Apple 'like Godfather' with new App Store rules

Sat, 09 Mar 2024 16:49:42 GMT
BBC News - Technology

As Apple begins to allow other app stores on iPhones one entrepreneur criticises its behaviour

"Apple says it's opening up, but it still has a tight fist around iPhones", says Colton Adamski, a former hacker and businessman who lives near Chicago and is trying to launch one of the first alternative app shops in the EU. The 22-year-old has been running an unofficial iPhone app store for more than six years.

For everywhere other than the EU, starting an app store is against Apple's terms, and installing apps outside the official App Store is prohibited.

Although the fee is controversial, it is true that generally Apple is more successful at keeping malicious apps out than other marketplaces like Google's Play Store.

In the last few weeks, since Colton secured his line of credit, Apple has said that app developers of "Good standing" for at least two years can also build an app shop without the €1m. Colton's next hurdle to overcome is how to make a profit.

Apple automatically bills new app stores half a euro for every download after one million.

So if someone downloads his app shop app but never uses it, he still has to pay Apple 50 cents.

The company has created a website where app developers can estimate how much money they would owe Apple if they choose to list their apps on other stores.

Another charge being criticised is the 17% fee Apple will charge on any sales of an app sold on its App Store and elsewhere.

Like The Godfather, Colton says Apple is making companies an offer they cannot refuse to keep them only listing on the App Store.

Google's own app shop - Google Play - is by far the most dominant player and, like Apple's App Store, charges apps on average 30% of their profits or subscriptions as commission.