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I'm sure Apple made a complex assessment to determine 30% as 'optimal'. The problem here is the oversupply of apps and the undersupply of paying customers - App
by cornholio 9y ago
I'm sure Apple made a complex assessment to determine 30% as 'optimal'. The problem here is the oversupply of apps and the undersupply of paying customers - Apple has a duty to it's shareholders to skim that market as much as possible.
While it might appear unfair for Apple to take such a large cut of 'your' money, Apple looks at this the other way around: you cost them quite a lot of the money their customers are willing to spend on apps.
- mgkimsal 9y ago"I'm sure Apple made a complex assessment to determine 30% as 'optimal'." Given that they've never actually run any large scale tests of the effect of different rates, it's probably safer to say this is a number that just 'feels right' - it doesn't look 'too greedy' up front, but isn't too low that shareholders might think they're leaving money on the table. Dropping it to 22 or 25% for a couple of years would give some real numbers as to what the true impact would be. Even if the numbers were studied years ago, the current behaviour and ecosystem would be different. As an apple shareholder, I would prefer that they explore other rates and then demonstrate that this is the best one.
- sooheon 9y agoThe game theoretic problem is that they cannot explore other rates without giving away the fact. The 30% suddenly looks a lot less set in stone (and less initially justified), and cue incessant deluge of pushback.
- mgkimsal 9y ago> "and cue incessant deluge of pushback." But really, where else are people going to go?