrote:
           | I just checked my Music and Fitness+ subscriptions and they
           | both say "If you cancel now, you can still access your
           | subscription until X."
        
         | [deleted]
        
       | dontblink wrote:
       | Would allowing for more App Stores fix this problem? It would
       | allow developers to simply withhold their apps from, say, Apple's
       | in favor of a one that has lower fees.
        
         | jjcon wrote:
         | I tend to agree, my current thinking is let gapple run the
         | store however they want but make them allow for other app
         | stores (that have first party access). Additionally prevent
         | them from anticompetitive practices to disrupt the formation of
         | other app ecosystems.
        
       | 404mm wrote:
       | Unpopular opinion: I like it the way it is now, from end user's
       | perspective. I don't want to share my payment info with apps. I
       | like all being in one place and handled by Apple. I'd be even ok
       | eating up the difference, if it meant it stays the same.
        
         | stephc_int13 wrote:
         | You'll always have that option available.
         | 
         | End users won't lose anything in the worst case.
        
       | ilikehurdles wrote:
       | As a consumer, I'm pretty sad about this. I don't miss the days
       | of having to go through 5 different user flows to cancel 5
       | different subscriptions. With iTunes, all of my purchases and
       | subscriptions are in once place. Losing that sucks.
        
         | passivate wrote:
         | I would think that the management of purchases and
         | subscriptions can support multiple payment methods, no? Like
         | VISA/PayPal/Apple Pay/etc?
         | 
         | I can't imagine it would be difficult for Apple to implement
         | this for their stores. Maybe someone who works in this field
         | can chime in..
        
         | summerlight wrote:
         | Apple can still keep it by lowering the fee to a more
         | reasonable level (like 10%) and convincing app developers that
         | the cost is worth paying for. I'm pretty sure they will do if
         | the UX is a priority over instant revenue. Not sure if this
         | reflects the reality though.
        
         | leshenka wrote:
         | I don't think you'll lose this. It will be like "sign in with
         | aplle" -- you will be able to use different purchase
         | algorithms, or apple pay.
        
           | xondono wrote:
           | Except that there's an incentive to force users into using
           | other services.
           | 
           | If the choice is left to developers, each developer will
           | choose what suits him best.
        
             | androceium wrote:
             | What's the difference between that and the current
             | situation (forced to used Apple's payment system)?
             | 
             | Isn't Apple just forcing everyone to use what suits them
             | best?
        
         | progbits wrote:
         | Well, if apple wants to make the experience nicer for their
         | users they can lower the cut which they take.
         | 
         | It doesn't even need to be the same or lower than competition.
         | Since there are so many apps already integrated (and even in
         | future their API might be easier or more likely to be used by
         | app users) and nobody wants to go through the friction of
         | adding new ones they can still be slightly more expensive and
         | retain majority of the market share.
         | 
         | But if they won't then I guess you will know it never really
         | was about protecting the user or whatever, just a cash grab
         | from walled garden.
        
         | yyyk wrote:
         | There's nothing stopping Apple from still managing
         | subscriptions. The difference is an extra call to the payment
         | processor, either done by the vendor or Apple.
        
       | josephd79 wrote:
       | And.. How does this effect me in the United States?
        
         | akmarinov wrote:
         | Well, A) not everything has to "effect" you, you're not the
         | center of Earth.
         | 
         | B) switch your region to South Korea and bam - multiple
         | AppStores while in the US
        
       | MDWolinski wrote:
       | I'm wondering how this will eventually play out if most companies
       | start requiring Apple/Google to allow third-party apps to use
       | their own payment system.
       | 
       | The commission fee that Apple charges, 30% is partially to cover
       | operating/marketing etc. Obviously, Apple makes a good profit off
       | the App Store these days, even though Jobs said he'd be happy if
       | it was break even at best.
       | 
       | Here's an analogy I've been thinking on about this whole thing.
       | The iPhone (or whatever phone you want) is the equivalent of a
       | Walmart store. If you want your product to be sold in Walmart,
       | you have to send it to their distribution center (ie App Store)
       | and Walmart will handle sending that product out, etc. Walmart
       | will handle the credit card transactions, etc and pay you the
       | negotiated rate for your product (Yes, odds are Walmart buys your
       | product first, then sells it, but with credit lines, etc it's
       | almost the same thing).
       | 
       | Does Walmart allow you to go in, put your product in the store
       | and sit there with a square device and sell your stuff? Amazon is
       | more analogous of physical to app in the sense that Amazon is the
       | transaction point but may or may not actually maintain control of
       | the product.
       | 
       | So what's the end game? I suspect if Apple/Google has to allow
       | developers to collect their own fees, Apple will start charging
       | paid apps to be in the App store.
       | 
       | They will continue to allow free apps to be shown, but if you
       | want to charge for your App either one time or subscription,
       | you'll have to pay an upfront fee to be listed.
       | 
       | And that charge may depend on the number of downloads.
        
         | metalliqaz wrote:
         | I don't have to go into a Walmart if I want to shop.
        
         | ToruiDev wrote:
         | But at least for apple you already pay a 100$/year fee for them
         | to distribute your apps.
        
           | MDWolinski wrote:
           | I'm sure Apple will say that fee is to help pay for the
           | development of the developer tools.
        
             | giyokun wrote:
             | Because Apple doesn't need those tools internally to
             | develop their OS and apps?
        
         | sumedh wrote:
         | > If you want your product to be sold in Walmart
         | 
         | No one is forcing you to go through Walmart. The problem with
         | IOS is that you are forced to go through Apple. A user cannot
         | pay, download and install the app directly from a developers
         | website.
        
           | ubermonkey wrote:
           | Nobody is forcing you to sell to iOS, though.
        
             | belorn wrote:
             | We can go up the whole chain and in the end the root
             | platform are nations. If you want access to citizens in a
             | country you got to go through that nations laws, and nobody
             | is forcing apple to sell iOS in Korea.
        
             | sumedh wrote:
             | That argument does not work when there are only two service
             | providers in town, Apple and Google.
        
               | ubermonkey wrote:
               | It works _precisely_ because there is an alternative with
               | less onerous rules. It works even better because the
               | alternative provider is BY FAR the larger player.
               | 
               | Apple is a minority player in mobile.
        
         | ballenf wrote:
         | Walt Disney looked at Disneyworld/land as ideally break even.
         | Sad how they both lost the battle for vision to the
         | accountants. Disney parks now feels like a nightmare game with
         | IAP at every turn. You grind through ride lines or can pay to
         | skip them. Food, toys, etc that you see everyone else enjoying
         | and feel a nearly irresistible pull to buy.
        
