Opinion: Apple’s big App Store price cut isn't nearly enough

Starting next year, the iPhone maker will reduce to 15% from 30% the App Store commission rate it charges developers that earn US$1mil (RM4.09mil) or less a year, as well as those new to the store, Apple said on Nov 18. — AFP

Apple Inc has seemingly made a key concession in the battle over the smartphone giant’s market power and treatment of developers who want a place on the company’s App Store and devices. Seemingly is the key word here.

Starting next year, the iPhone maker will reduce to 15% from 30% the App Store commission rate it charges developers that earn US$1mil (RM4.09mil) or less a year, as well as those new to the store, Apple said on Nov 18. While the announcement is certainly good news for smaller, independent developers, it still doesn’t address broader issues about Apple’s excessive power and abusive practices and likely won’t appease the company’s critics and regulators.