News publishers reject Apple’s terms in the App Store

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(Reuters) – Major news publishers are in favor of Apple Inc’s more favorable terms on the commissions the iPhone manufacturer charges them for invoices made through their app store, according to a letter posted Thursday through a professional body.

Digital Content Next (DCN), which represents the New York Times Co, The Washington Post, Wall Street Journal and other publishers, the letter, addressed to Apple’s CEO, Tim Cook, on his website.

Apple, which gets a 15% to 30% reduction in news publishers for early subscriptions made through in-store apps, offers a reduced rate for Amazon.com Inc.

At a House Judiciary Committee hearing last month, Cook said the reduced fee would apply to any developer who met certain conditions.

News publishers qualify for the same terms as Amazon for their Prime Video app on Apple’s App Store, DCN CEO Jason Kint warned on Thursday’s letter to Cook. (https://bit.ly/3l3gDJY)

“I ask you to obviously describe what Amazon has fulfilled in its arrangement so that DCN member corporations that assemble those can present the same agreement.”

The letter cited a communication between Apple veteran Eddy Cue and Amazon CEO Jeff Bezos, where the two corporations agreed to a 15% revenue-sharing agreement for new customer listings for Prime Video the App Store. The email gave the impression at the Committee hearing on 29 July.

The most recent missive comes days after Apple got rid of Epic Games’ “Fortnite” from its App Store for violating in-app payment rules, leading Epic to file federal lawsuits that defy the rule.

Apple and Amazon did not respond to comment requests.

(Reporting through Neha Malara in Bengaluru and Paresh Dave in San Francisco; written through Anirban Sen; edited through Shinjini Ganguli)

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