         | IsoldesKnight wrote:
         | > The iPhone (or whatever phone you want) is the equivalent of
         | a Walmart store.
         | 
         | The major difference here is that while I don't own the Walmart
         | store, I do own my phone. What is allowed to be sold in the
         | store is determined by Walmart, just as what's installed on my
         | phone should be determined by me, the owner.
        
           | MDWolinski wrote:
           | Ownership is a valid point. I'm not arguing either course,
           | I'd like to see the ability to be able to install Apps myself
           | just as I do on a Mac or PC mostly because I'm tired of the
           | forced puritism of companies these days.
        
         | WA wrote:
         | > The commission fee that Apple charges, 30% is partially to
         | cover operating/marketing etc.
         | 
         | Then by all means, please charge me separately for these
         | things. Because I don't need them. Apple doesn't do marketing
         | for me, never promoted my app. People find my app through my
         | own marketing channels.
         | 
         | Charge me roughly 2 % for In App Purchases just like Stripe and
         | PayPal.
         | 
         | Charge me a traffic fee for whatever download traffic I cause.
         | This way, I at least benefit from my app being only like 5 MB
         | in size.
         | 
         | If I want to be featured on the App Store, charge me.
         | 
         | The rest like App Store listing? Covered by my $100 developer
         | fee.
        
           | joshstrange wrote:
           | > Charge me roughly 2 % for In App Purchases just like Stripe
           | and PayPal.
           | 
           | This is so disingenuous and I'm so tired of seeing Apple's
           | fee pegged at 30% (even though it 15% for the VAST majority
           | of developers) and then turn around and pretend Stripe/PP
           | offer anything close to 2%.
           | 
           | Paypal is 3.5% + $0.49
           | 
           | Stripe is 2.9% + $0.30
           | 
           | At low price points (you know, the price points that almost
           | all IAP/Paid App are at save for longer, like annual,
           | subscriptions) your fee is still substantial.
           | 
           | If you are lucky Apple will create a special provision for
           | 3rd party payment providers that will provide
           | subscription/cancellation/refund/etc infrastructure. If they
           | don't do that then you can expect the above rates to be even
           | higher. 2% is only obtainable with a more bare-bones payment
           | processor so you will have to build quite a bit up and any
           | company providing full "app payment services" is going to
           | charge more than Stripe/PayPal. Heck, even the prices I
           | listed for Stripe are the lowest they go (unless you are
           | doing over 1.5M annually and qualify for bulk/volume pricing)
           | and if you want things like fraud protection that's extra. Oh
           | you want to calculate tax? Extra .5%. Fraud protections? $.05
           | or $.07/per transaction extra. Chargeback protection? Extra
           | .4%, and the list goes on.
        
             | WA wrote:
             | - 15% is a rather new development. Most devs paid 30% for
             | many years. I paid 30% for over 10 years.
             | 
             | - Stripe is cheaper in the EU for EU cards. 1.4% plus
             | EUR0.25
             | 
             | - Apple didn't even notify me about individual refunds for
             | what? 10 years? And it's still unreliable and annoying so
             | that I don't even bother, because I get like 3 refunds per
             | month. You could actually get a refund and still keep the
             | app for a long time.
             | 
             | - People complain to me if they want a refund, but Apple
             | gives me no control. I have to redirect them to Apple
             | customer support. I am perceived as the bad person and this
             | costs me money in terms of customer support and I can't
             | even help people, because Apple wants to own the
             | relationship between app devs and customers.
             | 
             | There are so many silly things about the App Store that
             | your quotation of 15% as a generous service is laughable.
             | 
             | Edit: but yes, Stripe and PayPal are more than 2% in
             | reality, but far from 15% or even 30%, except for micro
             | transactions.
        
           | jamil7 wrote:
           | > Then by all means, please charge me separately for these
           | things. Because I don't need them. Apple doesn't do marketing
           | for me, never promoted my app. People find my app through my
           | own marketing channels.
           | 
           | This, maybe it was different in the early days but they do
           | literally nothing to help you market your app until you've
           | already driven enough traffic to it yourself for them to take
           | notice.
           | 
           | If you do get featured you get an email indicating that you
           | _might_ get featured and need to design and submit app store
           | banner artwork with a whole list of things that you 're not
           | allowed to display.
        
       | the_solenoid wrote:
       | All of these policies coming about are for the benefit of already
       | monied interests and do not help small devs, or consumers.
       | 
       | I also take huge umbrage that the framing of this is just as
       | horrible as the framing of paying taxes in the US.
       | 
       | People think, wrongly, that they make $100k, and have to pay 35%
       | of that to the gov.
       | 
       | Wrong. You always only made $65k. There are studies that show
       | wages have always tracked with taxes (up to a point).
       | 
       | Think of it this way - if your taxes went up to 75%, would you
       | still work for 100k? No. Your take home would track in a few
       | years (or sooner) to bring you back up to taking home 65k.
       | 
       | ---
       | 
       | So I am nexflix, I charge 9.99 and pay whatever entity processes
       | my payments like 1-2% if even. There is some other costs to this
       | - infrastructure and employees, probably a bunch more.
       | 
       | Apple comes in and says "we build, and maintain a platform, that
       | costs us x amount to maintain, and we sell 100's of millions of
       | devices that utilize this platform, and provide fairly long-term
       | support for those devices. We want you, if you want access to
       | this platform, to pay y% of revenue derived from using this
       | platform. We will call this the apple tax.
       | 
       | Is this fair? If you think taxes are theft, you probably think,
       | "no". But you are wrong. Taxes are the % of your "output" used to
       | keep the commons going. You know roads, bridges, laws, money,
       | military, water, clean air, safe food, yadda yadda.
       | 
       | So the apple tax might be high, but it's mostly irrelevant. As a
       | small dev, you would never have the reach you can have with the
       | app store anywhere else. As a big dev, you look at where you can
       | generate more revenue and think "fuck apple, let's start making
       | legislation so I can use their platform but make more money
       | without paying into it."
       | 
       | These "solutions" are just monied interests wanting more profit.
       | This should only be handled in a way that suits the interest of
       | consumers but they are not at the table.
        
         | malandrew wrote:
         | > Taxes are the % of your "output" used to keep the commons
         | going.
         | 
         | The commons includes bombing other countries and waging
         | unwinnable wars?
         | 
         | I have no problem paying taxes if they were actually used for
         | the commons, but only a fraction are used for the commons. Far
         | too much is going to benefit special interest groups such as
         | defense contractors, public sector employee benefits and
         | pensions that are far above what private sector employees get.
        
