Comment on What Apple Pay Could Mean for In-App PurchasesComments−dognotdog12yThe Appstore revenue is dwarfed by hardware sales, with all of Appstore/iTunes revenue being less than 10% of iOS hardware sales.Apple certainly doesn't NEED the 30%, but it's very doubtful they'd reduce it.−frogpelt12yI would guess that the profit margin on IAP is higher than on hardware.How much does it cost to maintain the servers and infrastructure associated with IAP vs. the cost of building hardware?−atmosx12yApple's Gross Profit[1], as of June 2014 is about $76B. A 10% cut translates to $7.6B per year (as of today, probably more in the future). It's a huge load if you ask me.[1] http://www.wikinvest.com/stock/Apple_(AAPL)/Data/Gross_Profi...
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The Appstore revenue is dwarfed by hardware sales, with all of Appstore/iTunes revenue being less than 10% of iOS hardware sales.
Apple certainly doesn't NEED the 30%, but it's very doubtful they'd reduce it.
I would guess that the profit margin on IAP is higher than on hardware.
How much does it cost to maintain the servers and infrastructure associated with IAP vs. the cost of building hardware?
Apple's Gross Profit[1], as of June 2014 is about $76B. A 10% cut translates to $7.6B per year (as of today, probably more in the future). It's a huge load if you ask me.
[1] http://www.wikinvest.com/stock/Apple_(AAPL)/Data/Gross_Profi...