Apple iOS Subscription Deadline: June 30

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Companies that already offer iPhone and iPad apps for services that offer subscriptions have until June 30, 2011, to add in-app subscription support. The requirement is part of a new policy Apple recently imposed that requires companies that let customers buy or subscribe to content through a Web site to be able to do the same from within iOS apps.

“For existing apps already in the App Store, we are providing a grace period to bring your app into compliance with this guideline,” Apple told publishers in a memo, according to AllThingsD. “To ensure your app remains on the App Store, please submit an update that uses the In App Purchase API for purchasing content, by June 30, 2011.”

iOS subscription deadline: June 30

Apple’s in-app subscription feature was first shown off during News Corp’s media event introducing its The Daily iPad news app in early February. On February 15, Apple opened up the feature to all iOS app developers.

“All we require is that, if a publisher is making a subscription offer outside of the app, the same (or better) offer be made inside the app, so that customers can easily subscribe with one-click right in the app,” Apple CEO Steve Jobs said.

Apple will take a 30 percent cut of in-app subscription sales, just as it already does with other in-app purchases. Subscription purchases that happen outside of iOS apps won’t net any money for Apple.

While the new policy will make it easier for consumers to purchase content, publishers most likely won’t be pleased with the prospect of sharing some of their sales with Apple. Those companies have, however, about four months to decide whether or not they want to continue offering their apps to iPhone, iPod touch and iPad users.

Comments

ilikeimac

I guess this will affect things like Pandora, Spotify, Netflix, and of course Kindle and subscription publications. Any other big names that would seem to be doomed lest they comply?

Bosco (Brad Hutchings)

Who says they’ll be doomed if they don’t comply? It’s on Apple to take them down. It’s not like Apple has some secret connection to a publicly funded police force that will storm their homes and extract its 30%.

Here’s your 4 month strategy whether you are big or small.

1. Kick it into high gear to get on Android, PlayBook, and TouchPad if you’re not already kicking it.

2. Educate your customers about the threat Apple has made. Tell them you don’t think Apple is doing anything to earn 30% except getting in the way. Tell them it’s ultimately up to Apple whether you are allowed on the iOS platform.

3. Wait it out. The mastermind of this plan is on sick leave. That has to be serious. Last time, he was secretly trading in his liver. You can’t say publicly that you’re waiting to see if Jobs remains CEO on July 1 (that would be tacky), but if there’s a possibility he won’t, it’s gotta work into your plan. Neither Cook nor Schiller have the testicular fortitude for all out war against industry and government oversight on this scale.

4. If you do or influence other business with Apple, cancel it the day Apple pulls your app.

5. Keep an enemies list. If any of your customers tell you they think they you should bend over to Apple and won’t accept that you have a difference of opinion, make sure they talk to India for all future customer relations issues. Basically, this covers the fanboys.

RonMacGuy

Pretty sad, Bosco, even for you.

Bosco (Brad Hutchings)

Pretty sad, Bosco, even for you.

Which part Ron? Waiting to see if Steve is still CEO? You think he gets a pass to act like an a-hole and grab money that’s not his because he’s sick? The world does not work that way.

The money grab is at least as offensive to companies who are already in this and played by Apple’s “rules” as any reference to Jobs’ health is. Dismiss it if you like, but it will have tremendous explanatory value in the coming months.

Peter

While I’m not sure about the whole “Steve resigns” part, I think Apple will cave if these people tell them no.

Amazon has 400,000 books.  Apple’s Bookstore has 40,000.  Frankly, a battle like this with consumers in the middle will do more damage to Apple then it will to Amazon.  If I were Amazon, I’d tell Apple to get stuffed.  If I were Amazon, I’d also drop a note off to the FTC and DOJ, asking them to look into this.

Netflix has a similar problem.  Netflix wants their streaming service to be “everywhere.”  But I’d do the same thing—tell Apple to get stuffed.

If big name content providers get up and walk out, Apple will get the message.

Bosco (Brad Hutchings)

If big name content providers get up and walk out, Apple will get the message.

Apple’s rule structure is a bit too passive aggressive for me to believe that a walk-out isn’t something Apple is hoping for. Assuming no collateral damage to customer base, iBooks probably takes off without Kindle on the device. The problem for Apple is how to get Kindle off the device. If Amazon walks on their own volition, Apple spokesholes issue a press release with a reportedly comatose Steve Jobs saying, “I am sorry that Amazon no longer wants to engage our customers, but we have a much better app called iBooks which we hope our customers will enjoy.”

Nope, Amazon and other big content players simply wait it out and see if Apple kicks them off. There is no spin in the world that can take the stench off of a giant turd-like Apple move as that will be.

John Dingler, artist

In Rightwing terminology, book/periodical publishers and their supporters who whine that Apple is charging rent for Apple server and infrastructure space are either Commie Socialists or freeloaders, expecting Apple to lose funds on the transaction with the publisher.

But the most valuable commodity publishers have is the data on the subscriber, and they will use all kinds of underhanded methods to hide how they acquire it. If the citizen knew about them, he would rebel by not opting-in to allow the publisher access.

Therefore, I suspect that the publisher truly hates that Apple considers the citizen-subscriber to be the customer so Apple first asks for any extra data. This has to be the crux of the whining from publishers.

RonMacGuy

Which part Ron? Waiting to see if Steve is still CEO? You think he gets a pass to act like an a-hole and grab money that?s not his because he?s sick? The world does not work that way.

So, if the world doesn’t work that way, then Apple will fail, right? Get no subscribers. Major boycott. No publishers have to deal with them if they don’t want to. You have told some of us in the past that we take things too personally sometimes. Your comments seem to imply that you are so blasted angry and are taking what Apple does as a personal assault. I think you are fearful that Apple will make this work just as they were able to change the music world and the smartphone world and tablet world and the app world and whatever other worlds they have changed. Why are you so angry, Bosco? And so insulting of Apple and Jobs? You should be laughing at how Apple is setting themselves up to fail. But I think you know deep down that they won’t fail, and that really bothers you.

Basic economics. The most powerful win and continue to win. They have leverage. That’s why Microsoft won for so long. That’s why ExxonMobil wins. When you have someone by the short hairs there’s not much they can do about it. But hey, that’s the free market!! Smile and get over it. And don’t take it so personally.

RonMacGuy

Oh, and Bosco, Apple is up over $3 today at another record high of over $363. So, the market seems to have given their input on their expectations of Apple’s chance of success here. Remember your comment: ?something we can objectively measure as a proxy for Apple continuing to win no matter what I say? well there you go. $334.5 Billion valuation and still rising. Probably contributing to you being so angry.

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