City
Epaper

Apple offered Amazon Prime Video app lower 15% fee, shows email

By IANS | Published: July 30, 2020 9:45 AM

San Francisco, July 30 The US House antitrust subcommittee has revealed that Apple offered a lower 15 per cent ...

Open in App

San Francisco, July 30 The US House antitrust subcommittee has revealed that Apple offered a lower 15 per cent subscription fee to Amazon for bringing its Prime Video app on the Apple TV set-top box.

Apple normally charges 30 per cent fee for most in-app purchases but in the case of Amazon, it allegedly offered 15 per cent fee on subscriptions that signed up through the Prime Video app, according to an email exchange released by the US Congress panel during the testimony on Wednesday.

The US Congressional hearing over anti-competition practices of the global tech giants was also attended via video conference by Amazon's Jeff Bezos, Sundar Pichai of Google and Facebook's Mark Zuckerberg.

"Apple executive Eddy Cue emailed Amazon CEO Jeff Bezos in 2016 suggesting Apple would take a 15% fee on subscriptions that signed up through the app, which is lower than Apple's customary 30% fee for most in-app purchases," reports CNBC.

The approach showed that "big players can negotiate for better business terms" on Apple's App Store.

Cook, however, testified on Wednesday that "We apply the rules to all developers evenly".

In 2017, Cook announced that Amazon's Prime Video service would be launching on the Apple TV set-top box.

Apple generally takes 30 per cent of the initial purchase price, including 30 per cent from the first year of subscription services that customers buy through the app, then drops the fee to 15% in the second year of a subscription.

Swedish music streaming service last year lodged an antitrust complaint with the EU regulators, saying iOS App Store rules are unfair.

Spotify said that Apple requires it and other digital services to pay a 30 per cent tax on purchases made through Apple's payment system, including upgrading from a free to premium subscription.

Apple slammed Spotify for wanting "all the benefits of a free app without being free".

( With inputs from IANS )

Tags: usappleMark ZuckerbergSan FranciscoUs HouseJeff BezosSan francisco baySupport companyApple educationApple app stores
Open in App

Related Stories

InternationalDog Attack in US: Police Officer Shoots at Pack of Pit Bulls as They Maul Man in Philadelphia; Disturbing Video Goes Viral

National‘Unwarranted, Unsubstantiated Claims’: India on the Washington Post Report Identifying RAW Official in Pannun Assassination Case

InternationalUS Shooting: Three Police Officers Shot Dead in Charlotte, North Carolina

InternationalTornado in US: Twisters Tear Across America's Heartland, Leaving Catastrophic Destruction in Many States; Disturbing Visuals Emerge

HealthBird Flu in US Cows: WHO Warns 'Extremely High' Mortality Rate in Humans As H5N1 Spreads to Milk

Technology Realted Stories

TechnologyWhatsApp working on these new features to improve your chat experience

TechnologyFSSAI terms reports of allowing 10x more MRL in herbs, spices 'baseless'

TechnologySouth Korea to take part in US-led cyber exercise amid rising security threats from North Korea

TechnologyNew Covid variant 'FLiRT' capable of evading the immune system: Experts

TechnologySouth Korean govt appears to shelve punitive measures against mass walkout by doctors