Hacker News new | ask | show | jobs
by ceejayoz 5350 days ago
Apple doesn't use a similar model, they use the exact opposite model. They sell content at minimal profit to enhance the ecosystem for their devices, which they make a very tidy profit on.
2 comments

How so? From what I've seen the prices on the iTunes Store for books, movies and music are higher than Amazon.
Maybe for music, but is that still true for the App Store?
It's still pretty true for the App Store. Apple hit the $2B paid out to developers mark early this year, IIRC, which means about $1B of revenue for Apple for the entirety of the App Store's existence. Their latest quarter saw nearly $30B revenue, so it's still a pretty tiny part of their business.
Apps is a special case were they make a nice profit from both selling apps that they haven't created and selling devices that run said apps.