Apple recently introduced a new Small Business Program that reduces the App Store's commission rate to 15% for developers earning up to $1 million per calendar year in net revenue from the sale of apps and in-app purchases. For developers exceeding the $1 million threshold, Apple's standard 30% commission rate still applies.
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Earlier this week, Apple began emailing eligible developers about their acceptance into the program, noting that the reduced 15% commission rate would go into effect by January 1, 2021. And as it turns out, Apple isn't waiting long to flip the switch, as some developers are already starting to see the 15% rate applied to their earnings.
A few of the developers already seeing the reduced rate include David Hodge, maker of the third-party Tesla vehicle app Nikola for the iPhone, and Jacob Gorban, a developer of the photo editing app ImageFramer for the Mac.
The evidence in @Nikola_App data as seen in my @ChartMogul dashboard. $9.99/mo users are now providing proceeds of $8.50/mo (from $7/mo ) pic.twitter.com/pL8rbcLu0u — David Hodge Coding (@HodgeCoding) December 24, 2020
Looks like the reduced Small Business App Store fee is now in effect. This is for our Mac app, ImageFramer. Time in UTC. 42.5/50 = 0.85. @mjtsai @OliverJHaslam @9to5mac @MacObserver pic.twitter.com/7LkaAQMhAR — Jacob Gorban (@jacobgorban) December 24, 2020
Apple's website has a Small Business Program page where developers can initiate the enrollment process and learn more details.
Top Rated Comments
For a sole dev, yes, that’s fairly high.Isn't $1 million rather high, don't get me wrong, good for those which earn less but $1 million is quite the salary, that is, if you're the sole dev for an app.
It depends on regional salaries — you can probably sustain about a dozen people in east Europe, or about three or four in Silicon Valley.
iTunes takes 30%...so...that's up to the indie musicians.How about the indie musicians getting $7 from a $9.99 iTunes album?