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Thursday, December 27, 2012

Microsoft Pressing Apple to Take Smaller Cut in iOS Sales


Apple has rejected the updated to Microsoft’s iOS SkyDive app because they aren’t paying Apple its 30% cut.Microsoft’s cloud based storage app wont be getting its update that allows users to purchase more storage through the app. The two companies are at serious odds over the commission fee. Microsoft has offered to removed all subscription options from the app, but no dice. This issue has spilled over into Office for iOS discussions.

Sources say that these negotiations have spilled over into subscriptions sold through Microsoft Office for iOS, which is expected to launch next year. Microsoft feels bringing its Office program would bring with it a significant value for the iOS platform and should get a discount on the fee. Apple is holding strong saying, “rules are rules.” They provided the following statement:

Apple provides customers and developers the largest selection and safest way to discover apps with our curated App Store. We’ve designed our rules to be fair and consistent for every developer — free apps and services are distributed for free, paid apps and services provide a revenue share to Apple. We’ve paid out over 6.5 billion dollars to our developer community who have created over 700,000 apps.

Will Office see the light of day now? Time will tell.

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