Close Menu
TechCentralTechCentral

    Subscribe to the newsletter

    Get the best South African technology news and analysis delivered to your e-mail inbox every morning.

    Facebook X (Twitter) YouTube LinkedIn
    WhatsApp Facebook X (Twitter) LinkedIn YouTube
    TechCentralTechCentral
    • News
      Eskom threatens to cut power to Joburg

      Eskom threatens to cut power to Joburg

      19 May 2026
      Troubling questions over South African internet infrastructure attacks

      Troubling questions over South African internet infrastructure attacks

      19 May 2026
      DDoS extortionists 'carpet bomb' South African internet hosts - Warwick Ward-Cox

      Extortionists ‘carpet bomb’ South African internet hosts

      19 May 2026

      Extortion fears as DDoS attacks hit SA internet infrastructure

      19 May 2026
      Setback for Vodacom in Kenya - Shameel Joosub

      Setback for Vodacom in Kenya

      19 May 2026
    • World
      Vatican confronts the age of artificial intelligence. Edgar Beltrán/The Pillar 

      Vatican confronts the age of artificial intelligence

      19 May 2026
      The walkout that could hit every laptop and AI server - Samsung

      The walkout that could hit every laptop and AI server

      18 May 2026
      Pop star sues Samsung for $15-million - Dua Lipa

      Pop star sues Samsung for $15-million

      11 May 2026
      OpenAI's new audio APIs aim for conversational voice agents

      OpenAI’s new audio APIs aim for conversational voice agents

      8 May 2026
      'It was my idea': Musk claims paternity of OpenAI - Elon Musk

      ‘It was my idea’: Musk claims paternity of OpenAI

      29 April 2026
    • In-depth
      Alfa's electric rebel - Alfa Romeo Junior Elettrica Veloce

      Alfa’s electric rebel

      29 April 2026
      Africa switches on as Europe dims the lights

      Africa switches on as Europe dims the lights

      9 April 2026
      The biggest untapped EV market on Earth is hiding in plain sight

      The biggest untapped EV market on Earth is hiding in plain sight

      1 April 2026
      Datatec is firing on all cylinders - Jens Montanana

      The R16-billion tech giant hiding in plain sight

      26 March 2026
      The last generation of coders

      The last generation of coders

      18 February 2026
    • TCS
      TCS+ | The Up&Up Group on the hidden cost of AI - Jason Harrison

      TCS+ | The Up&Up Group on the hidden cost of AI

      13 May 2026
      Michael Rossouw

      TCS+ | The retirement decision most South Africans get wrong

      6 May 2026
      TCS | The Cape Town start-up listening for TB with AI - Braden van Breda

      TCS | The Cape Town start-up listening for TB with AI

      4 May 2026

      TCS+ | ‘The ISP for ISPs’: Vox’s shift to wholesale aggregator

      20 April 2026
      TCS | Werner Lindemann on how AI is rewriting the infosec rulebook

      TCS | Werner Lindemann on how AI is rewriting the infosec rulebook

      15 April 2026
    • Opinion
      AI won't fix your culture - it will expose it - Jackie Kennedy

      AI won’t fix your culture – it will expose it

      19 May 2026
      Free calls, dead voice and Shameel Joosub's Spanish ghost - Duncan McLeod

      Free calls, dead voice and Shameel Joosub’s Spanish ghost

      22 April 2026
      The conflict of interest at the heart of PayShap's slow adoption - Cheslyn Jacobs

      The conflict of interest at the heart of PayShap’s slow adoption

      26 March 2026
      South Africa's energy future hinges on getting wheeling right - Aishah Gire

      South Africa’s energy future hinges on getting wheeling right

      10 March 2026
      Free calls, dead voice and Shameel Joosub's Spanish ghost - Duncan McLeod

      Apple just dropped a bomb on the Windows world

      5 March 2026
    • Company Hubs
      • 1Stream
      • Africa Data Centres
      • AfriGIS
      • Altron Digital Business
      • Altron Document Solutions
      • Altron Group
      • Arctic Wolf
      • Ascent Technology
      • AvertITD
      • BBD
      • Braintree
      • CallMiner
      • CambriLearn
      • CM Telecom
      • Contactable
      • CYBER1 Solutions
      • Digicloud Africa
      • Digimune
      • Domains.co.za
      • ESET
      • Euphoria Telecom
      • HOSTAFRICA
      • Incredible Business
      • iONLINE
      • IQbusiness
      • Iris Network Systems
      • Kaspersky
      • LSD Open
