Jan 28, 2021 11:58:00

Apple revealed that it was negotiating when setting Apple TV subscription pricing 'don't waste your chances of making money'

Apple's

set-top box , the Apple TV, was announced in 2006. Since then, Apple has expanded its video rental service via iTunes and services that allow you to subscribe to only specific channels , and watching video content on your iPhone or Apple TV has become commonplace. It's been revealed that Apple was in talks to 'do not waste money-making opportunities' on this Apple TV subscription to a specific channel.

Apple execs discussed not'leaving money on the table' when setting Apple TV subscription fees --The Verge
https://www.theverge.com/2021/1/26/22250363/apple-tv-subscription-fees-emails-percentage-cut-epic-lawsuit

Apple requires apps delivered on the App Store to pay 30% of their sales as a commission. Fortnite and Unreal Engine developer Epic Games have sued Apple for the fees being too high.

An email from an Apple executive submitted as a source of information about the court battle revealed that Apple was cautiously negotiating with its business partners to set subscription fees, saying, 'Don't waste your money-making opportunities.' I have.

The Apple Executive Email, published as a source of the court battle, was in 2011 when Apple was discussing how to set Apple TV subscription fees, and was a software and service vice. It has been revealed that the exchange was made by President Eddie Kew and others.

When setting Apple TV subscription fees, Apple was considering different options for how to collect fees. It was also revealed that they were considering the possibility of trading individually with popular content such as NBA and MLB.

Among them, Apple classifies content partners who offer subscription services in various formats, denying which partners will continue to pay fees and which partners will continue to pay fees. It is clearly stated whether it is the target or not. According to the materials, cable TV and satellite broadcasting were opposed to the continuous collection of fees.

Apple then concludes that such transactions and subscriptions for video content delivered via iTunes must be charged the same 30% fee as the App Store. In addition, discussions will be held on how to deal with 'acts that bypass Apple's payment structure' such as jumping from the application for Apple TV to the website of the distribution service and registering as a paid member directly to the service. Was done.

A concern for Apple at the time was 'setting prices so as not to compromise the payment structure set in the App Store.' In an email exchange by Apple executives, 'I don't want to trade less than 30% commission. Only transactions with 30% commission exist on the App Store, and another transaction with an Apple TV subscription. If you can't trade with a 30% commission, you may be asked to pay a one-time contract, but don't let these deals spread to the App Store. It is clear that Apple was particular about '30% commission' in order not to break the payment structure of the App Store.

It's important to remember that as of 2011, there was no App Store for Apple TV, and Apple had individual partnerships for each service.

Foreign media The Verge said, 'Apple doesn't seem to have any defined ideas needed to make the platform successful. It's all about maximizing profits and achieving the best results. 'It seems to be forming a rule,' he said in a court battle with Epic Games, arguing that 'the 30% App Store fee rule is essential for fairness in the app economy.' I am questioning.