[HN Gopher] Apple announces 'upgrade' to App Store pricing, addi...
       ___________________________________________________________________
        
       Apple announces 'upgrade' to App Store pricing, adding 700 new
       price points
        
       Author : zeraphy
       Score  : 129 points
       Date   : 2022-12-06 18:06 UTC (4 hours ago)
        
 (HTM) web link (appleworld.today)
 (TXT) w3m dump (appleworld.today)
        
       | MBCook wrote:
       | I wonder if more apps will go for, say 50C/, instead of free +
       | $1.00 IAP.
       | 
       | I miss the pre-IAP days.
        
         | nine_k wrote:
         | IAP is fine when I as a user am not sure.
         | 
         | To install, try and pay is as easy as to pay, install, and try
         | 
         | To install, try and uninstall is much easier then to pay,
         | install, try, uninstall, and ask for the money back, if the
         | latter us even supported.
         | 
         | What's really bothersome is _no_ option to pay and remove ads.
         | A subscription may be more costly but it 's at least honest,
         | and UX is not annoying.
        
         | jsmith45 wrote:
         | One thing that can be problematic with App sales is that apps
         | will usually have new purchases dry up after a while. But
         | unlike old desktop software where you could release, fix bugs
         | for a while, and then just call done, for mobile apps you need
         | periodically update them, or risk getting unlisted from the
         | stores. Some developers may be ok with that, but others would
         | prefer their older apps to remain available. Those developers
         | now have ongoing maintenance costs, so how can they recover
         | that money?
         | 
         | The old desktop approach of new major versions that people have
         | to purchase periodically is not really feasible on IOS, since
         | old versions would clog up the app store, and there is no way
         | to offer the new versions at a discount to past purchasers,
         | which desktop software likes to do to avoid annoying recent
         | customers when a new version comes out.
         | 
         | So to recover for costs from ongoing development, an app
         | developer will either need to 1) somehow increase the number of
         | people who will purchase the app, 2) add a recurring revenue
         | source like ads to the app (possibly with IAP to disable), 3)
         | make the app subscription based (but only some types of apps
         | can pull this off), or 4) make the app IAP based, and when
         | updating add new features that can be purchased.
         | 
         | Now not every app does any of those. Some will just a single
         | unlock IAP with limited functionality before that. But this is
         | not all that different from the old demo or shareware approach,
         | and the design of the app store makes it generally better to
         | have the demo and full version be the same app, at which point
         | IAP is the way to do that. Without a recurring revenue source
         | though, such apps are likely to either change approach or get
         | abandoned eventually once the costs of periodically upgrading
         | the app exceed the remaining revenue coming in.
         | 
         | ----
         | 
         | Also there is the abusive IAP single use item to bypass
         | artificial cooldowns MTX garbage that mobile games tend to be
         | full of, but I really cannot bring myself to accept that as a
         | legitimate business model. Even the Gacha model (terrible as it
         | is) feels somewhat more legitimate, but I have plenty of
         | significant concerns about those too. But I'm really looking at
         | this from the perspective of non-games, or at least not "F2P"
         | games.
        
         | asadlionpk wrote:
         | Isn't this IAP model better for both users and makers?
        
           | scarface74 wrote:
           | Let's not pretend that the App Store is full of Indy
           | "makers". It came out in the Epic trial that 85% of App Store
           | revenue came from slimy pay to win games and loot boxes.
        
             | rootusrootus wrote:
             | I'd like to know what fraction today comes from Roblox
             | alone.
        
           | MBCook wrote:
           | In theory.
           | 
           | So I have no issue with subscribing to many apps I love to
           | fund development, or maybe paying an extra "tip" through IAP.
           | Or just IAP for more content.
           | 
           | But IAP and subscriptions enabled a few models I hate.
           | 
           | Free game (either with ads, IAP, or both) have flooded the
           | App Store and destroyed the market for quality games. Even
           | the better made ones (like Candy Crush) are still designed to
           | wring money out of people.
           | 
           | On the subscription front there are so many scam apps. Buy a
           | calculator app, and pay $5/week for it because they trick
           | people into it.
           | 
           | I'd be happy with no consumable IAPs in games. Or just no
           | IAPs in games at all. And Apple should probably review high
           | subscription prices to find scams. Realistically is there any
           | reason for weekly subscriptions? Maybe just monthly/yearly
           | only.
        
           | yamtaddle wrote:
           | It might be if they had better filters. IAP being used to
           | effectively turn a demo into a full, paid version is one
           | thing. Or IAP for some limited number of expansions in a
           | game. IAP being used for "consumables" or to nickel-and-dime
           | every feature is something else. But it's hard to distinguish
           | between the two uses when browsing the store--and that's a
           | big part of the reason I hardly game at all on iOS, browsing
           | their games to sort wheat from chaff is too much of a chore
           | and their games section _in particular_ is a horrible mess
           | because IAP exists and their filtering options suck. Problem
           | goes away if the apps are simply paid or free, no IAP. Or if
           | they 'd create more categories for various uses of IAP, and
           | let you filter by them.
        
           | 4ad wrote:
           | Which IAP model?
        
           | stephc_int13 wrote:
           | I think the free-to-play model has been destructive for many
           | apps and games. The rush to the bottom with $1 price tier,
           | introduced by Apple, was also destructive in itself.
           | 
           | The App Store is a huge market, fortunes have been built, but
           | I know many indie developers who have been reluctant to adopt
           | the F2P model.
           | 
           | As a user, I don't like it either.
        
           | sgk284 wrote:
           | Definitely not better for users. You used to buy an app and
           | get everything it has to offer. You wouldn't have to worry
           | about getting a useless app and having to pay another $1,000
           | to get it functional. And you'd know that any reviews of the
           | app are inclusive of functionality you'll have access to.
           | 
           | With IAP, it's really difficult to know what you're getting
           | and how much it will cost you in the end. And reviews may be
           | discussing a completely different app experience. Plus the
           | constant feeling that you're being nickel and dimed.
        
           | Someone1234 wrote:
           | IAPs don't share over Apple Family, purchased-apps do. So I'm
           | going to say no.
        
             | dangoor wrote:
             | IAPs _can_ share for the family:
             | https://www.theverge.com/2020/12/4/22154178/apple-family-
             | sha...
             | 
             | It's the developer's choice, just like family sharing for
             | the original purchase. This was a good move, since so many
             | apps went from paid to free demo +IAP to unlock. I think a
             | lot of devs who previously allowed family sharing for paid
             | apps have turned family sharing on for IAP.
        
               | MBCook wrote:
               | To be fair that wasn't the case until maybe 2 years ago.
               | So it was a real problem.
        
         | bonestamp2 wrote:
         | Probably some. I think this change has more to do with emerging
         | markets where users expect to make very small payments (and
         | receive smaller benefits) than western users are accustomed
         | too.
        
       | danjc wrote:
       | "The team has been hard at work this week and we're now happy to
       | announce that the number line has even more numbers available in
       | it."
        
         | smoldesu wrote:
         | You have to hand it to the bean-counters for finding a new way
         | to butcher their cash cow.
        
         | [deleted]
        
         | [deleted]
        
         | 015a wrote:
         | I don't agree with most of what Musk does; but if this is the
         | kind of innovation that requires a team of highly compensated
         | tech employees and warrants a press release; something is
         | actually, seriously wrong with efficiency in companies like
         | Apple, and maybe he's actually right that Twitter, or many
         | companies, could run better on far fewer employees.
        
           | threeseed wrote:
           | EU and US has already told Musk that his content moderation,
           | trust/safety, compliance teams are woefully inadequate and
           | would need to be significantly increased to comply with
           | existing decrees and regulations.
           | 
           | Also whilst some employees may find it fun and others on H1B
           | have no choice but working 80+ hours is not sustainable.
           | 
           | So before making conclusions about whether Twitter is some
           | innovative new approach to headcount I would give it a little
           | more time.
        
             | ars wrote:
             | Since when does the US have regulations about content
             | moderation?
             | 
             | > significantly increased to comply with existing decrees
             | and regulations.
             | 
             | What decrees and regulations? If the US wanted stuff to be
             | illegal, make it illegal. You seem to be implying that
             | Twitter should be a substitute government.
        
               | threeseed wrote:
               | Twitter has an agreement with the FTC around their data
               | security practices. EU has GDPR now and DSA in 2024.
               | 
               | And EU member states eg. Germany have their own rules for
               | what content is allowed or not.
               | 
               | You can argue whether the laws are appropriate or not but
               | Twitter does have to comply with them or stop making
               | their product available in those jurisdictions.
        
             | hackernewds wrote:
             | Not to mention, everything works smoothly (as per design)
             | during a _code freeze_. Luckily Twitter has few
             | competitors, and also the ones that remain also have code
             | freeze during this time.
        