         | rrrrrrrrrrrryan wrote:
         | A related concept in economics is the Laffer curve [1], which
         | describes the tax rate that extracts the most money from the
         | population. If you tax everyone 1%, you collect very little
         | money, and if you tax everyone 99%, very few people will work
         | at all.
         | 
         | Interestingly, the sweet spot seems to be in the mid-30s for
         | the population in aggregate (which lines up with Apple's fees
         | almost exactly), but is someplace around 70% for the highest
         | earners. This implies you could jack up the top marginal tax
         | rates to > 60%, and while most billionaires may grumble a bit,
         | they will not ragequit from the economy.
         | 
         | [1]
         | https://en.wikipedia.org/wiki/Laffer_curve#Income_tax_rate_a...
        
         | xondono wrote:
         | What?
         | 
         | Google and Apple are giving them devs access to something
         | _they_ built. That is not a tax.
         | 
         | "Taxation is theft" is a very simple concept. If I don't pay my
         | taxes, people with guns come to my house, even if I don't use
         | public services. If you don't want to pay Apple or Google, go
         | develop for other devices.
        
       | dalbasal wrote:
       | The concessions Apple & Google made to "stave off regulation" are
       | informative in themselves:
       | 
       |  _It also agreed to let developers inform their users about
       | payment options outside the App Store, using the email addresses
       | that users gave them. Google said that it would only take 15
       | percent of developers ' first million dollars instead of 30
       | percent._
       | 
       | Combined with "competition for monopoly" elements like paying
       | Telcoms not to develop their own app stores or support 3rd party
       | ones, the whole thing stinks to high heavens.
       | 
       | Once upon a time, "net neutrality" had wide support, and there
       | was understanding that it required constant vigilance. Google,
       | ironically, was a big defender of net neutrality... even as they
       | established their own dam immediately downstream of ISPs.
        
         | jaywalk wrote:
         | Net Neutrality just meant that Google got to shovel YouTube
         | streams onto ISP networks without having to pay. Let's not
         | pretend there were ever any noble intentions behind it.
        
           | ZoomerCretin wrote:
           | You think it's okay for ISPs to double dip on charging their
           | customers for access and then charging their customers' most
           | popular services (who are frequently competitors of the ISPs)
           | for the privilege of accessing their customers? Why should
           | any ISP think they can charge the source of my bits when I am
           | already paying them for the bandwidth?
           | 
           | https://www.theversed.com/2754/riot-games-seek-court-
           | justice...
           | 
           | Net Neutrality is not just about "shoveling YouTube streams
           | without having to pay." In one case, an ISP was deliberately
           | dropping packets for a popular online game (which, if you
           | didn't know, online games are known for requiring very little
           | bandwidth), and extorting the game developer with the loss of
           | ISP's customers if they did not pay up.
           | 
           | ISPs are monopoly-abusing extortionists. They deserve every
           | bit of ire they receive.
        
             | ysavir wrote:
             | I think the post you're responding to is saying that
             | _Google 's_ incentives for supporting net neutrality were
             | self-serving, not noble. They weren't saying that ISP
             | behavior was fine.
        
               | jaywalk wrote:
               | Correct.
        
           | Hnrobert42 wrote:
           | What do you mean "without having to pay"? Google pays for its
           | connection to the internet, right?
        
             | jaywalk wrote:
             | No, in most cases they don't.
        
               | Hnrobert42 wrote:
               | Do you have any explanation in addition to @hyperion's
               | response?
        
               | jaywalk wrote:
               | Nope, he covered it.
        
               | hyperionplays wrote:
               | This. Google has amazingly helpful peering bilats with
               | most major ISP's globally, they don't have to pay for
               | transit nearly as much as the rest of us. they were a
               | staunch defender of net neutrality because it let them
               | avoid millions of $$ in transit.
        
               | Hnrobert42 wrote:
               | Why do Gooogle's peers charge Google less money?
        
               | jaywalk wrote:
               | Peering is free by definition.
        
               | kyboren wrote:
               | There is no exchange of value between the parties, but
               | there is definitely a cost to peering. You need to
               | physically get your data to the meet-me room, and that
               | isn't free.
        
               | sigjuice wrote:
               | how do I get free internet at home using this method ...
               | i hate paying comcast every month
        
               | jaywalk wrote:
               | Peering is a one-to-one relationship, not "Internet
               | access" like you're thinking. If you peered with Comcast,
               | for example, you'd only be able to reach Comcast
               | customers over that connection. A more "Internet access"
               | type of connection would be transit, which is definitely
               | not free.
        
       | cletus wrote:
       | Good.
       | 
       | I've been saying this awhile, most notably when Apple (of course
       | followed by Google) introduced a discount on commission for
       | smaller developers.
       | 
       | This is completely backwards.
       | 
       | I know why they did it. They wanted some positive PR that didn't
       | cost them anything. Thing is, it's the larger publishers who are
       | going to lobby regulators and challenge things in court. It's
       | those same publishers who already have their own payment
       | processing systems where the 30% is pure overhead (minus the CC
       | fees). Small publishers actually get a lot of benefit for that
       | 30% (IMHO).
       | 
       | So what Apple/Google should've done is give larger publishers a
       | volume discount. Of course this should force them into binding
       | arbitration and otherwise challenging the discount should void
       | that discount.
       | 
       | Why? Because it changes the calculus for Epic, etc. Currently
       | that is:
       | 
       | Option 1: Keep paying 30%
       | 
       | Option 2: Leave the app store
       | 
       | Option 3: Challenge the 30% cut in court
       | 
       | Game theory will tell you that there is essentially no downside
       | to (3). Worst case you will be back on the app store at 30% or
       | will leave.
       | 
       | But what if the options were:
       | 
       | Option 1: Keep a volume discount and pay 10%
       | 
       | Option 2: Leave
       | 
       | Option 3: Challenge the cut and possibly end up paying 30% or
       | leaving
       | 
       | Now they have something to lose.
       | 
       | More importantly, it takes the sting out of efforts to lobby
       | regulators because now we're talking about the difference between
       | 1-2% (CC fees at volume) and 10% not 30%.
       | 
       | I stand by my position that end users don't actually want
       | competing third-party app stores. That's just a usability
       | nightmare. But backend payment processing is something else
       | entirely and is the likely first step in breaking the
       | stranglehold.
        
         | tomc1985 wrote:
         | What an incredibly shitty contract to be forced to sign.
         | 
         | Apple overstepped, and they are going to get reeled back.
        
         | oceanplexian wrote:
         | There's an entire cottage industry of jailbroken app stores.
         | You might argue that those using alternative stores are a
         | minority (1-5%), but the act of jailbreaking a phone is quite
         | challenging and we still have a lot of people doing it. If
         | iPhones were able to run third party stores I think you'd see
         | 30 or 40% of users opting in to that.
         | 
         | Is it a usability nightmare? Perhaps. But device makers
         | shouldn't make that "choice" for their users. Likewise you
         | might not like the fact that your city has small businesses
         | instead of a single large warehouse store on the basis of
         | convenience and usability. But the public would not agree with
         | you and that's why we enact laws against anti-competitive
         | behavior.
        
