Apple's $0.99 FaceTime Charge Due to Accounting Requirements

105107 facetime mac app store fee

When Apple released FaceTime 1.0 into the Mac App Store earlier today with a $0.99 price tag, many users were up in arms over the charge for what had been a free application during its beta phase.

As we suspected and has now been confirmed by Macworld's Dan Moren, the charge is due to an accounting requirement that has affected similar updates in the past.

Apple told me that the FaceTime $1 charge for existing Mac users is regulatory related (remember the $2 802.11n patch circa 2007?).

Moren's reference is to the software download that unlocked 802.11n capabilities that were included in certain Macs but not activated at the time of sale.

While it is not clear exactly what types of updates trigger such accounting requirements, Apple has in the past generally stated that adding significant functionality that had not been advertised as included at the time of purchase can require such minimal user payments. While Macs have long included iChat video capabilities similar in many respects to FaceTime, Apple and its accounting advisors clearly believe that a public release of FaceTime software for existing Macs represents a substantial new feature addition for which the company is required to either charge a small fee or restate its past earnings to retroactively delay recognition of a tiny slice of revenue from each past machine sale.

The new FaceTime application is included free of charge on the MacBook Pros released today, as it is an advertised feature on the new hardware, and the application will certainly continue to be free on future versions of Mac hardware.

Top Rated Comments

217833 Avatar
149 months ago
Free apps do that, paid ones- not so much.

Yep, but Free Apps don't require you to enter your credit card ready to be used on 1-click... That's all the marketing strategy.

If you don't believe me, just have to watch the first 2min of the Keynote, and listen Steve Jobs introduction. Guess what he's talking about?... 200 Millions account with Credit Card & 1-Click purchasing.



Spid
Score: 1 Votes (Like | Disagree)
teknikal90 Avatar
150 months ago
i call bs. iOS 4 had printing and multitasking for iPads - very very substantial additions. it was free.
Score: 1 Votes (Like | Disagree)
pmjoe Avatar
150 months ago
Your lack of understanding does not make it a lie.

https://forums.macrumors.com/showpost.php?p=11981358&postcount=133
https://forums.macrumors.com/showpost.php?p=11981498&postcount=146
Only your lack of understanding. Are you incapable of reading what I wrote?

There is absolutely no requirement that makes Apple charge for FaceTime. NONE. They are CHOOSING to do so. It is a bald-faced lie for MacRumors to continue to insinuate this "requirement" propaganda over and over again.
Score: 1 Votes (Like | Disagree)

Popular Stories

iPhone 14 Dummies 1 Feature

Everything Rumored for Apple's September Event: iPhone 14, Apple Watch Pro and More

Friday August 12, 2022 2:34 pm PDT by
There's just about a month to go until Apple holds its annual September event focusing on new iPhone and Apple Watch models. We thought we'd take a quick look at everything that's rumored for Apple's September event to give MacRumors readers a rundown on what to expect when the first fall event rolls around. iPhone 14 The iPhone 14 can probably be described more as an "iPhone 13S" because...
iPhone 14 Pro Purple Rear Flat MacRumors Exclusive

iPhone 14 Pro Predicted to Start With Increased 256GB Storage Alongside Rumored Price Increase

Wednesday August 10, 2022 11:14 am PDT by
Earlier today, analyst Ming-Chi Kuo claimed iPhone 14 Pro models will be more expensive than iPhone 13 Pro models. Kuo did not reveal exact pricing, but he said that the average selling price of all four iPhone 14 models will increase by about 15% overall. While higher prices would be disappointing for customers, it is possible the iPhone 14 Pro and iPhone 14 Pro Max will offer increased...
iPhone 14 Pro Lineup Feature Silver

Kuo: Apple to Increase Prices of iPhone 14 Pro Models

Wednesday August 10, 2022 8:22 am PDT by
Apple plans to increase the prices of iPhone 14 Pro models compared to iPhone 13 Pro models, according to analyst Ming-Chi Kuo. Kuo did not reveal exact pricing for the iPhone 14 Pro models. However, in a tweet today, he estimated that the average selling price of the iPhone 14 lineup as a whole will increase by about 15% compared to the iPhone 13 lineup. In the United States, the iPhone...
iPhone 14 Pro Purple Front and Back MacRumors Exclusive feature

iPhone 14 Is Just a Few Weeks Away: Three Tips to Prepare for the New iPhone

Wednesday August 10, 2022 4:08 am PDT by
The launch of the new iPhone 14 is just a few weeks away, meaning millions of iPhone customers will soon upgrade their existing iPhone or perhaps get an iPhone for the first time. Exclusive MacRumors iPhone 14 Pro renders by graphic designer Ian Zelbo Whether upgrading from an older model or this is your first iPhone, we've rounded up a few tips to help you prepare for the next flagship...
z fold 4 1

Hands-On With Samsung's Latest Foldable Smartphones, the Galaxy Z Fold and Z Flip

Friday August 12, 2022 12:46 pm PDT by
Samsung this week launched its fourth-generation foldable devices, the $1,000 Galaxy Z Flip and the $1,800 Galaxy Z Fold. Though there's no sign of a comparable Apple foldable device on the horizon, rumors suggest prototypes are in the works, so we thought we'd take a look at Samsung's newest smartphones to see what Apple needs to measure up to when a foldable iPhone does come out. Subscribe ...
iPhone 14 Pro Purple Rear Flat MacRumors Exclusive

iPhone 14 Pro: Analyst Believes Storage Will Continue to Start at 128GB Despite Rumored Price Increase

Friday August 12, 2022 7:04 am PDT by
It wouldn't be the month before an iPhone launch without a few back-and-forth rumors, with the latest debate concerning iPhone 14 Pro storage. iPhone 14 Pro render by Ian Zelbo While research firm TrendForce forecasted that iPhone 14 Pro models could start with an increased 256GB of storage, Haitong International analyst Jeff Pu today forecasted that the upcoming Pro models will continue to...