           | SkyPuncher wrote:
           | I don't see a problem with the press release.
           | 
           | This is an effective way to communicate to their developer
           | audience while also keeping their shareholders informed.
        
           | jimbob45 wrote:
           | When software and systems become sufficiently large, change
           | becomes extremely difficult. Even strong architectures have
           | their limit. I have to imagine that Apple has hit that limit
           | serving payments worldwide.
           | 
           | The real lie isn't that this was a difficult and costly
           | change for their top-notch team. The real lie is that this
           | works at all - some dev out there is waiting with no
           | fingernails left for the bugs to start pouring in.
        
           | fckgw wrote:
           | Companies can do more than one thing at a time.
        
             | 015a wrote:
             | That's my point; that clearly they have so many people and
             | so few actual problems to solve that they're worried about
             | adding more discrete numbers rather than solving this
             | problem significantly more efficiently.
        
         | archildress wrote:
         | Can't wait for the courageous design decision to then remove
         | numbers from the follow-up release for more simplicity.
        
           | qzw wrote:
           | "Our metrics show that less than 0.02% of all apps are using
           | the $26.65 and $57.30 price points. They are therefore no
           | longer available to new apps. Existing apps using these price
           | points will be required to change to one of the other
           | supported price points by March 1, 2024."
        
             | hackernewds wrote:
             | The hallmarks of a true monopoly here
        
       | countvonbalzac wrote:
       | They say they support up to $10,000 in one part but then in the
       | chart the $100 increment only goes up to $9,999.99, so which is
       | it? $9,999.99 or $10,000?
        
       | aliqot wrote:
       | God damn I'm so tired of the global market.
        
       | modeless wrote:
       | So you can sell an app for $0.29 now? That's cool actually if
       | true. The rest seems silly.
        
       | raydiatian wrote:
       | Now this has me wondering: who has the most expensive product on
       | the App Store, what is it and how much does it cost?
       | 
       | -- edit --
       | 
       | Looks like the award goes to an app for Piano Tuners. Find a
       | niche and corner it. $1,000.
        
       | dang wrote:
       | We changed the URL from
       | https://www.apple.com/newsroom/2022/12/apple-announces-bigge...
       | to a third party article I just googled. If there's a better
       | third-party article, we can change it again.
       | 
       | Yes, HN has the rule "*Please submit the original source. If a
       | post reports on something found on another site, submit the
       | latter" (https://news.ycombinator.com/newsguidelines.html), but
       | corporate press releases are so awful to read that I increasingly
       | think we need to make them an exception.
       | 
       | https://hn.algolia.com/?dateRange=all&page=0&prefix=false&qu...
       | 
       | All the more so because they have a strong incentive to bury the
       | lede (I mean in general--not saying that about this
       | announcement), and while third-party sites have other crap
       | incentives, like sensationalism and clickbait, they at least
       | don't do that.
        
         | concordDance wrote:
         | I think that in general the third party articles you find soon
         | after the press release will just be copy-pastes of the press
         | release (no time for real analysis) with bits removed. So it
         | depends on whether you're optimizing for more information (the
         | PR) or less misreading skimreading/headline reading.
         | 
         | Do you want to cater to the most thorough commentators or the
         | masses?
        
         | JamesSwift wrote:
         | What could a third party add to a primary-source's press
         | release other than speculation? Sure in some cases there could
         | be some "sources say..." or "when reached for comment Apple
         | clarified that..." but in general I think its going to be a
         | rehashing and speculation in general.
        
           | greesil wrote:
           | Context.
        
         | pb7 wrote:
         | I think this was the wrong move. The original source is better
         | in this case and you are letting your anti-corporate bias and
         | personal opinion affect your decision making as a moderator.
         | What makes this so awful to read to you?
        
           | devwastaken wrote:
           | 3rd party sourcing isn't anti-corp. The purpose is to seek a
           | more neutral position. Apple is clearly motivated to say
           | positive things about Apple.
        
             | geraneum wrote:
             | The posts here don't have to be neutral! There are a lot of
             | blog posts, opinion pieces and opinionated comments. That's
             | actually good.
        
             | pb7 wrote:
             | It has never been about seeking a neutral position. What is
             | neutral about Vitalik shilling the Ethereum ecosystem?[0]
             | He's clearly motivated to say positive things about it.
             | 
             | [0] https://news.ycombinator.com/item?id=33878216
        
         | thewataccount wrote:
         | Respectfully I disagree with this.
         | 
         | The article you linked is mostly just a copy+paste of the apple
         | page, with a few paragraphs removed.
         | 
         | I personally don't think going from the direct news source ->
         | random news source you just googled that copy+pasted most of it
         | anyway is worth doing.
         | 
         | > but corporate press releases are so awful to read that I
         | increasingly think we need to make them an exception.
         | 
         | Is it really that much better if they just removed 2~3
         | paragraphs? They added nothing of value other then trackers and
         | ads.
         | 
         | I do ask seriously - does removing 2~3 paragraphs really make
         | it that much better?
         | 
         | Are we really going to move to having one person (no offense)
         | to arbitrarily change the URLs from the official news source to
         | a random one from your google search results?
         | 
         | tl;dr - doing this removes the benefits of first hand
         | reporting, has effectively no different content, and you
         | appeared to have randomly selected one that offers no clear
         | benefit in it's content.
        
         | armchairhacker wrote:
         | I see your reasoning but I disagree. HN articles don't need to
         | be unbiased. The reason being, if you want a more neutral take,
         | just take a look at the HN comments.
         | 
         | HN submissions are usually primary sources, and the HN comments
         | are where you have the discussion. Sometimes even the top voted
         | comment is just a summary of the actual submission, but
         | rephrased to be less biased or more clear. If HN can't point
         | out the buried lede or explanation and get it upvoted then
         | there's a larger problem, but in practice I don't find this to
         | be the case (though maybe I'm wrong).
         | 
         | Does the article provide anything which the HN comment section
         | wouldn't?
        
           | Wowfunhappy wrote:
           | This is my feeling. The article is the reference material for
           | what we discuss in the comments; the comments provide
           | interpretation.
        
         | jil wrote:
         | https://9to5mac.com/2022/12/06/app-store-pricing-changes-dev...
         | might be a better URL, perhaps?
        
         | primitivesuave wrote:
         | I would always prefer ad-free information directly from the
         | source, and to follow HN guidelines without leaving them open
         | to interpretation (call me an HN fundamentalist I guess).
        
         | screamingninja wrote:
         | > https://appleworld.today/archives/101157
         | 
         | > The server is temporarily unable to service your request due
         | to maintenance downtime or capacity problems. Please try again
         | later.
        
         | lilyball wrote:
         | Looking at the original press release, I much prefer it to this
         | third-party site. All the third-party site really did was
         | remove a tiny bit of fluff, but it's having intermittent
         | loading issues and is absolutely _covered_ in ads if you aren
         | 't using an ad blocker. It also removes some of the actual
         | content!
        
           | taftster wrote:
           | I mean, basically the web sucks right now. Classic rant
           | incoming: There's definitely a need that sits between boring
           | PR release and ad-filled regurgitation. You can't tell me
           | that heaps of ads are actually helping the monetization of
           | content, we're on the other side of the slippery slope. Thank
           | goodness for adblock, I guess.
        
         | LocalPCGuy wrote:
         | I don't know the mechanics of this or if it would just be
         | manual, but when there is aggregation of submitted links (which
         | I would assume is the case for a story like this), it does seem
         | like the main PR link should be the title URL, but could other
         | links all just be collected in a single comment?
         | 
         | I really prefer the actual PR links myself, corporate BS or
         | not, because that gives me the language I need to then search
         | out the other stories that are based on that PR. If you start
         | with a blog, now I have to do the process in reverse to find
         | the source. I think the HN policies are just fine in this
         | regard. And even if other links can't be collated into a
         | comment, I generally trust HN readers to provide additional
         | information or helpful links when appropriate.
        
         | dagmx wrote:
         | The site you picked ironically is failing to load for me on
         | Safari in iOS, likely because I have an ad blocker enabled. It
         | just keeps going into a reload loop.
         | 
         | I would second everyone else's sentiment that going with the
         | official PR statement is better , especially because Apple are
         | really good about fast loading pages without ads, and none of
         | these other sites provide new information that's not in the
         | press release.
         | 
         | Additionally many of the third party sites are really bad for
         | accessibility, whereas the official Apple one is excellent for
         | those who need readers.
        
       | dcdc123 wrote:
       | I had no idea price points were so restrictive on the app store.
        
       | crystaln wrote:
       | So much Apple cynicism here.
       | 
       | Apple loves design and beauty. Crisp numbers and stability are
       | more user friendly and aesthetic. Also some numbers have
       | implications in certain markets. Seeing numbers like or $69.42 or
       | $444 or $7.23 is just bad all around.
       | 
       | International price conversion while maintaining those is also
       | challenging.
       | 
       | Before attacking Apple policies, it's worth considering why their
       | extremely deep design process might have led to that choice.
        
