Apple In-App Purchase Policy Has Business Model Implications

On one hand, Apple's policy on in-app purchasing gives developers a new way to create revenue, by selling things inside the app. On the other hand, Apple's 30-percent share of the revenue will be high enough to discourage some sales altogether.

The policy does create the ability to sell subscriptions, and in some cases will make it easier for developers to create sales opportunities inside their apps. But the policy is not "all upside" for all participants in the ecosystem. Some developers might find the 30-percent revenue share for in-app purchases greater than the entire profit margin for some products.

Apple obviously wants to keep in-app sales channeled through its own payment processes. App suppliers sometimes will benefit, sometimes will be hurt. But the policies are consequential.

Apple In-App Purchase Policy Has Consequences