Apple to Halve App Store Fees for Subscription Video Apps

To appease video content makers and lure new video services to the App Store, Apple plans to cut the fees it charges streaming video apps, reports Bloomberg.

Apple normally takes a 30 percent cut of all App Store app purchases and subscriptions, but for subscription-based streaming video apps like Netflix and Hulu, Apple plans to cut its fee to 15 percent. Apple has already reduced the fees for some of its video partners, and will soon extend the 15 percent rate to all subscription video services that are integrated with the company's upcoming TV app.

appletvappstore-800x298

Apple's hefty cut of sales made via its App Store has long angered partners, some of whom have accused the technology giant of anti-competitive behavior. The concessions speak to the growing importance of video to Apple, which next month will introduce a new app devoted to TV shows and movies.

For non-video subscription apps, Apple will continue to charge 30 percent, but will reduce that amount to 15 percent after an Apple customer has been subscribed to the service for a year, a change that was announced earlier this year.

Fee reduction rumors come as Apple is preparing to launch the aforementioned TV app, which will be available on both the fourth-generation Apple TV and iOS devices. Currently in beta testing, the TV app is designed to make it easier for users to find content to watch across multiple apps.

Because TV app is reliant on third-party content providers, it is in Apple's best interest to lure as many content providers to its platform as possible for the best user experience.

Top Rated Comments

iSRS Avatar
58 months ago
Your move, Amazon. Your move.

Also, DirecTV Now is coming any day. Coincidence?
Score: 15 Votes (Like | Disagree)
mateytate Avatar
58 months ago
Take that, "Apple is greedy" people!
You think Apple are doing this to be nice to the consumer? They're doing it because no one was biting with that ridiculous 30% they were charging, they had to do it. Don't think otherwise.
Score: 11 Votes (Like | Disagree)
Schwyz Avatar
58 months ago
Take that, "Apple is greedy" people!

/s
Score: 9 Votes (Like | Disagree)
Schwyz Avatar
58 months ago
Initially read the article title as: "Apple to have"
Initially read the article title as:

Apple to release new MacBook *PRO*, Mac Pro, Mac Mini, Thunderbolt Display, AirPods, edge-to-edge iPhone, TOMORROW!

You can't even begin to imagine my disappointment when I found I was mistaken.
Score: 7 Votes (Like | Disagree)
cariacou Avatar
58 months ago
Please everyone forward this article to Jeff Bezos
Score: 7 Votes (Like | Disagree)
npmacuser5 Avatar
58 months ago
Apple created the Amazon Fire TV by their business practices. Now that they have created a major force against them not only in the TV but music and speaker markets, the light is finally coming on. Hope this move works as I would really like the ability to finally use one streaming device, Apple.
Score: 7 Votes (Like | Disagree)

Top Stories

Top Stories 57 Feature

Top Stories: Apple Event Next Tuesday, Mini-LED iPad Pro, iPhone Rumors

Saturday April 17, 2021 6:00 am PDT by
It feels like we've been waiting forever for new Apple products, but the wait is almost over as Apple has announced a media event for next Tuesday, so make sure to tune into MacRumors for full coverage of everything Apple announces. While that was the big news this week, we also got some new details on Apple's iPhone plans for 2022 and 2023 courtesy of analyst Ming-Chi Kuo, and we also saw...
flat imac 3d 3 teal

Reliable Leaker Hints Redesigned Colorful iMac to Debut at 'Spring Loaded' Event

Saturday April 17, 2021 4:43 am PDT by
Reliable leaker known as l0vetodream has hinted that Apple may debut its rumored redesigned and colorful iMac at its "Spring Loaded" event on Tuesday, April 20. In a tweet, the leaker posted an image of Apple's logo used for marketing the upcoming event and an image of the retro rainbow Apple logo alongside the colorful lineup of G3 iMacs. Apple leaker Jon Prosser previously reported that...
duan rui iphone 12 13 notch

