Apple’s App Store commissions, which have been the subject of debate for a long time, have entered the radar of Twitter (X) executive Elon Musk. The App Store, which cuts commissions of up to 30 percent from in-app purchases, was criticized by Musk.
Elon Musk: App Store commissions on X should be reduced
X CEO Elon Musk said in a statement that he will meet with Apple CEO Tim Cook. He stated that he would ask Apple to reduce the App Store commissions it collects from subscriptions in the Twitter application.
In his latest tweet, Musk asked Apple to change the way it handles commissions. Currently all deductions are made from users. Musk, on the other hand, thinks Twitter should be cut from the commission it receives from creators. This could result in creators paying less to the App Store.
X also recently announced that it will not take any fees from creators earning under $100,000. Accounts earning more than this amount will have to pay a 10% commission to Twitter.
Under Musk’s proposed arrangement, Apple will be entitled to 30 percent of this 10 percent cut for content creators who earn more than $100,000 in subscription revenue. That is, the deduction will be made on the commission paid to X.
Apple currently cuts 30 percent commission on iOS app purchases, regardless of creators’ income. The company was sued with brands such as Epic Games and Spotify because of this policy.
On the other hand, some apps direct users to payment services outside of the iOS app. This prevents Apple from paying commissions.