Facebook introduced its support for paid online events a while ago, and in true spirits to support the small businesses that were afflicted by the coronavirus pandemic, Facebook had announced that they could pay through Facebook Pay, and receive all the earnings from their events. Of course, the tax money will go to Facebook, but the overall earnings are supposed to go in the pockets of these small businesses. So, Facebook had requested Apple to waive off its 30% cut on in-app purchases on the App Store and give these recovering businesses a benefit, but Apple had dismissed the request at that time.
Now, however, Facebook has made another announcement that tells about the reversal of Apple’s decision. As per Facebook, online event fees will be processed through Facebook Pay and all the money earned through these events will directly go to the small businesses, minus taxes, as it was decided before. But now Apple has also decided that it will not receive its 30% cut until 31st December 2020, but this new rule still does not apply to game creators.
Although Facebook sounds as if it is the victor here, and even their announcement sounded much like a thinly veiled criticism on Apple. Joe Osborne, a Facebook spokesperson said that Apple has agreed to provide a brief respite for three months after which the struggling businesses will have to start paying Apple the full 30% App Store tax.
When the reason for exempting gaming creators from the new rule was asked, Vivek Sharma, the Vice President of Facebook Gaming said that Facebook had to get this much respite and concession, albeit temporary, with great difficulty.
It seems that he meant to say that Apple was not conceding at all to Facebook’s wishes and even this reprieve could be achieved because Facebook had to openly pressurize Apple to do so.
These jibes do not sound so decent. Although Facebook is trying to do something good, it is also going to receive a lot of attention too. After the closure of the Microsoft Mixer streaming service, and its partnering with Facebook Gaming, Facebook needs all the attention towards its streaming service now. Bringing down Apple is something that does not make much sense because Apple is a separate entity that is responsible for its own decisions and company rules.
Facebook went to such an extent to pressurize Apple that they even submitted an iOS app update stating that Apple takes 30% of this purchase in the payments section. Later, as per Facebook, Apple rejected the update because of the irrelevant information it had for the users.
About this whole scenario, Apple also had few words to exchange. It said that the App Store provides great business opportunities to different developers across 175 countries, and Apple has a fixed set of rules to provide a safe platform where these developers and businesses can grow and be successful. Now, Apple is giving a small respite to some businesses, and giving Facebook a chance to get these businesses into compliance with Apple’s rules and get them to agree to pay 30% of the cut to the App Store after the three months are over.
Read next: Facebook is criticizing Apple and arguing that the tech giant should allow its messaging service as a default option on iOS
Now, however, Facebook has made another announcement that tells about the reversal of Apple’s decision. As per Facebook, online event fees will be processed through Facebook Pay and all the money earned through these events will directly go to the small businesses, minus taxes, as it was decided before. But now Apple has also decided that it will not receive its 30% cut until 31st December 2020, but this new rule still does not apply to game creators.
Although Facebook sounds as if it is the victor here, and even their announcement sounded much like a thinly veiled criticism on Apple. Joe Osborne, a Facebook spokesperson said that Apple has agreed to provide a brief respite for three months after which the struggling businesses will have to start paying Apple the full 30% App Store tax.
When the reason for exempting gaming creators from the new rule was asked, Vivek Sharma, the Vice President of Facebook Gaming said that Facebook had to get this much respite and concession, albeit temporary, with great difficulty.
It seems that he meant to say that Apple was not conceding at all to Facebook’s wishes and even this reprieve could be achieved because Facebook had to openly pressurize Apple to do so.
These jibes do not sound so decent. Although Facebook is trying to do something good, it is also going to receive a lot of attention too. After the closure of the Microsoft Mixer streaming service, and its partnering with Facebook Gaming, Facebook needs all the attention towards its streaming service now. Bringing down Apple is something that does not make much sense because Apple is a separate entity that is responsible for its own decisions and company rules.
Facebook went to such an extent to pressurize Apple that they even submitted an iOS app update stating that Apple takes 30% of this purchase in the payments section. Later, as per Facebook, Apple rejected the update because of the irrelevant information it had for the users.
About this whole scenario, Apple also had few words to exchange. It said that the App Store provides great business opportunities to different developers across 175 countries, and Apple has a fixed set of rules to provide a safe platform where these developers and businesses can grow and be successful. Now, Apple is giving a small respite to some businesses, and giving Facebook a chance to get these businesses into compliance with Apple’s rules and get them to agree to pay 30% of the cut to the App Store after the three months are over.
Read next: Facebook is criticizing Apple and arguing that the tech giant should allow its messaging service as a default option on iOS