New Images Show Smaller iPhone 13 Notch Compared to iPhone 12

Saturday April 17, 2021 11:38 pm PDT by
Leaker known as "DuanRui" has shared more images that could give us our best look yet at Apple's redesigned notch for the iPhone 13. The new pictures follow similar images shared by the leaker last week, but the latest shots include a comparison with the existing iPhone 12 notch. DuanRui posted three images on Twitter that apparently originate from Weibo, although source details remain...
iPad Pro Feature Orange

Wedbush Analysts Say 'Spring Loaded' Event Will Debut New iPads With 'Modest Price Increase,' Along With 'a Few Surprises'

Monday April 19, 2021 6:37 am PDT by
Apple is planning to launch a new entry-level iPad, iPad mini, and iPad Pro at its "Spring Loaded" event tomorrow, along with "a few surprises," according to Wedbush analysts. In a new note to investors, seen by MacRumors, Wedbush analysts Daniel Ives and Strecker Backe explained that the iPad will be the main focus of Apple's "Spring Loaded" event, with new entry-level iPad, iPad mini, and ...
important battery message iphone 11

Some iPhone 11 Users Seeing Increased Battery Health Percentages After iOS 14.5 Recalibration Process

Friday April 16, 2021 6:32 am PDT by
In the sixth beta of iOS 14.5, Apple introduced a recalibration process for the battery health reporting system on the iPhone 11, iPhone 11 Pro, and iPhone 11 Pro Max to address inaccurate battery health estimates for some users. Apple said this process might take a few weeks to be completed, and now that two weeks have passed since the sixth beta of iOS 14.5 was released, some users are...
third gen Apple pencil leaked video

Video of Alleged Third-Generation Apple Pencil Leaks Ahead of Apple Event

Friday April 16, 2021 6:13 am PDT by
A video purporting to be of the third-generation Apple Pencil has today been shared online, showing a glossy finish that mirrors previous leaks. New ✏️ ready to 🚢 #AppleEvent @TommyBo50387266 pic.twitter.com/s4RCDwDi5M— 漢尼斯·拉斯納 🇨🇳 (@ileakeer) April 16, 2021 The brief video from Twitter account @ileakeer, spotted by 9to5Mac, shows an Apple Pencil with a glossy finish much like the...
iPad Pro

New 12.9-Inch iPad Pro Will Be 0.5mm Thicker to Accommodate Mini-LED Display

Monday April 19, 2021 11:30 am PDT by
The upcoming 12.9-inch iPad Pro will be thicker than the previous-generation version, likely due to the inclusion of the mini-LED display. We've heard several rumors about the change in thickness, and now leaked design images have confirmed it. A source that designs accessories for Apple devices sent MacRumors a series of photos that feature exact dimensions for the new iPad Pro models, and...
parler app

Apple Approves Parler to Return to App Store

Monday April 19, 2021 7:51 am PDT by
Following the removal of the app in January, Apple will now allow the social media app Parler to return to the App Store following changes to how the social media network moderates content, CNN reports. On April 14, in a letter to Sen. Mike Lee and Rep. Ken Buck obtained by CNN, Apple said that the app has improved the way it moderates content, and says those changes are "sufficient" for it...
iphone 12 120hz thumbnail feature

LTPO Displays Supporting 120Hz Refresh Rates Again Rumored for iPhone 13 Pro Models

Friday April 16, 2021 10:01 am PDT by
The two higher-end "iPhone 13 Pro" models that are coming in 2021 are expected to use LTPO display technology to enable 120Hz refresh rates, according to display analyst Ross Young. Young reaffirmed the detail in a tweet that said he'd heard rumors about only one model featuring LTPO, which he says is inaccurate. Heard some rumors in the industry and media that there would only be one ...
maxresdefault

Hands-On With Anker's MagSafe-Compatible Battery Pack

Thursday April 15, 2021 9:39 am PDT by
Anker, a company known for its range of accessories designed for Apple products, recently came out with one of the first MagSafe-compatible battery packs, so we thought we'd check it out to see how it compares to a standard battery pack. Subscribe to the MacRumors YouTube channel for more videos. Design wise, Anker's power bank looks like a typical battery pack, but it has magnets built in...