       | binarymax wrote:
       | I'm not an App Store seller so I have no idea what this means.
       | You can't just pick any number that you want to sell your app
       | for? You have predetermined prices set by Apple?
        
         | threeseed wrote:
         | As I mentioned above pretty sure this was a limitation of their
         | SAP based system and the way it was integrated with the iTunes
         | Store (what App Store used) that required you to pre-define
         | price points.
        
         | mknapper1 wrote:
         | Correct, only pre-approved price points are allowed.
        
         | RetpolineDrama wrote:
         | Correct, Apple requires you to use one of it's _artisanal_
         | price points, hand-selected from a only the most
         | psychologically supple increments.
        
         | spiffytech wrote:
         | Yep. And previously you couldn't choose a non-zero price lower
         | than $0.99, so the new price choices will probably go to use.
        
       | a_c wrote:
       | Actually what the motivation in having price point ending in .99?
       | Why can't I simply price my app at, for instance, 10? I
       | understand there is a pricing psychology in play and I faintly
       | remember it has something to do with accounting but I can't
       | recall the specifics. Can anyone shed some insight?
        
         | travem wrote:
         | In addition to the other replies (which I agree with) about the
         | psychological aspects, another aspect historically is that
         | avoiding round numbers meant that change had to be given when
         | making a purchase.
         | 
         | I.e. if you bought something that cost $5 you could just hand
         | the $5 to the cashier and they could just avoid ringing you up
         | and pocket the money. In contrast if the object cost $4.99 or
         | $4.95 say they would have to ring it up in the till so they
         | could open it to provide change to the customer.
        
           | blowski wrote:
           | Another story: a newspaper seller - whose newspaper cost 1
           | penny - encouraged .99 price points to increase the number of
           | pennies in pockets.
           | 
           | I heard this on Tom Scott's Podcast "Lateral" recently.
        
         | coder543 wrote:
         | > Why can't I simply price my app at, for instance, 10?
         | 
         | The article says you can. It's one of the "supported
         | conventions".
        
           | a_c wrote:
           | My bad, completely missed the second table. Thanks for
           | pointing it out!
        
         | nine_k wrote:
         | The psychology is (allegedly) simple. When you see a price like
         | $4.99, unless you're pre-conditioned, you are expected to read
         | it as FOUR-99, essentially $4, even though it's $5 for all
         | practical purposes. Often it is styled as $4.99 to double down
         | on this effect.
         | 
         | This looks silly, and many people, including me, have taught
         | themselves to recognize this pattern and round the price
         | correctly without a mental effort.
         | 
         | Some people, of course, fall for it; I suppose younger kids are
         | heavily affected.
        
           | ryandrake wrote:
           | How can it be that anyone in the world falls for this
           | anymore? My daughter recognized this obvious pattern when she
           | was 7 years old: "It's $5, dad, why don't they just say $5?"
           | I wonder if pricing something at $4.99 have anything more
           | than a vague subliminal effect these days?
        
             | cactus2093 wrote:
             | Part of it is that people want to be tricked. If I want to
             | buy something but I'm on the fence about whether it's worth
             | $5 then I think the $4.99 price works as like a semi-
             | subconscious plausible deniability mechanism to let me
             | allow myself to buy it.
        
             | jtsiskin wrote:
             | Imagine two apps you're scrolling by in the App Store. One
             | is $5, the other is $4.99. Barely going attention
             | (essentially picking subconsciously rather than
             | consciously), you choose one to click first. What are the
             | odds you clicked the $4.99 one?
        
               | hackernewds wrote:
               | Zero
        
             | stephencanon wrote:
             | Everyone is absolutely consciously aware of it, and this
             | has always been true. It still works just fine via your
             | subconscious.
        
           | rootusrootus wrote:
           | And then there are gas stations, infamous for taking it
           | another step and including another tenth of a penny.
        
             | frosted-flakes wrote:
             | Only American gas stations. They go so far as to have the
             | 9/10 of a cent fraction as a permanent part of the sign.
        
               | eastbound wrote:
               | French stations too, they've introduced the 1.779EUR a
               | liter pricing a dozen years ago, so, 4 significant
               | numbers. On a 100EUR refill, it's 10 cents, ie a drop.
        
               | frosted-flakes wrote:
               | Is it always 9/10 of a cent though, or does it vary?
        
               | jamesvnz wrote:
               | The majority of New Zealand petrol stations display the
               | fractional cent too. Same in Australia from memory.
        
               | frosted-flakes wrote:
               | Oh I didn't know that. They don't do this is Canada. Fuel
               | here is priced to the tenth of a cent (192.5 cents per
               | litre), but it's not fixed to 9/10.
        
             | jameshart wrote:
             | I am old enough that when I was a kid in the UK there was
             | still such a thing as a halfpenny (pronounced: ha'penny).
             | Although please note: I am not _that_ old; this was 1/2p -
             | half a  'new penny', i.e. 1/200 of a pound sterling, and
             | not to be confused with the old 1/2d, half of an old penny,
             | which was 1/480 of a pound (or two farthings). Predecimal
             | currency was well before my time. By over half a decade, in
             | fact. But anyway, point is: of course this meant that some
             | things were priced to end with PS0.991/2p. The rules are
             | universal.
        
               | richrichardsson wrote:
               | Just to add a data point about the pronunciation; the way
               | you've written it leads me to read it as "har-penny",
               | which I imagine is valid, however we pronounced it in my
               | family as "hay-penny".
        
               | jameshart wrote:
               | Sorry, that is indeed the intended pronunciation. In fact
               | even briefer than that: more hayp'ny.
               | 
               | Just wanted to really get across that most importantly,
               | the l and f are definitely both silent.
        
       | ralmidani wrote:
       | Genuine question: is there a market for a $10,000 app?
        
         | jbverschoor wrote:
         | Well, if you're gonna ask for 30% on NFT purchases, you better
         | have no ceiling
        
         | tyingq wrote:
         | I'm sure somebody could market some kind of "exclusive club"
         | app. Virtual Fyre Festival or whatever.
        
         | arriu wrote:
         | Maybe something like a Bloomberg terminal on the phone?
         | 
         | It does seem like quite a reach but I think there are a few
         | legitimate niche markets for that price point.
        
         | bonestamp2 wrote:
         | Maybe not the app itself, but I could see for example, a
         | business wants to purchase $10K worth of advertising on a
         | platform through the their ad channel app.
        
           | hbn wrote:
           | It would seem crazy for an ad agency to implement that
           | through an IAP where Apple takes $3k off the top (I assume
           | that 30% rate still applies here?) when you're dealing with
           | high-paying clients that could be told "go to our website to
           | purchase"
        
             | bonestamp2 wrote:
             | I agree, but I guess we could say the same thing for all
             | app and in app purchases.
        
               | hbn wrote:
               | Eh, not really. The benefit of in-app purchases is you
               | can make a button that users can press that's probably
               | already hooked up to their credit card so they can make
               | purchases without the ask of getting them to type in
               | their credit card number, which is a more conscious
               | action that gives them plenty of time to think about
               | whether or not they /really/ want to make that purchase.
               | Amazon's one-click checkout, ShopPay, etc are not just
               | for user convenience!
               | 
               | Comparatively, a high-profile client spending tens of
               | thousands of dollars in ads isn't doing so on impulse,
               | they're doing it cause it's their job. They'll open up a
               | browser and punch in some banking details if it's the
               | only way to get those ads out.
        
         | cauthon wrote:
         | Are you too young to remember "I Am Rich"?
         | 
         | https://en.wikipedia.org/wiki/I_Am_Rich
        
           | staringback wrote:
           | Seeing prices list from 2008 having "today's dollars" is
           | really scaring me.
        
           | redtriumph wrote:
           | "The application was removed from the App Store without
           | explanation by Apple the day after its release, August 6,
           | 2008"
           | 
           | Would be interesting to know the thought process for doing
           | this.
        
             | fckgw wrote:
             | It generated support complaints and provided no value to
             | the user.
        
               | BudaDude wrote:
               | The value is there. People buy useless shit all of time
               | to show off their wealth. Is there any difference between
               | having a $10,000 app or having a $100+ cosmetic skin in a
               | game?
        
             | martythemaniak wrote:
             | It embarrassed Apple.
        
             | [deleted]
        
         | bombcar wrote:
         | Isn't the Tesla FSD available as an in-app purchase?
        
         | moffatman wrote:
         | At that point it would make sense for the vendor to mail you a
         | top-of-the-line non-iOS device to avoid the 30% commission if
         | at all feasible.
        
         | le_vision wrote:
         | Highly niche and specialised apps could set such price points.
         | Medical apps come to mind.
        
