Elon Musk challenges Apple’s 30% App Store commission

In yet another move to challenge Apple’s App Store policies, Elon Musk took to Twitter to voice his concerns about the 30 percent commission the tech giant imposes on in-app purchases. The billionaire entrepreneur revealed that he intends to discuss the matter with Apple’s CEO, Tim Cook, in hopes of securing a change in the commission structure.

App Store

Tech mogul Elon Musk promises to speak to Apple CEO Tim Cook to discuss App Store policies

At present, Apple takes a 30 percent cut from all in-app purchases made on iOS, including subscriptions sold by creators through platforms like Twitter. Musk proposes a revision to this system, suggesting that Apple should only apply the 30 percent commission on the portion of the payout retained by Twitter, not the entire transaction.

Moreover, Musk disclosed that Twitter itself is revising its own commission structure. Instead of taking a 10 percent cut from creators’ subscription revenue after 12 months, the social media platform plans to waive this fee for the first year. Furthermore, Twitter will only start deducting the 10 percent once a creator’s earnings exceed $100,000.

People from every corner of the world post incredible content on ๐•, but often live in tough circumstances, where even a few hundred dollars a month changes their life.

While we had previously said that ๐• would keep nothing for the 12 months, then 10%, we are amending that policy to ๐• keeps nothing forever, until payout exceeds $100k, then 10%. First 12 months is still free for all.

Apple does take 30%, but I will speak with @tim_cook and see if that can be adjusted to be just 30% of what ๐• keeps in order to maximize what creators receive.

apple app store

This recent spat between Musk and Apple is not the first of its kind. In the past, Musk likened Apple’s App Store fees to a “hidden 30% tax on the Internet” and even postponed the launch of Twitter Blue on iOS to circumvent these charges.

During a prior episode, Musk also claimed that Apple had threatened to withhold Twitter from the App Store. However, after meeting with Tim Cook at Apple’s headquarters, he concluded that it was a misunderstanding.

While Apple has historically held its ground against other high-profile disputes, such as those with Epic Games and Fortnite, it has occasionally made concessions for certain apps like Netflix, Spotify, and Kindle. In such cases, Apple permitted these apps to link to external websites for users to create accounts, but these decisions followed legal actions by developers and regulatory scrutiny in Japan.

The big question now is whether Apple will bend its policies to accommodate Elon Musk’s concerns. As one of the most influential figures in the tech industry, Musk’s push for change may potentially lead to a shift in the way Apple approaches its commission structure. Only time will tell how this tech showdown will unfold and how it may impact other developers within the App Store ecosystem.

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About the Author

Asma is an editor at iThinkDifferent with a strong focus on social media, Apple news, streaming services, guides, mobile gaming, app reviews, and more. When not blogging, Asma loves to play with her cat, draw, and binge on Netflix shows.

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