3 ms·
This is all about the app store. Remember Microsoft can make a good chunk of profit from each app purchase and nobody will be developing let alone buying apps i
by UnoriginalGuy 14y ago
This is all about the app store. Remember Microsoft can make a good chunk of profit from each app purchase and nobody will be developing let alone buying apps if Microsoft cannot get eyes on it.
- r00fus 14y agoApple has consistently stated that they don't make much money from their App Store (or iTunes content in general). How are Microsoft (and Amazon, whose entire $199 Kindle Fire pricing) going to make money in this market? No doubt they want folks on the store, but I question whether this is the reason behind the $40 upgrade pricing.
- FreshCode 14y agoI would wager MS wants to foster a stronger Windows App ecosystem and not necessarily App Store profits.
- bishnu 14y agoCitation needed? Apple's app store isn't a huge revenue source by any means [1], let alone profit. I've seen no evidence that App Stores can be any kind of profit center. [1] http://www.businessinsider.com/chart-of-the-day-apple-revenue-2010-10 http://www.businessinsider.com/chart-of-the-day-apple-revenu...
- kmfrk 14y agoThe guy they probably took the data from: http://www.asymco.com/2011/06/13/itunes-now-costs-1-3-billionyr-to-run/ http://www.asymco.com/2011/06/13/itunes-now-costs-1-3-billio....
- greedo 14y agoSure, Apple doesn't generate a lot of earnings or revenue directly from each of their app stores, but the indirect revenue is what matters. Apple is a hardware company first, a software company second. App store purchases reinforce user stickiness as well as improving the overall purchasing experience. The bottom line is what matters, not the line item profitability.