Now Readability is in Trouble With Apple

By  |  Monday, February 21, 2011 at 9:26 am

Readability, the cool minimalist reading interface for Web content, is built into Apple’s Safari. And its creators were planning to bring a version to the iPhone and iPad. But Apple has rejected the iOS version on the grounds that that it uses a system other than Apple’s In-App Purchases to obtain content. Even though Readability isn’t selling content–it’s a subscription service that lets you read free content provided by others. Bottom line: It looks like Apple expects anyone with an iPhone/iPad app that involves ongoing fees to (A) offer In-App Purchases; and (B) turn 30 percent of revenue from In-App Purchases over to Apple.

It’s increasingly clear that we really don’t know yet what the upshot of Apple’s new 30-percent-fee will be: There are many cases where the math just doesn’t work. Maybe Apple will reduce or rescind the fee, at least in certain cases. Maybe third-party developers will radically rework their business models, or somehow convince book publishers and music companies to take a much smaller cut. But something big is going to happen in between now and June 30th, the deadline for amending apps to follow the new rules.

 
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4 Comments For This Post

  1. The_Heraclitus Says:
    February 21st, 2011 at 2:41 pm

    "It’s increasingly clear that we really don’t know yet what the upshot of Apple’s new 30-percent-fee will be:"
    —————————————————————
    If kept as a long term policy, it will mean losing sales to competing h/w devices.

  2. David Says:
    February 21st, 2011 at 3:13 pm

    Please. The customers don't care. And Readability charges 70/30. It's okay for them, but wrong for Apple?

    And strictly speaking, all any of these guys HAVE to do is *offer* in-app purchasing. They can set up subscriptions(and their own payment systems) on their websites and pay Apple nothing.

  3. David Says:
    February 21st, 2011 at 3:18 pm

    Please. The customers don't care. And Readability charges 70/30. It's okay for them, but wrong for Apple?

    All they have to do is include in-app purchasing. That's it. They can set up subs(and their own payment system) on their website and give Apple nothing.

    What's the problem?

  4. Chip Says:
    February 21st, 2011 at 3:40 pm

    We have two companies here that provide avenues for content creators to reach end-users.

    Readability takes a 30% cut of sales and gives the remaining 70% back to the originator.
    Apple takes a 30% cut of sales and gives the remaining 70% back to the originator.

    Readability is hacked off at Apple's business model.

    Does anyone else see the irony?