           | elefanten wrote:
           | It's way less than 1%
           | 
           | Waay less.
        
             | saagarjha wrote:
             | That's because Apple has waged war on these stores for over
             | a decade. The fraction used to be much, much higher several
             | years ago.
        
               | threeseed wrote:
               | They've merely fixed the security holes in iOS that
               | allowed these stores to exist.
               | 
               | Unless you're suggesting Apple ignore them which would be
               | insane.
        
               | saagarjha wrote:
               | Perhaps the iOS security model is incorrect if it only
               | allows Apple's store to exist?
        
             | sudosysgen wrote:
             | In some third world countries going to a shop to get your
             | device jailbroken at least was quite popular.
        
         | spywaregorilla wrote:
         | > Game theory will tell you that there is essentially no
         | downside to (3). Worst case you will be back on the app store
         | at 30% or will leave.
         | 
         | Worst case is you want to be on the app store at 30% but are
         | not allowed back in.
         | 
         | > I stand by my position that end users don't actually want
         | competing third-party app stores
         | 
         | I disagree. More stores bring more competition. Both in terms
         | of platform costs and in terms of promos for customer
         | acquisition.
         | 
         | The epic game store is kind of crap, but their weekly free game
         | setup has offered some great content. I haven't given them a
         | single dollar and I've gotten a number of titles including
         | Control, Enter the Gungeon, Alien Isolation, etc.
         | 
         | I say let them fight
        
           | skrtskrt wrote:
           | > Worst case is you want to be on the app store at 30% but
           | are not allowed back in
           | 
           | If 30% cut of your revenue is big enough, Apple will let you
           | back in even if the two companies apparently just tried to
           | murder each other in court.
           | 
           | Money talks.
           | 
           | Companies keep massive clients and vendors that they are
           | locked in lawsuits with all the time, just look at Apple and
           | Samsung.
        
           | cletus wrote:
           | While technically possible I consider that incredibly
           | unlikely as a result of what's essentially a contract
           | dispute. What would Apple's cause of action be to terminate,
           | say, Epic from the App Store entirely?
           | 
           | They sort of tried this at the beginning of the dispute when
           | they claimed anything running Unreal Engine was a security
           | risk and should be kicked. They overplayed their hand with
           | that one and a court blocked it.
           | 
           | Game theory applies to Apple too. What's their upside from
           | banning Epic from the App Store? They face the risk that a
           | court may take that decision out of their hands. And while
           | they're doing it they are losing out on that 30%.
        
         | ocdtrekkie wrote:
         | The reason Apple and Google would never offer up a volume
         | discount for large publishers without legal action is because
         | it's 99% of the app store's revenue. Giving a discount to small
         | developers cost them nothing, giving a discount to Epic Games
         | and similar would cost them billions.
        
           | kryptiskt wrote:
           | Google's Project Hug that was revealed in the Epic trial
           | shows that they give discounts under the table. They just
           | don't want it to be known publicly.
        
             | ocdtrekkie wrote:
             | Project Hug is basically a bribe, rather than a discount:
             | It's not offered to everyone. Just developers who are
             | likely to strike out on their own. (EA and Activision both
             | being companies who have bucked the Steam train before,
             | demonstrating a willingness to launch outside of monopoly
             | app platforms.)
        
           | cletus wrote:
           | I think it's certainly heavily weighted to the big publishers
           | but 99%? I'm not so sure.
           | 
           | But you know what's expensive? Private lawsuits, government
           | lawsuits, a court or legislature deciding the outcome,
           | compliance with legislation, compliance with consent decrees,
           | compliance with judgements, etc.
           | 
           | The biggest issue is that third parties will end up deciding
           | the outcome. You're almost always better off heading off
           | government action by instituting the least bad solution for
           | you.
           | 
           | What if the outcome of governent action is completely
           | independent third party app stores? Apple and Google
           | certainly don't want that. I would argue that neither do end
           | users actually. A vocal minority thinks they do but they're
           | wrong. That could happen if the wheels of the US or EU
           | regulators start turning against you.
        
         | fabianhjr wrote:
         | > So what Apple/Google should've done is give larger publishers
         | a volume discount. Of course this should force them into
         | binding arbitration and otherwise challenging the discount
         | should void that discount.
         | 
         | Binding arbitration is a uniquely US-legal system thing that is
         | not legal elsewhere. (And imo it is better to have a more
         | neutral third party than an arbitration private firm that has
         | one of the parties as a recurring customer)
        
         | sam0x17 wrote:
         | It's also quite possible that if they had just set it at 10%
         | from the beginning across the board, there would simply be more
         | sales than there are now with 30%. I know a lot of apps make
         | users foot the bill for the extra 30%, with different pricing
         | if you buy not through apple. This just translates to lost
         | sales. The market is the market.
        
         | ren_engineer wrote:
         | The tech giants simply flexed their power too hard during the
         | last few years and now pretty much every country on earth
         | realizes they are a threat to national security in various
         | ways. They are getting sued, fined, or punished in almost every
         | major country now and they deserve it honestly
        
         | dogleash wrote:
         | >I stand by my position that end users don't actually want
         | competing third-party app stores.
         | 
         | I have 9 chat apps on my phone. I just counted, and that's
         | skipping things like email and basecamp that I might have
         | included to inflate the number. It's not ideal, and the
         | downsides can be exaggerated for the sake of banter, but
         | overall the chat app situation is fine. Similarly, I wouldn't
         | mind having more app stores.
         | 
         | I expect there'd be one all the free software hardcores believe
         | in, one that fills the role Steam does on PC, another with all
         | the "too hot for TV" content that Apple and Google won't touch
         | with a 10 foot pole, a few developer-publishers big enough to
         | get traction, and dozens of also-rans that nobody uses. Yes,
         | slightly more inconvenient like all the chat apps, but in
         | reality it'd also be fine.
         | 
         | I don't think it makes sense to say what consumers do and don't
         | "want," because largely they don't understand the terrain the
         | App Store and Google Play put down. Ask people if they'd like a
         | 2nd store that lets them install apps that contain porn without
         | putting it behind hidden curtains in otherwise general-purpose
         | apps, then we might expect positive responses. Ask people if
         | they want an app store that contains more malware because the
         | app store monopoly provides a chokepoint to enact user
         | protection that on-device sandboxing can't, then we'd expect
         | negative responses.
        