           | scarface74 wrote:
           | I'm not aware of many apps like those that aren't done via a
           | B2B licensing agreement outside of the App Store.
        
           | blowski wrote:
           | Early on, I remember there being a tactic for apps where the
           | owner wants them to be findable in the App Store, but doesn't
           | want any new buyers, they set the price to $10K. But these
           | days, I think the most expensive apps are $1K - app.cash,
           | vueCAD Pro and Cyber Tuner.
        
           | bmarquez wrote:
           | Yeah apps for pilots also came to mind, though I took a look
           | and ForeFlight was $400/year on the iOS store, not a one-time
           | fee.
        
             | sneak wrote:
             | Why charge $1000 once when you can charge $400 six times?
             | 
             | I refuse to use apps like this. None of my Apple IDs have
             | payment information associated with them.
        
           | ralmidani wrote:
           | I would imagine any medical app/ERP/etc. would have creative
           | ways to get users to not make a one-time purchase via the App
           | Store. Although certain interpretations of the rules might
           | mean they have to offer App Store signup as an option.
        
         | hoherd wrote:
         | It looks like this isn't just iOS and iPadOS, but also macOS.
         | In that case, there is plenty of software that fits that bill,
         | such as Maya and Avid. I'm sure there's mass media, banking,
         | video game development, and lots of other software that costs
         | near that, or will some time in the future.
         | 
         | Even if it were just for iOS and iPadOS though, they do want
         | iPad Pro to compete with desktops in places where expensive
         | software runs. For instance, Grass Valley Livetouch could be
         | done on an iPad.
        
       | smcleod wrote:
       | Apple needs to make it easier for people pricing their apps
       | fairly for international markets.
       | 
       | So many applications and subscriptions are incredibly expensive
       | when they're priced for the USA which has been over valued for so
       | many years now.
        
         | hackernewds wrote:
         | That would open up a whole can of worms of users locations
         | being necessary/easy to fake for discounts.
        
           | smcleod wrote:
           | As that may be - it should be the incredibly wealthy
           | companies problem to solve, not the users.
        
       | johnwheeler wrote:
       | Drop the 30% tax some, there's a story
        
         | sokoloff wrote:
         | It's 15% for businesses doing under $1M/year on the App Store.
         | 
         | https://developer.apple.com/app-store/small-business-program...
        
       | fnordpiglet wrote:
       | I can't wait until I can cantor diagonalize App Store price
       | points.
        
       | Overtonwindow wrote:
       | How many apps have you purchased from the App Store? I have only
       | purchased five apps since 2008. Are people just spending lots of
       | money on apps or am I out of the norm?
        
         | yamtaddle wrote:
         | I'm the same, except I also pay for two subscription-based apps
         | that frequently update content, mostly for my kids. Simply
         | Piano (amazing, can't praise it enough) and Tappity (mostly
         | science-related content for younger kids, think Bill Nye or
         | Beakman's World but semi-interactive and on an iPad instead of
         | the TV--it's not _amazing_ but my youngest really took to it
         | and is getting enough out of it to justify the subscription,
         | IMO)
         | 
         | I think it's $300-400 a year for the pair of them? Easy to
         | justify especially in Simply Piano's case, when you consider
         | what even a few weeks of in-person piano lessons would cost
         | (not that it makes such lessons obsolete, but still).
         | 
         | But yeah, outright buying apps or using IAP... ProCreate, Angry
         | Birds (yay! they re-released the original, which is one of the
         | only two of those I care about, finally! Now if I could just
         | get Seasons again...), several tables in Pinball Arcade bought
         | when they were on steep discount just before they lost the
         | licenses to most of the tables I was interested in. I think
         | that's all my App Store purchases, ever, otherwise.
         | 
         | I think most of the money's from "whales" in shitty F2P games.
        
         | howinteresting wrote:
         | According to the Epic v. Apple decision:
         | 
         | * The vast majority of app store revenue is from games.
         | 
         | * A small number of "whales" spend almost all of the money --
         | presumably rich kids and adults, and people with an unfortunate
         | gambling addiction.
        
           | intrasight wrote:
           | This is why I find it so baffling that there are so many
           | devs/companies chasing the golden ring of app revenue with
           | sincerity when clearly is a very warped marketplace. What
           | types of useful, non-scam apps do people look for and buy
           | that lead devs to believe there's some opportunity? Why
           | create it as an app and deal with all that BS when you could
           | just make a nice web site/PWA?
        
             | earthnail wrote:
             | Some products are designed to make use of the iPhone as a
             | form factor. Then you can't make a PWA.
             | 
             | But yes, the market is warped and Apple has a lot of work
             | to do to make it a better marketplace.
             | 
             | This is a step in the right direction though. Maybe more
             | steps will follow.
        
         | super256 wrote:
         | I spent ~150EUR since 2018, mostly for productive apps.
         | 
         | Canarymail (A mail client which supports SMTP streaming + PGP)
         | - I think was about 30EUR lifetime.
         | 
         | StrongBox Pro (A Keepass 2 client) - 80EUR Lifetime
         | 
         | ProCreate - 10EUR Lifetime
         | 
         | Affinity Designer 1 - 12EUR lifetime
         | 
         | FEZ - 5EUR Lifetime (Game)
         | 
         | TweetBot - 5EUR Lifetime but now abandoned for Subscription
         | Software. Doesn't work anymore, I'm using the normal Twitter
         | App now (became usable over the last few years). The only app
         | where I was disappointed in doing a lifetime purchase. It was
         | abandoned really quickly after my purchgase.
         | 
         | Blitzer Pro - 10EUR Lifetime
         | 
         | Threema - 4EUR Lifetime
         | 
         | DWD WarnWetter - 2EUR Lifetime. Most accurate weather app for
         | Germany
         | 
         | Facetune 1 - 4EUR (Didn't fix my face! Surpise!)
         | 
         | Reeder - 5EUR RSS Feed App, I use this together with Miniflux
         | Server
         | 
         | My last purchase was in 2021, Reeder. I made most purchases
         | when I got the devices, and all lifetime over SaaS purchases
         | have paid for themselves by now. :)
         | 
         | But honestly, this was more than I expected.
        
         | Eumenes wrote:
         | The only app I've ever bought is Swiftkey. Now its Microsoft
         | spyware. I don't even have a credit card on my apple ID (is
         | that what its called now?)
        
       | rootpk wrote:
        
       | black_puppydog wrote:
       | So, never having bothered with Apple hard-/software I am a bit
       | confused... A developer can't just set a price for something? But
       | then out of the first 10000 natural numbers, Apple semi-
       | arbitrarily select a set of 900 "known-good" numbers that work
       | well for prices? Like, as if the other numbers are somehow bad
       | prices? If you charge someone $7,43 for something, the ghost of
       | Steve Jobs will start haunting you?
       | 
       | That's, like... I don't even know. Feels infantilizing to me. Or
       | what am I missing?
        
         | varispeed wrote:
         | When selling a product, we were doing A/B tests with price
         | points and so we had results that the same product was selling
         | better if it was priced at PS7.49 per month rather than PS6.99.
         | For some reason people subconsciously think that 7.49 is
         | smaller than 6.99 or things like PS5 wouldn't sell much but
         | PS5.99 would be going off the virtual shelves in an instant.
         | 
         | Crazy.
        
           | hackernewds wrote:
           | How broadly generalizable is that result though?
        
           | vanshg wrote:
           | That should be for the merchant to decide, though, not Apple
        
             | kergonath wrote:
             | Apple _is_ the merchant.
        
               | TillE wrote:
               | Yes that's one of the key services you get in exchange
               | for 30%. Small companies _really_ don 't want to be
               | handling sales tax requirements for every jurisdiction on
               | the entire globe, it's a nightmare. Not to mention fraud,
               | etc.
        
               | threeseed wrote:
               | It's 15% for developers making less then $1m/year.
               | 
               | And as Apple demonstrated in Netherlands with the dating
               | apps it is actually cheaper to use them that try to run
               | your own payment system. Especially if you're trying to
               | target a global audience.
        
         | seydor wrote:
         | Their excuse for their antics are that their users are stupi,
         | er, sorry, they need the apple treatment. In reality it seems
         | they do it because they can. I doubt there is research outside
         | apple about their customer base
         | 
         | Apple also sees itself as a lifestyle, almost fashion brand so
         | they must enjoy people talking about them in any way
        
           | hackernewds wrote:
           | > they do it because they can
           | 
           | against the desires of the entire global community of
           | developers. the hallmarks of a true monopoly
        
             | seydor wrote:
             | Not a monopoly, at least not outside US. But a very
             | capricious high end electronics brand
        
               | guelo wrote:
               | Depends how you define the market. They are 100% a
               | monopoly for the iOS apps market.
        
               | sokoloff wrote:
               | And Ferrari is a 100% monopoly supplier of Ferrari
               | engines.
        
