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Netflix doesn’t need the App Store to succeed, but should it still pay Apple’s 30% fee?

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Old 23-08-2018, 01:42 AM
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Default Netflix doesn’t need the App Store to succeed, but should it still pay Apple’s 30% fee?

Earlier this week, TechCrunch reported that Netflix is removing the option to pay for a subscription through iTunes in 33 countries as part of a limited-time test. Apple collects a 30% cut whenever anyone signs up for Netflix with iTunes, and then 15% for every subsequent year. By eliminating the option to pay within the app altogether, Netflix increases its profit margin significantly without seriously inconveniencing its users.
It seems inevitable that this test will eventually turn into a permanent change (especially considering Netflix already took away in-app payments on Android earlier this year). But with over 130 million users, what use does Netflix have for what amounts to an incredibly expensive and pointless partnership with Apple anyway?
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Netflix doesn’t need the App Store to succeed, but should it still pay Apple’s 30% fee? originally appeared on BGR.com on Wed, 22 Aug 2018 at 12:54:55 EDT. Please see our terms for use of feeds.


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