         | andjd wrote:
         | Just wow.
         | 
         | > Of course this should force them into binding arbitration and
         | otherwise challenging the discount should void that discount.
         | 
         | So you want apple and google to act as even more monopolistic
         | bullies ...
         | 
         | I see that you're taking this position as what you would do if
         | you were Apple or Google, not what is the best course of action
         | for all stakeholders. But you then opine that this is justified
         | because the status quo is better for consumers.
         | 
         | The thing is, we already know that it's not. Apple and Google
         | allow third party payment processors for _some_ of their apps.
         | Would it be your best interests as a consumer to pay 40-50%
         | more then you currently do for Uber and GrubHub? There's a
         | reasonable argument to be made that those businesses simply
         | would not be economically viable if they had to pay a 30%
         | apple/google tax on every transaction. How many other apps or
         | services went under (or were never made in the first instance)
         | because Apple decided that their business needed to pay them a
         | 30% cut of everything.
         | 
         | Which brings us to another salient point. Apple claims that
         | they need to charge their 30% cut to pay for the cost of
         | running the app store and for the developer tools they provide.
         | But if this is the case, why should Uber and Facebook get to
         | use them for free?
        
           | SeanLuke wrote:
           | I don't think he's saying that it'd be good _if_ Apple and
           | Google did that. He 's saying they _should_ have done that if
           | they had had their strategic thinking caps on.
        
             | mc32 wrote:
             | That's my take too on what poster is saying.
             | 
             | Yet, it's not out of the ordinary to presume apple and
             | google have good strategists among the management ranks...
             | so what gives? What do we not know?
        
               | derefr wrote:
               | Presumably, that they already do volume
               | discounts/sweetheart deals with certain vendors. Apple
               | allows Microsoft to publish packages through their App
               | Store that install non-sandboxed apps, for example. I'm
               | sure they're giving them a discount as well. They're a
               | "strategic partner." Epic is not.
        
               | yunohn wrote:
               | Which apps does MS do this with? Office is a bundle,
               | right?
        
             | sam0x17 wrote:
             | The fact that these two things are different is the problem
             | with corporate America. The morally correct thing is always
             | the better thing for shareholders in the long-run, but
             | corporations don't see it that way.
        
               | BeefySwain wrote:
               | > The morally correct thing is always the better thing
               | for shareholders in the long-run
               | 
               | Are you asserting that this is the case in reality, or
               | that we should strive for a society and economic system
               | in which this would be true?
        
               | sam0x17 wrote:
               | Both. I think that when corporations do exploitative
               | things, they are being short-sighted, and will eventually
               | suffer in the long run.
               | 
               | And really what I would advocate for is stricter
               | regulations so we don't have to rely on the good will of
               | corporations in general. Their track record is terrible.
        
               | kernoble wrote:
               | The thing is this "long run" is a hypothetical for
               | investors and their finite lifetimes and finite windows
               | of return.
               | 
               | Companies aren't accountable to some infinitely long
               | running algorithm or timeless dynasty of shareholders,
               | their accountable to living breathing greedy humans who
               | want to make a buck NOW, not when they are dead or for
               | their heirs.
        
           | [deleted]
        
           | vineyardmike wrote:
           | > How many other apps or services went under (or were never
           | made in the first instance) because Apple decided that their
           | business needed to pay them a 30% cut of everything.
           | 
           | Probably very few apps fit this. This rule basically only
           | applies to digital goods, which are "free" to manufacture.
           | There is some fixed server/dev costs, but its practically
           | "free" to serve n+1 users.
           | 
           | This applies especially true to games where you buy in-app
           | "coins". They're free to the dev, and giving our more / de-
           | valuating the currency is a not-issue.
           | 
           | Of course, it probably takes a toll on licence-based apps
           | like netflix/spotify and mostly server-heavy apps like Hey
           | (by basecamp)
        
             | karatinversion wrote:
             | Hmm, I don't think the marginal analysis tells the whole
             | story here. If you imagine a business that made revenue
             | through sales through an App Store without a 30% tax, with
             | a 20% profit margin, that's a healthy business. With the
             | 30% cut, they lose 10% and go under.
             | 
             | These missing smaller players are the deadweight loss from
             | the cut. You either need the scale to cover your fixed
             | costs from a reduced revenue stream, or a revenue stream
             | which avoids the 30% (like ads).
        
         | Closi wrote:
         | > So what Apple/Google should've done is give larger publishers
         | a volume discount.
         | 
         | From Apple/Google's perspective this is a terrible strategy.
         | 
         | The problem is that, if we assume the Pareto Principle holds,
         | the larger publishers probably generate 80% of revenue on the
         | App Store.
         | 
         | So assuming 5% is operating at cost, you are talking about them
         | probably sacrificing 70%-75% of their current profits (i.e.
         | moving to 5% margin vs 25%, profit for high-grossing apps is
         | probably closer to 1/5th previous rather than 1/3rd).
         | 
         | So they avoid the lawsuit, but they also lose all the profits
         | they are trying to protect anyway.
        
           | zrm wrote:
           | Not only that, "we charge 10% to the big monster and 30% to
           | the little guy" is _terrible_ PR against the amount of money
           | they would generate from just the little guy. It 's so bad
           | that by that point they might as well just charge the lower
           | rate to everybody. Especially when they're trying to stave
           | off legislation.
        
             | cletus wrote:
             | Paying lower unit price for higher volume customers is
             | literally how the entire economy works. People deal with
             | this every day. It's why jumbo packs in the supermarket are
             | cheaper. It's how Costco exists. It's the one capitalist
             | principle almost nobody has a huge problem with.
        
               | Closi wrote:
               | > Paying lower unit price for higher volume customers is
               | literally how the entire economy works.
               | 
               | That's not how the economy works - it's a very simplified
               | view which IMO is incorrect in this instance.
               | 
               | Companies in theory only offer volume discounts when it
               | makes commercial sense to do (i.e. 'second degree price
               | discrimination'). Price discrimination opportunities
               | happen when you believe that you will _sell more_ to a
               | customer by changing the price for a particular segment
               | / volume target (companies in theory always try to sell
               | at the maximum price that the buyer will accept, and
               | price discrimination is just strategy to help sell at a
               | higher price to certain segments if the market will
               | accept it). Companies will also only do deals which are
               | profitable (sometimes higher volume deals are profitable
               | while lower volume deals aren't, for instance it might be
               | practical to sell 1 million cans of beans to a large
               | supermarket chain for 20 cents, while it's only practical
               | to sell 10 cans of beans for 50 cents each to a smaller
               | shop).
               | 
               | In the AppStore in reality this would mean you would need
               | to believe that the reduction in fees would encourage
               | enough big developers to the platform to offset the
               | change in fees (at the moment I'm assuming the
               | profitability threshold is met - as Apple is clearly
               | already making money on the bigger apps here).
               | 
               | Now in order to pay for the 30% to 10% swap, you would
               | need to bring c5 times the number of big developers to
               | the platform to offset the reduced margin, which is very
               | unlikely to happen, particularly as Apple have the
               | dominant platform (i.e. most developers are already
               | probably on iOS that are going to be on iOS).
               | 
               | Now if the industry was heavily competitive, and mobile
               | developers could leave and go to another platform with
               | lower fees and reach the same audience, then the
               | competitive pressure would exist to do what you are
               | describing and volume discounts may become a thing - but
               | because Apple can block any competition in this space
               | they don't need to offer any discount to encourage these
               | big developers to use their platform - the developers
               | _have_ to keep using them (which is what the lawsuit is
               | about).
               | 
               | i.e. Apple's market position allows them to act as a
               | market-making monopsony, which means it's not in their
               | interest to provide a discount as they can exploit the
               | situation to generate super-normal profits. Economics &
               | business strategy 101.
        