               | kaba0 wrote:
               | The only difference is that you can choose two kinds of
               | evil for something _required_ for everyday life, while
               | you can live without a car or choose from several
               | different ones. Owning the former platform is great power
               | that shouldn't be unilaterally controlled by a private
               | company.
        
               | sokoloff wrote:
               | My parents get by entirely fine without a mobile device
               | (smart or feature). It's convenient, but not required.
        
         | JonathonW wrote:
         | Apple uses price points rather than having developers
         | explicitly specify prices because they're currency-independent:
         | you specify a price point and Apple chooses appropriate prices
         | for each of the ~175 different storefronts where your app could
         | be available. Apple then periodically adjusts the international
         | prices as exchange rates fluctuate, to keep them in parity with
         | the US prices at the same tiers.
         | 
         | The alternative would be to have developers manually specify
         | prices for each region, which wouldn't really scale for a lot
         | of developers (keeping track of exchange rates for 175
         | different regions is work). Or to do automatic currency
         | conversion from {developer's native country here}, which would
         | eliminate some of the manual work but lead to "ugly" prices in
         | other regions (no x.00 or x.99 pricing), unless they had some
         | rounding scheme to make them look nicer, and then you're almost
         | back at the current price point scheme.
        
           | hackernewds wrote:
           | I find it hard to agree with
           | 
           | > developers manually specify prices for each region, which
           | wouldn't really scale for a lot of developers
           | 
           | while this also is more aligned to Apple's goals, unless
           | there's also a proven and generalized (geographically and at
           | all price points, app types) observation where the price
           | looking beautiful as 0.99 massively offsets the actual
           | revenue gains of being 1.23.
           | 
           | > "ugly" prices in other regions (no x.00 or x.99 pricing),
           | unless they had some rounding scheme to make them look nicer,
        
           | pavon wrote:
           | Thanks for that explanation. Is that why the price point
           | ranges overlap - does the increment you select tell Apple how
           | much they should round by when converting currency?
           | 
           | For example, on the surface it seems redundant to have
           | overlapping prices bands                   $0.29-$9.99 in
           | $0.10 increments         $0.49-$49.99 in $0.50 increments
           | 
           | Since 10 cent increments include 50 cent increments, so why
           | not say:                   $0.29-$9.99 in $0.10 increments
           | $9.99-$49.99 in $0.50 increments
        
           | hitpointdrew wrote:
           | You would think a company like Apple could easily build a
           | system that updated exchange rates daily and could do the
           | simple math on any price. Having "price points" seems
           | arbitrarily and stupid.
        
             | simonw wrote:
             | They could do that, but then users in some countries would
             | have to pay 0.693 of their local currency or whatever. Why
             | should the US be the only country that gets friendly
             | looking prices?
        
               | jw1224 wrote:
               | The point is that prices _are friendly-looking_ in every
               | country. Price points are adjusted in each country,
               | they're not a 1:1 match with $USD.
        
               | TedDoesntTalk wrote:
               | I'm an American. I routinely buy things in GBP, EUR, and
               | JPY and the amounts convert to an arbitrary number in
               | USD. So what? It is displayed to me as 9.99 EUR. I
               | understand I'm not going to have a nice, pretty .99 at
               | the end of my credit card transaction.
        
               | simonw wrote:
               | I would expect that the vast majority of human beings
               | very rarely buy anything in a currency other than that of
               | their own country.
        
               | gumby wrote:
               | Yes, but you don't know that in the App store: you're
               | buying from your "local" store regardless of where the
               | developer is.
        
               | bmicraft wrote:
               | Or just let the dev specify if they want to round prices
               | to some precision?
        
             | cush wrote:
             | The fact that is seems stupid from the point of view of the
             | creator is irrelevant. It's not about the creators, it's
             | about the users. Apple simplifies incredibly complex
             | systems into good user experiences.
        
             | kaba0 wrote:
             | But it is not just math. It is about what constitutes a
             | cheap app for an East-European or to a Chinese person vs
             | that of an American, and how that changes with time in
             | relation to the currencies. I really don't get this
             | dismissive mindset, do you honestly believe that a trillion
             | dollar company didn't think of this one little trick that
             | you figured out in a minute?
        
             | gumby wrote:
             | Price points smooth the exchange rate fluctuation (how
             | often should the prices be updated? Every second? More
             | often?) and selects for prices that have certain
             | cultural"gravity" as well.
             | 
             | I think buyers are more accustomed to and comfortable with
             | "round" or "standard" prices like x.99, x.88, x.95, x.00
             | etc rather than x.47 or x.31.
        
             | toast0 wrote:
             | Otoh, there's value in prices holding still for at least a
             | while. And 'pretty' prices are appealing in general. You
             | obviously can't hold prices still forever, but daily prices
             | is probably not paletable.
        
           | darth_avocado wrote:
           | Not to be that guy, but isn't that like, what computers are
           | for?
        
             | crystaln wrote:
             | Knowing that Apple is pretty smart, I'm sure they use
             | computers, but only update occasionally so prices aren't
             | constantly fluctuating.
             | 
             | Apple loves design and beauty. Crisp numbers and stability
             | are more user friendly and aesthetic.
        
           | slg wrote:
           | >but lead to "ugly" prices in other regions
           | 
           | Isn't this change an introduction of those ugly prices? If
           | I'm reading the new rules correctly, Apple now supports
           | prices like 7.39 or 37.40. I guess they don't end in a 1-4 or
           | 6-8, but they aren't the cleanest numbers either. And if that
           | last digit is really the problem, rounding to the nearest 5
           | is always a possibility.
        
             | mynameisvlad wrote:
             | 7.39 should be possible as part of the 10c price step, but
             | how would you get 37.40 out of the system? You could do
             | 37.00, 37.90, 37.95, or 37.99 via the "X." ones, and the
             | first category would all end in X9.
        
               | slg wrote:
               | They say .50 price steps are possible in the 10-50 range
               | so X.90 + .50.
        
               | mynameisvlad wrote:
               | So the way I read it is as two separate systems:
               | 
               | Developers can go in 10c price steps from $0.29 to $9.99
               | (0.39, 0.49, 0.59, etc), or in 50c price steps from $0.49
               | to $49.99 (0.49, 0.99, 1.49, 1.99, etc), etc OR
               | developers can use the 4 supported conventions for any
               | price in those ranges, as long as you fit within the
               | convention.
               | 
               | But you cannot start at a supported convention and then
               | use the price steps.
        
           | BulgarianIdiot wrote:
           | Thank you for clarifying this. This is such an Apple thing to
           | do.
           | 
           | Frankly it doesn't matter what the exact price is. All
           | economics are approximate.
        
             | decadancer wrote:
             | I don't think that's a bad practice. I'm Russian and Steam
             | games are (were) 1.5x-2x times cheaper for Russia compared
             | to Europe and Americas, even before regional passes. I
             | don't know whether that was responsiblity of devs or
             | storefront, but it seemed quite a fair and profitable
             | practice, because the price point you are willing to pay
             | for a game (or an app) is different for people from
             | different economical and cultural backgrounds. You aren't
             | getting a game for 80$ if your monthly salary is 300
        
               | lzaaz wrote:
               | This is fair. OTOH, you have the single European market
               | (the EU forces games, apps, hardware, etc to be sold at
               | the same price everywhere in the EU in practical terms),
               | which has shafted poor countries-it's disgraceful that a
               | Swedish costumer pays the same price for an iPhone than a
               | Portuguese costumer while making several times as much
               | money every month.
        
               | sofixa wrote:
               | > OTOH, you have the single European market (the EU
               | forces games, apps, hardware, etc to be sold at the same
               | price everywhere in the EU in practical terms),
               | 
               | That's not true, where are you imagining this from?
               | Hardware certainly doesn't cost the same, at the very
               | least there are different VAT levels, but also pricing is
               | adapted to the local market (literally just checked, i
               | can get an Asus ROG Zephyrus G14 for 300EUR less in
               | Bulgaria compared to France). Software I'm unsure how to
               | check, but Netflix costs varies by county.
        
               | lzaaz wrote:
               | You can buy it directly from Bulgaria to save 300EUR
               | then. It would be illegal for the shop to tell you you
               | have to pay more for buying from another country.
               | 
               | >Software I'm unsure how to check, but Netflix costs
               | varies by county.
               | 
               | If it does (I don't think so, the minimal differences are
               | because of VAT) you can subscribe from another European
               | country (using a VPN or whatever) and Netflix can't ban
               | you or block you from using it (like they would if you
               | bought the subscription from a third world country for
               | example)
               | 
               | Is it fair that both Finland and Italy pay 7.99EUR/month
               | for the basic plan?
               | 
               | (This is why I said "in practical terms")
        
               | decadancer wrote:
               | That's kinda messed up. ALL hardware?
        
               | sofixa wrote:
               | No, they're mistaken, there is no such thing.
        