      • Mitel
      • NEC XON
      • Netstar
      • Network Platforms
      • Next DLP
      • Ovations
      • Paracon
      • Paratus
      • Q-KON
      • SevenC
      • SkyWire
      • Solid8 Technologies
      • Telit Cinterion
      • Telviva
      • Tenable
      • Vertiv
      • Videri Digital
      • Vodacom Business
      • Wipro
      • Workday
      • XLink
    • Sections
      • AI and machine learning
      • Banking
      • Broadcasting and Media
      • Cloud services
      • Contact centres and CX
      • Cryptocurrencies
      • Education and skills
      • Electronics and hardware
      • Energy and sustainability
      • Enterprise software
      • Financial services
      • HealthTech
      • Information security
      • Internet and connectivity
      • Internet of Things
      • Investment
      • IT services
      • Lifestyle
      • Motoring
      • Policy and regulation
      • Public sector
      • Retail and e-commerce
      • Satellite communications
      • Science
      • SMEs and start-ups
      • Social media
      • Talent and leadership
      • Telecoms
    • Events
    • Advertise
    TechCentralTechCentral
    Home » In-depth » Apple’s big App Store price cut isn’t nearly enough

    Apple’s big App Store price cut isn’t nearly enough

    By Agency Staff19 November 2020
    Twitter LinkedIn Facebook WhatsApp Email Telegram Copy Link
    News Alerts
    WhatsApp
    Zhiyue Xu/Unsplash.com

    Apple has seemingly made a key concession in the battle over the smartphone giant’s market power and treatment of developers who want a place on the company’s App Store and devices. “Seemingly” is the key word here.

    Starting next year, the iPhone maker will reduce to 15% from 30% the App Store commission rate it charges developers that earn US$1-million or less a year, as well as those new to the store, Apple said Wednesday. While the announcement is certainly good news for smaller, independent developers, it still doesn’t address broader issues about Apple’s excessive power and abusive practices and likely won’t appease the company’s critics and regulators.

    First, the new terms only cover the smallest developers, thereby maintaining Apple’s power over the app economy. The App Store’s biggest critics — including Spotify Technology and Match Group — will see no benefit. To illustrate how insignificant it will be for overall revenue, app research firm Sensor Tower said less that 5% of Apple’s App Store sales last year came from developers that generated less than $1-million.

    The announcement does nothing to address the questions about Apple’s anticompetitive practices that aren’t related to its fees

    More importantly, the announcement does nothing to address the questions about Apple’s anticompetitive practices that aren’t related to its fees. For example, Fortnite-maker Epic Games is suing the smartphone maker for the right to use its own payment system and its own store on devices that use Apple’s iOS operating system. And the European Union has opened an investigation into Apple’s rules restricting developers from informing users about alternative purchasing methods.

    Antitrust efforts

    Even more serious antitrust efforts are under way that may have larger financial consequences for Apple. In October, a US house antitrust committee report alleged that Apple abused the monopoly power of its App Store by giving preferential treatment to its own products, harming industry innovation and competitors. That same month, the US department of justice’s antitrust division said the distribution agreement under which Google pays Apple billions of dollars annually to make its search engine the default option on iPhones was exclusionary and violated antitrust laws. Again, Apple’s fee reduction doesn’t resolve these issues.

    Instead of trying to score points with token gestures, what should Apple do next? Here are some ideas.

    Apple should proactively offer fairer terms to all developers or risk far worse remedies from governments. The company should abandon restrictions forbidding links to external websites, offer clearer app approval guidelines, provide no special loopholes for powerful companies such as Amazon.com, and level the playing field by widening the base of apps that must pay fees beyond digital content and services. All these ideas still stand and would do far more to placate the real anticompetitive concerns.