             | ece wrote:
             | Steam is doing this 30%-20%, and it seems to be working
             | fine of them.. so far. I generally think volume discounts
             | come a bit too close to price fixing, if proven in court.
             | Granted, it's tough to prove, as we've seen in Intel vs.
             | AMD which settled out of court AFAICR.
        
               | Closi wrote:
               | Yes - although I think Steam is in a different market
               | position where there _are_ substitutes (e.g. developers
               | /publishers can choose to submit via GOG, Epic store,
               | Microsoft Store or sell direct so there is no monopsony),
               | so providing a lower revenue split to encourage big
               | developers to the platform is a good/valid strategy. The
               | strategy is different for Apple (where there are no
               | perfect(ish) substitutes, and they can exploit this to
               | have higher margins).
        
         | majormajor wrote:
         | I'm surprised discounts for big publishers hadn't already been
         | more of a thing. It's certainly happened before from time to
         | time: https://www.cultofmac.com/319040/apple-only-takes-15-cut-
         | on-...
        
         | jclardy wrote:
         | That's exactly it, so many users are afraid that this will mean
         | every random app you download will have a credit card entry
         | field. Nope. Those random apps will still benefit from the
         | simplicity of the system IAP, one tap, auth, done. The ones
         | asking for a credit card will drop in ratings and search
         | results.
         | 
         | The big players are the ones that will switch, amazon, Netflix,
         | Spotify, Hulu, etc. And beyond that, competitors like Square
         | and Stripe will release SDKs that make purchasing just as easy
         | as the system IAP, and will actually force Apple to improve
         | their system.
         | 
         | If Apple thinks hosting costs are of any consequence, then
         | charge people for hosting if they don't actively use IAP. For
         | 99% of apps hosting is pennies on the dollar, but for games
         | like Fortnite it may actually cost a decent amount, especially
         | for the binary size.
         | 
         | The end point is that there are no technical limitations to
         | anything here, it is all political and Apple has the ability to
         | change this at any time. There just isn't any point when they
         | can continue to rake in 30% of every digital subscription
         | service on the internet that wants to exist on their platform.
        
           | Andrew_nenakhov wrote:
           | > The ones asking for a credit card will drop in ratings and
           | search results.
           | 
           | Ratings and general search are already useless in appstores,
           | dominated by apps filled with pay2win dark patterns and
           | optimized/gamed to be higher in ratings. The times where you
           | could go to top games section and find a genuine good app are
           | over more than a decade ago. So you can find the app you need
           | only be it's exact name or via link from external source.
           | 
           | So now appstore is nothing more than a very restrictive
           | guardian/censor. No value lost.
        
           | eropple wrote:
           | It's more than just one-time IAP, though. I'm generally
           | "whatever" on what payment processor people use, but one of
           | the things that _does_ concern me is subscription management.
           | To me there is a lot of value to having a central place where
           | _all_ my subscriptions are and where they can be canceled
           | easily, even if I don 't have the app installed anymore.
           | 
           | YOLOing something with Stripe doesn't give me that without a
           | bunch of fundamentally opt-in stuff on the part of the
           | developer, and that's pretty concerning. If the platforms can
           | (and _do_ ) solve this, then I feel a lot better about it.
        
           | rrrrrrrrrrrryan wrote:
           | I haven't heard of any actual regulation or court proceedings
           | that would end with Apple Pay being _removed_ as a payment
           | option from apps.
           | 
           | Apple can always require an Apple Pay option for any app in
           | its app store which collects payments. And honestly it'd
           | probably be okay if they require devs to charge users the
           | same amount regardless of how they pay.
           | 
           | The issue is that they ban other options entirely, which
           | reeks of monopolistic anticompetitive behavior.
           | 
           | Just let devs tell their users about Apple's 30% cut, then
           | let devs give users an option to pay however they want.
        
         | grishka wrote:
         | No. This would entrench their monopolies even further.
         | 
         | It should be legally required that any device that is marketed
         | as a general-purpose computer, whether pocketable or not, and
         | is shipped in a locked state, is fully unlockable by the end
         | user. Without a single network packet sent to manufacturer's
         | servers. That's the only way we as a society could fix this
         | dire situation.
         | 
         | In other words, if I buy a phone from Apple, I should have the
         | choice for this to be the only interaction I have with Apple.
         | They sold it to me. I gave them money, they gave me an iPhone.
         | It's mine now. They're no longer in possession of it. I thus
         | should be able to run arbitrary code on it with highest
         | privileges possible with no hindrance.
        
           | kryptozinc wrote:
           | Sure, though they may chose to wipe iOS from your device if
           | you unlock it. Then you are free to build your own os and
           | execute root level code if you wish.
        
             | ClumsyPilot wrote:
             | Okay, so you want to live in a world where you buy a car
             | and the manufacturer will wipe the engine firmware or lock
             | the vehicle if you change oil without their permission?
             | Thats already happening to farming equipment.
             | 
             | You will love in a world where you own nothing, and have
             | less control over your life than a medieval surf - all
             | devices are becoming 'smart', frok door locks to toasters
        
       | diebeforei485 wrote:
       | They've had their opportunity over the years to reduce their
       | supracompetitive commission down to 20% or 15%.
       | 
       | Instead they chose to dig deeper, but government can be heavy-
       | handed. I hope more countries do this?
        
       | endergen wrote:
       | I care way less about this than alternate stores have no or much
       | less stringent app reviews
        
       | bubblethink wrote:
       | Is there a better source and the text of the law ? Payment
       | systems are a proxy for the fee since there isn't an explicit
       | publishing fee. It would be quite straightforward for both Apple
       | and Google to charge a publishing fee, which may end up close to
       | the current rent. The larger issue is that there aren't
       | alternative app stores. Apple doesn't allow them at all, and
       | Google severely restricts them at the technical and business
       | level.
        