               | argsnd wrote:
               | It's not true. That guy doesn't really know what he's
               | talking about.
        
               | alexandre_m wrote:
               | The economics of all of that seem sketchy to me.
               | 
               | It sounds like the main North American market is
               | subsidizing the apps being produced and sold worldwide.
               | 
               | Does the same logic apply for other virtual good such as
               | digital music elsewhere?
        
               | jonasdegendt wrote:
               | Entire reseller websites (e.g. g2a) of games and software
               | alike have popped up trying to profit from this arbitrage
               | opportunity. You buy games in Russia and an American
               | scoops up the license key for a little more, it's all
               | automated too nowadays.
               | 
               | On the same note, why are Levi's jeans $100 bucks in
               | Europe, but $40 in the USA? They're probably coming out
               | of the same Asian factory. Not an economist but different
               | value propositions I guess.
        
               | Mistletoe wrote:
               | It applies to video games and software for sure. I think
               | this is why it is almost always cheaper to buy a code
               | online for something like a Microsoft product.
        
               | teawrecks wrote:
               | Something else to consider is motivating piracy. If they
               | sell a piece of software for a flat price in all geos,
               | the ones who can't afford it will invest more time in
               | pirating the software. As a side effect, piracy is
               | normalized in those communities as a necessary way of
               | life in the digital world. Naturally, their tools and
               | methods will leak out to other communities and make
               | piracy easier in places that CAN afford them. Devs would
               | rather sell to those communities at a "loss" than
               | ostracize them and deal with the fallout.
               | 
               | Check out this brief description of how software
               | proliferated in Poland during the early years of
               | computers (3:09-8:27): https://youtu.be/ffngZOB1U2A
        
               | kaba0 wrote:
               | Well, the economy of that is sketchy in that
               | multinational corporations pay sometimes an order of
               | magnitude less for the exact same job simply due to you
               | living in a different country.
        
               | MonkeyMalarky wrote:
               | I think it applied to DVDs in the past and was impetus
               | behind region locking media. Also another way to look at
               | it is less subsidizing and more maximizing profit by not
               | leaving money on the table in foreign countries.
        
               | foota wrote:
               | It's really the opposite, it's a form of price
               | discrimination.
               | 
               | There's a theory of surplus in economics, which is the
               | extra benefit that someone gets from a transaction above
               | what they would have been willing to pay.
               | 
               | If I buy a game that I would have paid $100 for for $50,
               | then I have a "$50" consumer surplus. One the other end,
               | if the producer was willing to let that game sell as low
               | as $40, then they have a producer surplus.
               | 
               | Profit seeking producers want to capture as much as the
               | surplus as they can, and they do this through price
               | discrimination. You see this in product as two things
               | that are essentially the same but with different
               | marketing etc.,
               | 
               | Price discrimination based on geography is quite
               | effective though as well. People with lower incomes
               | aren't as willing to pay high prices for games. Countries
               | can be effectively segmented based on geography (whether
               | virtually or not), and through this producers can charge
               | a higher price to countries with high incomes (taking
               | away the consumer surplus they would have had vs a lower
               | global optimal price), and still get some value out of
               | consumers in lower income countries.
               | 
               | So it's not that NA is subsidizing the market, so much as
               | it is the company trying to squeeze the most of everyone.
               | Now, you could call it subsidizing in that there are
               | probably products that wouldn't be brought to market
               | without the NA market to pay for them, but that's not
               | really "subsidizing".
        
               | not_a_shill wrote:
               | >Now, you could call it subsidizing in that there are
               | probably products that wouldn't be brought to market
               | without the NA market to pay for them, but that's not
               | really "subsidizing".
               | 
               | That's every product ever made _for profit_ by a
               | developer in a 1st world country. It 's still essentially
               | subsidizing even if you don't like the optics of the
               | word.
        
               | mr_toad wrote:
               | Subsidising would imply that they're selling in other
               | markets for a loss. They're not, there's no subsidy.
        
               | greiskul wrote:
               | From popular internet knowledge, games are more expensive
               | in Australia then NA (Including digital distribution).
               | Would you say that Australia is subsidizing games for
               | Americans?
        
               | slg wrote:
               | It isn't really subsidizing because the goods are virtual
               | which means the marginal costs are minimal. There of
               | course could be infrastructure costs to get up and
               | running in a new country. However once that is done,
               | almost all the marginal revenue developers get out of
               | these additional markets is profit because there is
               | practically no cost to selling an extra copy even if it
               | is at an extremely steep discount.
        
               | pvarangot wrote:
               | It could also be said that the cost of compliance and the
               | cost coming from the litigiousness of American consumers
               | shouldn't be subsidized by countries where selling an app
               | is monumentally easiest and cheaper.
        
               | [deleted]
        
               | parker_mountain wrote:
               | > the main North American market is subsidizing the apps
               | being produced and sold worldwide
               | 
               | I think you'll find that this has been the practice for
               | many decades. A stark example is medicine pricing.
        
               | zinekeller wrote:
               | It's not really. The US medical system has this tendency
               | to inflate pricing in a cat-and-mouse system where drug
               | companies and insurance companies try to duke out what is
               | the "correct" price of a drug. Setting it too high and
               | the insurers won't cover it, too low and the
               | pharmaceutical companies are "losing" profits to
               | insurers. It's a terrible feedback loop that hampers
               | those who can't afford insurance because the premiums are
               | too high because pharmaceutical companies know that in
               | most cases insurers will pay.
        
         | JustSomeNobody wrote:
         | > A developer can't just set a price for something?
         | 
         | Are you crazy? And miss out on yet another opportunity for
         | Apple to rub their stank on something?
        
         | cactus2093 wrote:
         | Idk, doesn't this happen everywhere? Like at any physical store
         | most things are $X.99 or $X.00 or $X.49, but not usually
         | something like $X.31. Maybe this is just a US quirk.
         | 
         | Apple sees themselves as a storefront not a payment processor,
         | so maybe the idea is to make things look more consistent as
         | you're scrolling through or comparing multiple apps.
        
         | crgt wrote:
         | Support for pricing tiers above 1k for one big thing.
        
         | barumrho wrote:
         | One reason I'm aware of is for foreign customers who are buying
         | in foreign currencies. As a developer, I don't want to set
         | prices in every currency, so they translate the price grid for
         | me which I found useful.
        
           | kybernetyk wrote:
           | But they don't fairly translate the price. They just make up
           | numbers for different currencies. $49.99 translates by
           | Apple's standards to 59.99 EUR - which is roughly 10 Euros
           | too much.
        
             | Idiot211 wrote:
             | Does that 59.99 include VAT at 20%?
        
               | oakesm9 wrote:
               | It does, yes
        
               | miskin wrote:
               | Interesting thing is that there is no way (that I could
               | find) to buy apps in AppStore for my VAT registered
               | company in a way that I could receive invoice with
               | company details and all necessities to be able to get VAT
               | refund. They seem to pretend they are always selling to
               | private persons and this is not necessary, yet there are
               | many business apps and I am quite sure for business app
               | VAT on 10,000 Eur app would hurt.
        
               | mr_toad wrote:
               | Apparently invoices can be obtained by contacting
               | customer support.
        
           | black_puppydog wrote:
           | Shouldn't that work for _any_ price you give them? It 's
           | literally a multiplication with a number they pull per-day as
           | the conversion rate. That wouldn't change if the price wasn't
           | one of "their" numbers...
        
             | barumrho wrote:
             | This means that for foreign customers of yours, your
             | product will have constantly fluctuating price. I
             | personally don't find that desirable. Also, there is some
             | considerations to be made for purchasing power especially
             | for items like apps. $1 might be trivial in the US, but it
             | may not be so in a third world country.
        
               | seydor wrote:
               | that's quite desireable, i mean it's what everything else
               | in the world does.
        
               | delaaxe wrote:
               | No, not every good in the world is priced in US dollars
               | and presented as a random number that changes every day
        
               | seydor wrote:
               | pretty much every good is sold on ebay
        
               | kergonath wrote:
               | I never buy anything in dollars on eBay. Sterling,
               | sometimes, but it's euros 99% of the time.
               | 
               | Prices on eBay actually look like something a human would
               | choose. On AliExpress on the other hand the prices are
               | all over the place, with really odd numbers of cents,
               | which I assume comes from automatic conversion from
               | whatever currency they initially priced it in (not
               | necessarily dollars at that point).
        
               | nicoburns wrote:
               | Not everything sold on ebay is priced in dollars either.
        
               | xxpor wrote:
               | They could offer stickiness settings, like only change
               | the price once the FX rate has moved 10%.
        
               | kergonath wrote:
               | Yes, they can have a set of rules to set the prices. But
               | then it's not that different from the current system,
               | which really is not problematic in the first place. I
               | know this is the place for pedantic nit picking, but the
               | fact that prices have some granularity is very much a
               | non-issue.
               | 
               | In any case, actually probably have such rules, just not
               | public. I am sure they have sales people being paid full
               | time to agonise over such issues.
        
