Thursday, February 17, 2011

Paid Content: Apple's subscription dictation confused the media industry

30 percent of subscription revenue to Apple - but by whom? The new rules for Apple's App Store confuse the media industry must now also streaming services like Hulu Spotify and sell their subscription offerings from Apple? The iPhone group is silent, analysts are perplexed. "Our philosophy is simple," Apple CEO Steve Jobs promised in a press release on subscription fees for applications in the App Store.


So easy: new regime does not seem to be. On Tuesday, Apple said the boss, "If the publisher does an already recruited or new subscribers Access, Publisher reserves of 100 percent, and Apple deserves it." An important additional condition now confused analysts and entrepreneurs: If you sell subscriptions to services outside of the App Store, it must offer the same services in the App Store - and there must not be more expensive than the subscriptions outside.

The U.S. music-streaming service Rhapsody sees itself affected by this new regulation. The company offers its 750.000 subscribers unlimited music views about computers, iPhones, Blackberry and Android phones. Ten dollars does it cost Universal subscription for all platforms. Rhapsody has to offer now a ten-dollar subscription to Apple's App Store? Just the fear the company.

Rhapsody announced: "Our philosophy is simple. A scheme dictated by Apple, where we pay 30 percent of our revenue to Apple, in addition to the charges to authors and publishers is not economically viable" Wrap credit card company payments from customers of the music, Rhapsody will pay about 2.5 percent for this service.

For Apple 30 per cent would be due. The Financial Times interpreted the new rules so that not only media companies but also video services such as Netflix or Hulu and streaming music providers like Spotify in future offer its subscription models also have Apple and there from the revenue 30 percent, the Companies must pay - if they have access to their offers of applications for iPhone and want to offer iPad.

In addition, Amazon could also read App Kindle, with the one at the shop purchased E-books can be read on iPhone and iPad be affected by the 30 percent rule. Request Tech News Buzz, if the new rules for music, video, and apply digital book deals, Apple could not answer until the publication of this release.

This issue is controversial, especially against the background that Apple itself sells music, video and digital book downloads, and rumors that is working on a streaming offering.

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