         | darkerside wrote:
         | A publishing fee would also be regressive compared to the
         | payment tax. Right now, people don't pay until they are
         | successful, at which point they may pay a LOT. But it keeps the
         | app marketplace much more of a free marketplace.
        
           | r3trohack3r wrote:
           | It's not exactly a publishing fee, but today you have to pay
           | Apple $99/year to distribute software into Apple's ecosystem;
           | otherwise they'll hide your application behind a non-obvious
           | ctrl+click+run flow. To my knowledge, this fee is collected
           | regardless of your distribution channel.
           | 
           | I wouldn't call $99/year "not paying."
        
             | simondotau wrote:
             | The $99/year gives you additional developer tools and
             | access to the App Store storefront. It's up to Apple what
             | constitutes a sufficient license fee for the commercial use
             | of Apple's proprietary software libraries.
             | 
             | Apple's libraries are licensed to developers under whatever
             | license Apple chooses. They could require a certain revenue
             | share regardless of which payment gateway is used. Heck,
             | they could license it under the GPL and require all
             | developers who build programs against their libraries to
             | release their source code. It's their code, it's up to
             | them.
             | 
             | Similarly, Epic Games can decide when developers might have
             | to pay Epic for software they distribute with Unreal
             | Engine. Whether it's a flat fee, a revenue share, a profit
             | share, if there are discounts or incentives--all of that is
             | entirely for Epic to decide.
        
               | Hamuko wrote:
               | > _It 's their code, it's up to them._
               | 
               | Well, until the regulators step in (again).
        
               | simondotau wrote:
               | Are you suggesting that regulators can force Apple to
               | give away their stuff for free if they want to
               | participate in that market? That doesn't sound right to
               | me.
        
               | Hamuko wrote:
               | Why yes, regulators can force Apple to do what they want
               | in their country. And they can very easily dictate how
               | much Apple is allowed to charge for licensing. Fair
               | licensing agreements already exist in the patent space.
        
               | mathnmusic wrote:
               | No, Apple is free to stop operating in countries with
               | such regulators. No business activity => No violation of
               | competition-related regulations.
        
               | ohgodplsno wrote:
               | The thought that a government could force your favorite,
               | richest, international megacorporation might feel not
               | right to you, but that is actually how the world works.
               | Apple does not get to dictate how its products are
               | available, no matter how much they would like to.
               | 
               | They are free, however to not come sell in places it
               | feels the rules are unfair towards it.
        
               | howinteresting wrote:
               | Yes, regulators can do that, and they would have pretty
               | clear antitrust grounds to do it as well.
               | 
               | The difference between random people using the GPL and
               | Apple is that Apple is worth a trillion dollars. That
               | matters quite a bit.
        
               | oarsinsync wrote:
               | > _The $99 /year is predominantly for access to the App
               | Store. It's up to Apple what constitutes a license fee
               | for developers to have commercial use of Apple's
               | proprietary software libraries._
               | 
               | Interestingly, the $99/year fee is to access the app
               | store, but there's a a $299/year fee to _bypass_ the
               | appstore.
               | 
               | https://developer.apple.com/support/enrollment/ notes:
               | The Apple Developer Program annual fee is 99 USD and the
               | Apple Developer Enterprise Program annual fee is 299 USD
        
               | simondotau wrote:
               | It is hypothesised that the main reason Apple persists
               | with the $99/year fee is as a glorified CAPTCHA, to stop
               | developers from mechanically creating account after
               | account in order to upload scummy app after scummy app.
               | If that's the reason, I wouldn't entirely blame them.
               | 
               | The $299 enterprise program probably costs Apple
               | substantially more than $299 per customer/enterprise in
               | order to run. While I have no idea about the numbers, I
               | wouldn't be surprised that it is a substantial loss-maker
               | for Apple, justified only because it's necessary to keep
               | the iPhone/iPad relevant in some enterprises.
        
               | r3trohack3r wrote:
               | I'm not sure I agree. In order to distribute my Electron
               | app to Mac users via a direct download from my website, I
               | must pay Apple $99. Otherwise Apple will present my users
               | with a scare dialogue that gives the impression the
               | software can't be run.
        
         | rndgermandude wrote:
         | Apple and Google won't know what developers using outside
         | payment systems for purchases such as subscriptions or "in-app"
         | stuff are making. So they'd have a problem deciding what a
         | publishing fee should be. Monikers such as popularity can be
         | bad estimators. They might end up charging developers a lot
         | less or a lot more - the latter of which might ruin some
         | developers or hike prices for customers even more.
         | 
         | I am not against a publishing fee instead of what there is now,
         | but it should be fair and transparent. Not that the current
         | system is fair and transparent...
        
           | WastingMyTime89 wrote:
           | > Apple and Google won't know what developers using outside
           | payment systems for purchases such as subscriptions or "in-
           | app" stuff are making.
           | 
           | Then again, why should Apple and Google charge fees for
           | something they have no hand in?
           | 
           | If they want to charge fees for distribution, they should
           | just do that.
        
             | rndgermandude wrote:
             | >Then again, why should Apple and Google charge fees for
             | something they have no hand in?
             | 
             | Same reason as now: because they can and are in the money
             | making business.
             | 
             | I'm not saying this is right, just that it is what it is.
             | Google and Apple will not just forgo millions if not
             | billions of "easy" dollars. My guess is that especially the
             | big players, who make Google and Apple the most money, will
             | switch to different payment processors with better terms
             | for them as soon as that option becomes available to them.
        
         | [deleted]
        
         | lionhead wrote:
         | Give it a few days then check this link:
         | https://elaw.klri.re.kr/eng_service/recentlyLawList.do
        
         | vbezhenar wrote:
         | There are plenty of alternative app stores for Android. Google
         | restricts them, but not severely. Android 12 will lift some
         | important restrictions from alternative app stores.
         | 
         | I'm not trying to portrait Google as innocent, there's still
         | work to be done. But they are absolutely in different leagues
         | with Apple when it comes to user freedom.
        
           | traspler wrote:
           | Google allegedly forced Android OEMs to not ship devices with
           | a pre-installed Fortnite / Epic Games Store launcher.
           | 
           | Also forcing users through multiple warning screens and
           | settings until you have finally installed an app might look
           | trivial if you know what you are doing but for everyone else
           | might not be as easy. There are many, many articles about how
           | you should simplify your websites onboarding process to
           | increase the amount of customers so the Android flow is
           | pretty much the anti-thesis to that.
        
           | snarf21 wrote:
           | While true, they wouldn't be so generous if they were making
           | it on the backend via search. They don't care that much what
           | store the user uses as long as they search on Google. Do they
           | offer any "user freedom" there?
        
