Elon Musk to Talk With Tim Cook to Reduce Massive ‘Apple Tax’

Elon Musk has once again raised the issue of the “Apple tax.”

In a recent post on Wednesday, the billionaire expressed his intention to discuss the matter with Apple CEO, Tim Cook. The focal point of the conversation will be to explore the possibility of adjusting the current, and honestly ludicrous, 30% commission that Apple levies on in-app purchases.

At present, Apple enforces a 30% cut on all in-app transactions made on iOS, including subscriptions sold by creators through platforms like Twitter or X. Musk advocates for a change in this policy, suggesting that Apple should only take a 30% commission on the portion of the payout retained by Twitter, rather than the entire transaction amount.

Additionally, Musk revealed that Twitter is revamping its approach to commission cuts from creators. Instead of taking 10% of subscription revenue after 12 months, the new policy entails Twitter only applying a 10% cut once payouts surpass $100,000. This means that for the initial 12 months, Twitter will not deduct any percentage from creators’ earnings.

It’s worth noting that in the past year, Musk likened Apple’s fees to a “hidden 30% tax on the Internet” and postponed the launch of Twitter Blue on iOS to avoid these charges imposed by Apple.

During the same period, Musk made a statement claiming that Apple had issued a threat to “withhold” Twitter from the App Store. However, after a personal visit to Apple’s headquarters to meet with Cook, he clarified that it seemed to be a misunderstanding.

The question now remains whether Apple will modify its policies to accommodate the concerns raised by the billionaire. Despite facing challenges from entities like Epic Games and Fortnite, Apple has, in some instances, granted exceptions to certain apps such as Netflix, Spotify, and Kindle.

These exemptions allowed them to link to external websites for user account creation. However, even this move was implemented in response to legal pressures from developers and investigations conducted by Japanese regulators.

Via: The Verge



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