How Elon Musk can bypass Apple’s 30 percent app store fee and still keep it

How Elon Musk can bypass Apple’s 30 percent app store fee and still keep it

Facebook
Twitter
LinkedIn

It seemed so last week Twitter owner Elon Musk could prepare for a showdown with apple inc AAPL but the billionaire later confirmed that everything is fine between the two.

A lot-lot offer: If Twitter is removed from Apple’s App Store, they both have a lot to lose, according to a Bloomberg columnist Markus Gurman said in its weekly “Power On” newsletter. If it comes to an “all-out war” with Apple, Twitter will likely struggle to survive, he said. The Apple author noted that the App Store gives Twitter access to 1.5 billion devices.

While Musk mentioned building his own phone and operating system to circumvent the problem, Gurman said the complexity of the endeavor makes it highly unlikely.

If Apple blocks Twitter, its top executives could testify on Capitol Hill for weeks, he said. The Apple brand could also take a hit as it is seen as politically biased, he added.

App Store Fee – Big Deal for Musk: Though Musk tried to draw attention to Apple’s censorship, his bigger concern may be the 30 percent fee the company’s app store charges, Gurman said.

Apple will likely give unprecedented leeway and withdraw the app if Twitter doesn’t pay the 30% commission, the columnist said. The 30% cut is important because Musk paid $44 billion to buy Twitter and now aims to fix the company and resell it or take it public within three years, Gurman added.

See also: Best Technology Stocks

Standoff is far from over: Although Musk and Apple CEO Tim cook After airing differences following the former’s outbursts, Gurman said he believed the standoff was far from over.

If Musk bypasses the app store fees by using his own payment system, Cook is left with no choice but to shut down Twitter.

But the Apple CEO might not want it to go that far, Gurman said. Apple’s resistance isn’t based on the money it would lose on Twitter fees, but on the likelihood that such a development would have a domino effect on other…

[ad_2]

Source story

More to explorer