             | commoner wrote:
             | Google does make more money from other revenue sources, but
             | I don't think this is the best example. Chrome (on all
             | platforms) allows the user to set any custom search engine
             | as the default. On the other hand, Safari limits users to
             | four choices: Google, Yahoo, Bing, and DuckDuckGo.
        
           | [deleted]
        
           | Vespasian wrote:
           | Not only the technical hurdles but also the legal ones need
           | to be significantly lower.
           | 
           | Google has enormous power over phone suppliers and can force
           | them to preinstall their apps and store and nothing else.
        
         | grishka wrote:
         | > there isn't an explicit publishing fee
         | 
         | I remember paying $25 or so to open a google play developer
         | account. For Apple, you pay $99 yearly.
        
         | simondotau wrote:
         | According to the FSF, the distribution of a binary computer
         | program which substantially relies upon GPL libraries is
         | considered a derivative work and would require you to abide by
         | the terms of the GPL license.
         | 
         | Similarly, an iOS app which substantially relies upon (and must
         | be compiled with) Apple's libraries in order to work is subject
         | to whatever the terms Apple includes in their software license.
         | Of course Apple isn't requiring code to be open source like the
         | GPL. Apple could choose whatever terms they want. It would be
         | perfectly within Apple's right to require a revenue share for
         | use of those libraries--say, the Metal graphics APIs--just as
         | Epic Games does for the use of Unreal Engine libraries.
         | 
         | Therefore it's entirely reasonable to imagine that if third
         | party payment gateways are permitted, Apple could still
         | organise things so that they are legally entitled to a
         | percentage cut of app sales. Again, just like Unreal Engine.
        
           | simondotau wrote:
           | To the people down-voting this, I realise that my post
           | espouses a controversial opinion for Hacker News. But could
           | you please explain what you disagree with?
        
             | misnome wrote:
             | > which substantially relies upon GPL libraries is
             | considered a derivative work and would be a GPL violation
             | if it's distributed without source code.
             | 
             | I didn't vote either way, but I'm not sure that this is the
             | way the GPL works. As I understand it, you can distribute
             | only binaries as long as you supply _on request_ the source
             | code. FWIW the link to the GPL reads as quite tenuous and
             | what I would guess the downvotes were for.
             | 
             | > Similarly, an iOS app which substantially relies upon
             | Apple's libraries in order to work is subject to whatever
             | the terms Apple includes in their software license
             | 
             | Yes, they are free to do what they want, barring
             | regulation. Which is what this is. Deliberately loopholing
             | around the legislation is an option, but a risky manoeuvre
             | that might just invite more legislation.
        
               | simondotau wrote:
               | Thank you, I did err in how I described the GPL. I have
               | edited my post to correct this.
               | 
               | > _FWIW the link to the GPL reads as quite tenuous_
               | 
               | The link is that any developer--whether they're Linus
               | Torvalds or Apple Inc--should be allowed to choose the
               | terms in which they release their copyrightable works
               | into the public.
               | 
               | * One developer could choose the GPL.
               | 
               | * Another developer could choose a license which requires
               | a flat, one-off fee.
               | 
               | * Yet another developer could chose a license that is
               | free up front but mandates a revenue share under certain
               | conditions, such as Epic Games does with Unreal Engine.
               | 
               | In all instances, it is copyright law which enforces
               | these license terms. So if you like the fact that Linus
               | can distribute Linux under the GPL, you must also accept
               | that some other company will have the right to distribute
               | their software under their license.
        
             | WastingMyTime89 wrote:
             | > To the people down-voting this, I realise that my post
             | espouses a controversial opinion for Hacker News. But could
             | you please explain what you disagree with?
             | 
             | The issue is not that your argument is controversial. It's
             | that it falls flat because it's based on an incorrect
             | assumption.
             | 
             | > Apple could choose whatever terms they want. It would be
             | perfectly within Apple's right to require a revenue share
             | for use of those libraries
             | 
             | No they can't.
             | 
             | There are a broad set of laws restricting how companies can
             | or can not do business. These laws severely limit the terms
             | Apple can set. Laws restricting anticompetitve behaviors
             | would be part of this set, same for the new regulations in
             | South Korea we are currently discussing.
        
               | simondotau wrote:
               | My apologies, when I said "whatever terms they want" I
               | was being somewhat hyperbolic, even if I do think the
               | spirit of the sentence is clear when read in context.
               | Obviously terms of any such license cannot violate law.
               | 
               | Are you suggesting that Apple charging developers a
               | percentage-based license fee for use of their work is
               | unlawful anywhere, under any law current or proposed?
        
               | WastingMyTime89 wrote:
               | > Are you suggesting that Apple charging developers a
               | percentage-based license fee for use of their work is
               | unlawful anywhere, under any law current or proposed?
               | 
               | The crux of the discussion generally focus on the parts
               | of the contract preventing developers from using
               | competing works in addition to the fees. That seems to
               | fall squarly into your "whatever terms they want". And
               | yes, I do personaly think there is a case to be made that
               | Apple licensing terms are anti-competitive, an opinion
               | which seems shared by the EU's competition chief.
               | 
               | Your opinion seems to be that Apple could just stop
               | charging a fee for using the App Store and charge it for
               | the use of a different but similarly unavoidable part of
               | the system instead. But that's merely a technicality. It
               | doesn't fundamentaly change the question.
        
               | vbezhenar wrote:
               | Microsoft Visual Studio was not free in the past. And
               | even now free version is limited. I don't see it
               | different from hypothetical paid Apple library as long as
               | there are other ways to write software for the given
               | platform.
        
           | vbezhenar wrote:
           | Developers will avoid Apple libraries. Native apps already
           | are not so popular with Cordova, Flutter, React Native and
           | other options.
        
             | saagarjha wrote:
             | You cannot develop an app for iOS without using Apple's
             | libraries.
        
           | [deleted]
        
       | xondono wrote:
       | In the end it was bound to happen, consumers always lose to
       | special interests, even if app devs don't want to admit they are
       | one.
        
         | gigel82 wrote:
         | Really, this is a "loss" to consumers how?
        
           | xondono wrote:
           | By outlawing what _a lot_ of consumers considered a very
           | useful feature, and that is limiting the choices of
           | developers. Developers may not like it, but there's a value
           | in restrictions, especially in something as sensitive as
           | payments.
           | 
           | With sensitive data flowing through a lot more companies,
           | it's going to be a shit show, it's just a matter of time.
        
             | gigel82 wrote:
             | How is this limiting anything? I see this as adding
             | options, and I'd like to see it adopted across the world.
        
               | xondono wrote:
               | It's adding options to developers, not necessarily to
               | users.
               | 
               | The Apple and Google payment systems were in effect a
               | market driven standards, now we'll have a soup of systems
               | on a race to the bottom on a very sensitive part of the
               | ecosystem.
        
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