    Apple’s latest move does signal it is feeling the heat from rising scrutiny and criticism. Acting proactively is the right response, but it needs to do more.  — By Tae Kim, (c) 2020 Bloomberg LP

    Follow TechCentral on Google News Add TechCentral as your preferred source on Google


    Amazon Apple Epic Games Fortnite Google Match Group Spotify top
    WhatsApp YouTube
    Share. Facebook Twitter LinkedIn WhatsApp Telegram Email Copy Link
    Previous ArticleAll the bitcoin lingo you need to know as crypto hots up again
    Next Article Gianfranco Campetti, driving force behind SA’s new electrical plug standard, dies

    Related Posts

    The lesson Seacom learnt from its massive 2024 outage - Richard Schumacher

    The lessons Seacom learnt from its massive 2024 outage

    14 May 2026
    Hyperscalers ate my next computer

    Hyperscalers ate my next computer

    8 May 2026
    Alphabet closes in on Nvidia as world's most valuable company

    Alphabet closes in on Nvidia as world’s most valuable company

    6 May 2026
    Company News
    Digital Parks Africa expands global network reach with Cogent

    Digital Parks Africa expands global network reach with Cogent

    19 May 2026
    Why the security operations centre is now a boardroom issue - Chris Norton Kaspersky

    Why the security operations centre is now a boardroom issue

    18 May 2026
    Netstar brings coding and robotics to inner-city Joburg - Collin Govender, Altron Group chief operating officer; Leona Pienaar, MES CEO; Marisa Jansen van Vuuren, Altron Group chief marketing officer; Innocent Mabusela, Jozi My Jozi CEO; and Warren Mande, incoming Netstar MD

    Netstar brings coding and robotics to inner-city Joburg

    18 May 2026
    Opinion
    AI won't fix your culture - it will expose it - Jackie Kennedy

    AI won’t fix your culture – it will expose it

    19 May 2026
    Free calls, dead voice and Shameel Joosub's Spanish ghost - Duncan McLeod

    Free calls, dead voice and Shameel Joosub’s Spanish ghost

    22 April 2026
    The conflict of interest at the heart of PayShap's slow adoption - Cheslyn Jacobs

    The conflict of interest at the heart of PayShap’s slow adoption

    26 March 2026

    Subscribe to Updates

    Get the best South African technology news and analysis delivered to your e-mail inbox every morning.

    Latest Posts
    Eskom threatens to cut power to Joburg

    Eskom threatens to cut power to Joburg

    19 May 2026
    Troubling questions over South African internet infrastructure attacks

    Troubling questions over South African internet infrastructure attacks

    19 May 2026
    DDoS extortionists 'carpet bomb' South African internet hosts - Warwick Ward-Cox

    Extortionists ‘carpet bomb’ South African internet hosts

    19 May 2026

    Extortion fears as DDoS attacks hit SA internet infrastructure

    19 May 2026
    © 2009 - 2026 NewsCentral Media
    • Cookie policy (ZA)
    • TechCentral – privacy and Popia

    Type above and press Enter to search. Press Esc to cancel.

    Manage consent

    TechCentral uses cookies to enhance its offerings. Consenting to these technologies allows us to serve you better. Not consenting or withdrawing consent may adversely affect certain features and functions of the website.

    Functional Always active
    The technical storage or access is strictly necessary for the legitimate purpose of enabling the use of a specific service explicitly requested by the subscriber or user, or for the sole purpose of carrying out the transmission of a communication over an electronic communications network.
    Preferences
    The technical storage or access is necessary for the legitimate purpose of storing preferences that are not requested by the subscriber or user.
    Statistics
    The technical storage or access that is used exclusively for statistical purposes. The technical storage or access that is used exclusively for anonymous statistical purposes. Without a subpoena, voluntary compliance on the part of your Internet Service Provider, or additional records from a third party, information stored or retrieved for this purpose alone cannot usually be used to identify you.
    Marketing
    The technical storage or access is required to create user profiles to send advertising, or to track the user on a website or across several websites for similar marketing purposes.
    • Manage options
    • Manage services
    • Manage {vendor_count} vendors
    • Read more about these purposes
    View preferences
    • {title}
    • {title}
    • {title}