【rossignol elite hero st ti】Apple's New Deal With Amazon Prime Video Is a Game Changer
(Bloomberg Opinion) -- What was once sacrosanct is rossignol elite hero st tino more. Apple Inc. seems to have blinked.
Late Wednesday, Bloomberg News reported that Apple has relaxed its rules requiring a 30% cut for any content sold inside video apps on its iOS platform. The tech giant said its program allows “premium subscription video” providers the ability to charge consumers directly using their own payment systems without paying a commission to Apple.
For customers of Amazon.com Inc., which started taking advantage of the change on Wednesday, it means Amazon’s Prime Video subscribers in the U.S., U.K. and Germany, can now buy or rent video content using the e-commerce company’s app on Apple’s platforms. Amazon.com Inc. had previously only allowed video purchases outside of Apple’s ecosystem, such as its website. Canal+, owned by Vivendi SA, and Altice USA Inc.’s Altice One had already joined Apple’s program in recent years.As recently as last year, Apple CEO Tim Cook told CBS News the company didn’t have a dominant position in any market. But analysts have said Apple’s App Store may be the one business where it actually had excessive power over developers, because of the steep commission it was able to demand in exchange for allowing their apps, in-app purchases and subscriptions to be sold on its platforms. (The 30% subscription fee is lowered to 15% after the first year.)
The Apple App Store’s high commission structure has been infuriating for many companies. In 2019, music-streaming company Spotify Technology SA filed a complaint against Apple with the European Commission, while Epic Games Inc. CEO Tim Sweeney, whose company makes Fortnite, has consistently railed against Apple’s commission structure as unjustified. Netflix Inc. even abandoned using Apple’s payment system altogether to avoid the fee in 2018.Why did Apple budge? Perhaps it’s a move to preempt further pressure from regulators. Whatever the reason, once the first step is made toward lower fees, there is no turning back.
It’s only a matter time before other companies such as Netflix, Spotify and countless others ask for better terms as well. Lower middle-man fees can also be good news for consumers if it leads to lower prices, too.
This column does not necessarily reflect the opinion of Bloomberg LP and its owners.
Tae Kim is a Bloomberg Opinion columnist covering technology. He previously covered technology for Barron's, following an earlier career as an equity analyst.
For more articles like this, please visit us at
bloomberg.com/opinion
Subscribe now
to stay ahead with the most trusted business news source.
©2020 Bloomberg L.P.
View comments
-
Glencore commits to net zero emissions by 2050State-backed hackers targeting coronavirus workers, US and UK warn(APC) INVESTOR ALERT - Anadarko Petroleum Corporation - Bronstein, Gewirtz & Grossman, LLC Notifies Investors With Losses Exceeding $100K of Class Action and Lead Plaintiff Deadline: April 20, 2020It's not over until there is no virus anywhere in the world - WHOWhat Does Success Look Like for a Climate Czar?FTC Sending More Than $470K to People Duped by My7Network, ‘Bitcoin Funding Team’ ScamsAre Robust Financials Driving The Recent Rally In Arthur J. Gallagher & Co.'s (NYSE:AJG) Stock?Considerable EBIT improvement in the first two months of 2020What Kind Of Investors Own Most Of IBI Group Inc. (TSE:IBG)?Callon Petroleum Climbs 4% As 3Q Sales Surge 74%; Street Sticks To Hold
下一篇:Helius Medical Technologies, Inc. to Present at Upcoming Investor Conferences in November
- ·SCOR successfully sponsors a new catastrophe bond, Atlas Capital Reinsurance 2020 DAC
- ·How Does Ensign Group's (NASDAQ:ENSG) P/E Compare To Its Industry, After The Share Price Drop?
- ·Hedge Funds Souring On E*TRADE Financial (ETFC)
- ·Shipping Marketplace uShip Lays Off 65 Employees
- ·SHAREHOLDER ALERT: PTLA GERN AAN: The Law Offices of Vincent Wong Reminds Investors of Important Class Action Deadlines
- ·Skeljungur hf.: Changes to terms in market making agreements
- ·SHAREHOLDER ACTION NOTICE: The Schall Law Firm Announces the Filing of a Class Action Lawsuit Against Align Technology, Inc. and Encourages Investors with Losses in Excess of $100,000 to Contact the Firm
- ·UPLCQ Deadline: Bronstein, Gewirtz & Grossman, LLC Reminds Ultra Petroleum Corp. Investors of Class Action and Lead Plaintiff Deadline: November 2, 2020
- ·Top Analyst Reports for Apple, Verizon & PayPal
- ·Here's Why We're Not Too Worried About Luxxu Group's (HKG:1327) Cash Burn Situation
- ·Canada Cardiac Rhythm Management Devices Market Outlook to 2025 - Cardiac Resynchronisation Therapy (CRT), Implantable Cardioverter Defibrillators (ICD), Implantable Loop Recorders (ILR) and Pacemakers
- ·What's in Store for Ambarella (AMBA) This Earnings Season?
- ·Blockchain Could Make Dismantling Nuclear Warheads More Secure: UK Report
- ·Gold ETFs Attain Record YTD Inflows Amid Global Uncertainties
- ·Machinery Companies' Earnings Due on Nov 5: PH, MIDD & FLS
- ·Cheniere seeks U.S. permission to put Oklahoma Midship natgas pipe in service
- ·Spotify Rolls Out Standalone Streaming On Apple Watch App: TechCrunch
- ·Coronavirus waivers sent to ‘The Bachelor’ live studio audience members
- ·Payments on mortgages to be suspended across Italy after coronavirus outbreak
- ·Huawei confident it will supply core network technology to European operators
- ·Why SkiStar AB (publ)'s (STO:SKIS B) High P/E Ratio Isn't Necessarily A Bad Thing
- ·Ramping up COVID-19 testing earlier would have helped the UK, top adviser says
- ·Cara Therapeutics to Announce First Quarter 2020 Financial Results on May 11, 2020
- ·Portugal says unacceptable to block EU recovery funds
- ·H2O Innovation Secures 7 New Projects, Totalling $7.6 M and Received Notice of Cancellation for One Project
- ·Mortgage Rates Are Lowest Ever; 12.8M Should Refinance
- ·Global Vision Care Market (2020 to 2025) - Featuring Alcon, Carl Zeiss and Hoya Among Others
- ·What Cineworld Group plc’s (LON:CINE) ROE Can Tell Us
- ·Air Filters Case Study: Camfil Filters Provide Significant Energy Savings for a Leading American Frozen Food Manufacturer
- ·The Zacks Analyst Blog Highlights: Telenav, Forestar, Alpine Income Property Trust, Innovative Industrial Properties and MDU Resources
- ·Lam Research (LRCX) Stock Moves -1.58%: What You Should Know
- ·Despite Its High P/E Ratio, Is Ovzon AB (publ) (STO:OVZON) Still Undervalued?
- ·AGI or RGLD: Which Is the Better Value Stock Right Now?
- ·Glenbriar Announces Agreement to Acquire Kick Pharmaceuticals Inc.
- ·Genesco (GCO) Gains But Lags Market: What You Should Know
- ·Gamesys Group PLC Announces Total Voting Rights