3 ms·
Last I looked, Apples gross services margins were around 66%, which implies a break even for the store at a 10% fee.
by valuearb 6y ago
Last I looked, Apples gross services margins were around 66%, which implies a break even for the store at a 10% fee.
- Someone 6y agoI think Apples service margins include an unspecified amount from Google for being the default search engine on iOS. And that’s a big fraction of their services. https://www.thestreet.com/investing/google-pays-apple-billions-to-be-default-search-engine-14865683 https://www.thestreet.com/investing/google-pays-apple-billio... estimates that at $9.48 billion over 2018.
- valuearb 6y agoThat implies that App Store margins are lower than I estimated, and it’s costs higher.