You are right that in practice most people don’t get 1M in yearly revenue, but the 30% is a huge consideration for anyone making a new software business that ha

You are right that in practice most people don’t get 1M in yearly revenue, but the 30% is a huge consideration for anyone making a new software business that has a chance to grow past 10 employees. What most successful companies do instead is dodge it by being free with ads (Facebook, Instagram, Amazon, Snap, YouTube, Zillow, etc), baked into an existing subscription business (Office, Google Docs, Basecamp, Netflix, Disney+, Photoshop, 1Password), or they ditch the phones entirely using web, desktop or console platforms instead (Figma, Sketch, most AAA games, most sass companies). The only big companies left are micropayment game companies and that is mostly because casual games are a perfect fit for mobile and it’s worth the 30% to be where the users are.