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They have provided a convenient breakdown for their invoices: 3% payment processing 27% monopoly rent
by readams 5y ago
They have provided a convenient breakdown for their invoices:
3% payment processing
27% monopoly rent
- sfe22 5y agoOther payments processors charge 30c + 3%, so it would be interesting to see how it would work here for smaller payments
- Dylan16807 5y ago5c + 5% is also standard for smaller payments.
- IncRnd 5y agoIt's pretty straightforward, assuming that you have the standard charge amount correct. (I don't know) Between the two approaches, the costs break even when 30c = .27*cost. Apple's 27% exceeds the 30c whenver the purchase costs less than $1.11. 27% of .99 is 26.73c. So, this is a strong case Apple has calculated the other processor's charges for all app sales of .99 or less. It seems they are trying to charge more than normal processors for all micro-transactions.
- threeseed 5y agoFor developers making up to $1m a year: 3% payment processing 12% cost of channel