             | kaba0 wrote:
             | How much do you think about spending 5 dollars? How much do
             | someone who earn 10 times less than you think about that
             | exact 5 dollars? Price categories absolutely make sense.
        
         | __ryan__ wrote:
         | Not even close. They semi-arbitrarily came up with prices they
         | allow in the App Store, probably "justifying" it using some
         | metrics, or your app will be rejected.
        
           | threeseed wrote:
           | Long time ago I used to work at Apple so not sure if it's
           | still accurate.
           | 
           | But originally the App Store was leveraging their existing
           | payment infrastructure e.g. the one they use for iPhone
           | sales. Purchases and invoices were done through SAP which was
           | manually configured to support those price points. It's why
           | you saw weird behaviour e.g. invoices for free app
           | "purchases" and largely the limitations of that system drove
           | what they could and could not do.
           | 
           | Perhaps they've done an overhaul for this system or migrated
           | to a custom built one which is what has enabled all of this
           | new functionality.
        
             | kneebonian wrote:
             | > But originally the App Store was leveraging their
             | existing payment infrastructure e.g. the one they use for
             | iPhone sales. Purchases and invoices were done through SAP
             | which was manually configured to support those price
             | points.
             | 
             | Can I just say finding out that Apple uses SAP on the
             | backend is just one of those things that shakes my world
             | view.
        
               | rgovostes wrote:
               | The guy who originally set up Apple's SAP integration in
               | the 80s(?) used to run Caffe Frascati, a popular
               | cafe/music venue in downtown San Jose.
        
               | TAForObvReasons wrote:
               | Amazon used Oracle until a few years ago, Google
               | accounting teams used Excel, etc.
        
               | kccqzy wrote:
               | Excel? Small and medium companies probably can run on
               | Excel but I'm sure no large company can run their finance
               | entirely with Excel. Google switched from Oracle to SAP.
               | https://www.cnbc.com/2021/04/05/google-will-stop-using-
               | oracl...
        
               | mwest217 wrote:
               | I don't think that's been true for over a decade. Google
               | has a pretty sophisticated internal payments system that
               | handles terms customers, invoicing, payment initiation,
               | and lots more.
               | 
               | I understand that Cloud specifically is switching to
               | manage accounting using SAP, but most of Google runs via
               | our own in-house systems.
               | 
               | Source: work at Google in payments. This is only my
               | personal opinion.
        
               | orhmeh09 wrote:
               | Do Google accountants use Sheets?
        
               | r00fus wrote:
               | From one of my internal contacts who worked there & had
               | to actually interface with the SAP implementation:
               | 
               | 1) It's one of the largest SAP deployments in the US if
               | not the world
               | 
               | 2) SAP (at the time) was the only one who could offer an
               | ERP that scaled to do what Apple wanted.
               | 
               | Homegrown enterprise software is one of those things that
               | sounds great until you realize you're re-inventing a lot
               | of code dealing with regulations (tax/hr legal) that is
               | other companies bread & butter so it's worth "paying
               | their price" rather than getting it wrong and being on
               | the wrong side of litigation/legislation.
        
               | sokoloff wrote:
               | The only thing I'd rather work on less than SAP is
               | rolling my own ERP system.
        
           | fatnoah wrote:
           | The press release implies that the chosen price points are
           | "approachable" for app store customers.
        
         | fungiblecog wrote:
         | Yep, in the old days you would provide the ability to set a
         | price. now we need teams of marketers to introduce pointless
         | complexity...
        
       | fmajid wrote:
       | Still no easy way for app developers to handle upgrades. Apple
       | really wants to push apps towards profitable but exploitative
       | subscription pricing models.
        
         | TheJoeMan wrote:
         | And selling to business customers who don't have the huge IT
         | dept. to setup a full Apple Business Account is a nightmare!
         | Most employees use their own iPhones, and Apple specifically
         | closed the Volume Purchase Program.
         | 
         | The VPP was a way for a small company to basically purchase
         | download codes and distribute as needed.
        
       | timeimp wrote:
       | 10x the number of price points is nuts.
       | 
       | Then again, at this point, Apple is a treasury operation that
       | also sells phones and computers.
        
         | r00fus wrote:
         | Braeburn Capital indeed.
        
         | CharlesW wrote:
         | > _10x the number of price points is nuts._
         | 
         | When you RTFA, you'll learn that Apple is also making it far
         | simpler to manage their app pricing in 45 currencies/175
         | storefronts. For example:
         | 
         |  _" Starting today, developers of subscription apps will also
         | be able to manage currency and taxes across storefronts more
         | effortlessly by choosing a local storefront they know best as
         | the basis for automatically generating prices across the other
         | 174 storefronts and 44 currencies. Developers will still be
         | able to define prices per storefront if they wish. The pricing
         | capability by storefront will expand to all other apps in
         | spring 2023."_
         | 
         | Additional capabilities are noted in the announcement.
        
           | pifm_guy wrote:
           | This is the real new feature.
           | 
           | App developers don't want to go choose a competitive price in
           | every one of 174 locales.
           | 
           | But they also don't want to be pricing too high or low for
           | what the local population can afford/is willing to pay.
           | 
           | Let apple do the fancy machine learning to figure out optimal
           | translation tables for each locale to maximize revenue.
        
             | hackernewds wrote:
             | Why isn't that presented as an option then, rather than
             | mandated? I could want to do my own testing
        
               | pifm_guy wrote:
               | It is an option.
        
         | chollida1 wrote:
         | > Then again, at this point, Apple is a treasury operation that
         | also sells phones and computers.
         | 
         | I'm guessing you are joking but incase you were not, Apple
         | still makes far far more from selling new products than they do
         | from investments. So that statement is false or misleading.
        
           | rootusrootus wrote:
           | By investments do you mean App Store commissions? They do
           | make quite a lot from that. Not more than they make on
           | hardware sales, but it's a pretty substantial fraction of
           | their revenue.
        
             | jjtheblunt wrote:
             | https://en.wikipedia.org/wiki/Braeburn_Capital
        
       | jarrenae wrote:
       | This seems like a smart move from Apple to continue expanding
       | into international markets and increasing revenue potential from
       | their subscription models.
       | 
       | Offering a wider range of price points will allow developers to
       | better tailor their pricing to different markets, and it will
       | also give consumers more flexibility when choosing which apps to
       | pay for.
       | 
       | It'll be interesting to see how this change affects the App Store
       | ecosystem in the coming months, and whether it leads to more
       | satisfied users or possibly more predatory subscriptions. The
       | increased flexibility in pricing could be a great benefit for
       | developers and consumers, but I'm going to keep an eye on how it
       | impacts the meta of the pricing models.
       | 
       | EDIT: Not sure why this was flagged/replied to as GPT - I wrote
       | this.
       | 
       | In retrospect I could have _not_ summarized parts of the post,
       | since ideally we 've all read from the source information. Live
       | and learn.
        
         | nine_k wrote:
         | Thank you, ChatGPT! </ha-ha:only-serious>
        
           | robocat wrote:
           | Good bot. It was 99.98% detected as fake by
           | https://huggingface.co/openai-detector
        
       | [deleted]
        
       | [deleted]
        
       | [deleted]
        
       | partiallypro wrote:
       | They are still taking 30%. When are regulators going to step in
       | on this?
        
       | sebrind wrote:
       | My internal reading voice sounds like Tim Cook whenever I read
       | Apple's announcements
        
       | arriu wrote:
       | So no changes to the 30% yet?
        
         | bonestamp2 wrote:
         | Not since the change in 2020 (where developers earnings less
         | than $1 million pay 15%).
        
         | CharlesW wrote:
         | Not beyond their most recent change of commission being 15% for
         | new developers, and developers who made less than $1M in the
         | previous calendar year.
        
           | grezql wrote:
        
         | jayrhynas wrote:
         | They introduced 15% for apps < $1M/year two years ago.
        
       | throwaway4837 wrote:
       | This shouldn't have to exist if it was designed properly from the
       | start. This seems like backwards technology, something that is
       | built on top of a legacy system and constrained by the design
       | choices of that system. Perhaps that is why "upgrade" is in
       | quotes.
        
       | timbre1234 wrote:
       | Give me an option to search for "no ads" in an app, or give me
       | nothing. I've simply stopped buying iOS apps because I'm done
       | with the ad loads.
        
         | SomeHacker44 wrote:
         | Likewise, I want to search for "no IAP" apps.
        
           | [deleted]
        
           | TrueGeek wrote:
           | I don't mind IAP necessarily, but it's frustrating when you
           | download an app and then it immediately says you have to pay
           | $10 a month to even open it. Those shouldn't be listed as
           | "free" in the App Store and should be separate from an app
           | that might be "free" but have a minor feature disabled by an
           | IAP.
        
         | nailer wrote:
         | Yep. "Ad Supported" is not "free"
        
         | duxup wrote:
         | This might not be what you want but Apple Arcade has slowly
         | become the place I search for games. Quality of games is very
         | high.
         | 
         | No ads, no IAP. As a parent it is also handy for the same
         | reasons as far as the kids devices go.
        
           | JamesSwift wrote:
           | It really is a great offering, especially when rolled into a
           | family plan. Lots of high quality games on apple TV as well.
           | Only problem is the OS limitation so I can't use a lot of
           | older iPads I have lying around.
        
           | MBCook wrote:
           | Same.
           | 
           | My only issue is as a long time iPhone user they have a lot
           | of games labeled as "+" which means it was previously
           | available but had cost money.
           | 
           | There are many great games, but they're not with a lot to me
           | as I've already played them.
           | 
           | Great for people who hadn't though.
        
         | lattalayta wrote:
         | Out of curiosity, how do you feel about an app that is free to
         | download but has ads, but has an In App Purchase to remove the
         | ads?
         | 
         | Reading some of the other comments, it sounds like some people
         | really hate ads and in app purchases
        
           | nreilly wrote:
           | If the in-app purchase to remove ads is shareable across the
           | family, then that's fine. If not, I'd prefer to just buy the
           | app and have it share across my kids iPads instead.
        
         | nickthegreek wrote:
         | I want to search for no subs. I dont want to see a result for a
         | $5/week wallpaper app.
        
           | intrasight wrote:
           | What's a "sub"?
        
             | 369548684892826 wrote:
             | subscription (ongoing payment for app)
        
             | metal_am wrote:
             | Subscription
        
           | aeternum wrote:
           | No subs and no ads would be great.
        
             | nomel wrote:
             | I think that would be better covered by a "one time
             | purchase" option. Otherwise, you're asking for either a
             | "starve the dev" category, or something shadier like "show
             | all apps that monetize my location".
        
               | hackernewds wrote:
               | There are models that work with barely any ads and subs.
               | Google Maps is a great example.
        
               | colejohnson66 wrote:
               | Google Maps is full of ads. They're just not the kind
               | you're used to. The POI it decides to show is partially a
               | money game.
        
               | nickthegreek wrote:
               | No reason not to give the end use the flags for
               | searching. You either get results or you don't. If
               | someone wants to make a simple calculator and not charge
               | for it, they should be allowed to do so and ideally apple
               | will give the tools to the user to find such an app.
               | 
               | Also, devs still do put ads in some purchasable apps So
               | just having a "one time purchase" toggle doesnt solve the
               | problem.
        
         | devmor wrote:
         | Same here. It's ridiculous that I should pay for an app and
         | have to deal with banners and popups regardless.
        
       | kybernetyk wrote:
       | Will this solve the issue that the $49.99 tier equals to a 59.99
       | EUR price? I get a ton of messages every week by would-be Euro
       | customers complaining why the fuck I am fleecing them with a
       | 59.99 EUR price when the US price is $49.99 and the exchange rate
       | is currently roughly 1:1.
        
         | zimzam wrote:
         | When it comes to differences in hardware prices between the US
         | & EU, VAT taxes are often most of the difference: are there VAT
         | taxes on app sales too?
        
         | pasc1878 wrote:
         | The EUR price includes VAT,
         | 
         | Americans have this odd thing of quoting prices without tax
         | which tends to be illegal elesewhere. OK the US does not have a
         | sales type tax on digital goods,
        
           | dhosek wrote:
           | Depends on the location. Sales taxes are determined at the
           | state, county and municipal level and apply to different
           | things in different places (so, for example, Illinois does
           | not charge sales tax on magazines, but California does, and
           | the tax rate on a single donut may be higher than the tax
           | rate on a dozen donuts (prepared food vs groceries).
        
           | awinder wrote:
           | Digital goods are taxed and my apple app receipts all have a
           | tax line on them (US-based).
        
           | chongli wrote:
           | We have the same thing in Canada. Taxes are not included in
           | the price so that people can be aware of how much tax they're
           | paying and adjust their behaviour accordingly. Since sales
           | taxes are charged on some products but not others, the price-
           | conscious consumer can elect to choose the tax-free products
           | over the tax-burdened ones.
        
             | CameronNemo wrote:
             | ???
             | 
             | If taxes are included in price, the consumer can just look
             | at the price and compare rather than jumping through the
             | additional mental hoop to determine if one item is subject
             | to sales tax, and what its price is in tgat case.
        
               | yamtaddle wrote:
               | It's one of those things that's advocated by tax-haters
               | and _seems_ like it might do what they say it does, but
               | in practice just makes life more annoying while doing
               | nothing useful. See also: having to manually file taxes,
               | no matter how simple.
        
               | chongli wrote:
               | If you have two items and sales taxes are included in the
               | price of one but not the other, the only way you can know
               | which one has the taxes on it is to go look at some
               | government website that lists all of the categories the
               | tax applies to and those it does not.
               | 
               | On the other hand, if the taxes are not included in
               | prices then you will see which one has taxes at checkout
               | and elect not to purchase the item with taxes, preferring
               | the item without taxes.
               | 
               | Furthermore, with taxes included in prices you are more
               | susceptible to unscrupulous vendors charging taxes that
               | should not be applied and pocketing the extra margins.
               | One example of that is with the manufacturer of Niche
               | coffee grinders charging VAT to international customers
               | and pocketing the extra margin.
        
               | Strom wrote:
               | > _the only way you can know which one has the taxes on
               | it is to go look at some government website_
               | 
               | In Europe the tax is listed separately on the bill by
               | law, no need to visit any website.
        
               | trophycase wrote:
               | It's not about the consumer. The price is listed before
               | tax to manipulate you into feeling like it's cheaper. If
               | they add tax while you check out, you're basically
               | already committed to purchasing the product.
        
           | SllX wrote:
           | There's a reason for that: we don't have VAT like you do.
           | 
           | Here's an example: a base model iPhone 14 is $799. If I go to
           | the Downtown San Francisco Apple Store, it is $868.12; if I
           | go across a bridge to the Berkeley Apple Store it is $880.90;
           | if I go from there across a different bridge to Corte Madera
           | it is $870.91; if I go back through San Francisco down to the
           | neighboring county to the Hillsdale Apple Store it is
           | $875.90; and if I buy it in Cupertino, then it is $871.91. If
           | I cross the State border with Oregon and go to an Apple Store
           | in Tigard or Portland, then it is $799.
           | 
           | Which is the price Apple should be showing on the Apple
           | Store? They tell you at checkout because what you pay at the
           | end is calculated according to your shipping address, and
           | it's a line item: sales tax, but pricing is also marketing.
           | Which price should Apple be quoting their American customers
           | in national ad campaigns?
        
             | Strom wrote:
             | European states have different VAT rates too. A company
             | advertises 999EUR and then depending on the state it can be
             | either 832,5EUR + 166,5EUR VAT or 839,5EUR + 159,5EUR VAT
             | or 799,2EUR + 199,8EUR VAT etc.
             | 
             | In the case of Apple they sometimes do this and other times
             | not. So for example the iPhone 14 is 999EUR in both Germany
             | and Austria, even though they have 19% vs 20% VAT rates.
             | However in Finland which has a 24% rate the iPhone 14 is
             | 1039EUR.
        
               | SllX wrote:
               | And does Apple have one Apple Online Store and App Store
               | for the Eurozone or do they have separate Online and App
               | Stores for each EU member they operate in in the local
               | languages and currencies (for the EU and Eurozone are not
               | even perfectly aligned)?
               | 
               | Almost every example I gave was within one State:
               | California, except for the two I tacked on at the end
               | from California's nearest northern neighbor in Oregon.
               | All of the California examples were within the same metro
               | area (the San Francisco Bay Area) but different counties.
               | There is one US website, and one US App Store.
               | 
               | It is not the same situation, only seemingly
               | superficially similar until further inspection.
        
               | Strom wrote:
               | Local municipality taxes exist in Europe too. Some cities
               | have an extra 1% tax for example and Apple isn't exempt
               | from that. The price still remains what they advertise
               | for the larger region.
        
         | richrichardsson wrote:
         | VAT, everyone forgets about it.
         | 
         | I had a similar conversation with someone on Twitter
         | complaining that the latest iPhone was much more expensive in
         | EU, but once you factored in VAT and some import costs and the
         | fact that apple.com shows the $ price without any sales tax
         | there wasn't actually such a great disparity.
        
           | shortstuffsushi wrote:
           | As an American who deals in no VAT ever, is something like a
           | 20% vat (10 on 50) normal?
        
             | CameronNemo wrote:
             | Yes.
             | 
             | https://taxfoundation.org/vat-rates-europe-2019/
        
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