[brookst]

I always find it funny when people try to use "rent-seeking" as a pejorative.

Like, yes, someone invested a lot of capital up front and hopes to make a profit by selling time-limited access to what they bought, thereby making the goods accessible to people who don't have the up-front capital.

I can see preferring to own, but as a moral position, "rent-seeking" is synonymous with "risk-taking" and "access-providing."

For my part I am very happy to be able to rent a digital movie for $4 rather than buying a DVD for $20. The risk to me is lower and I'm more likely to try movies I wouldn't take a $20 chance on.

[Dylan16807]

"Rent-seeking" is when there isn't risk. If you set up a new investment in a competitive market, and sell access, that's not rent-seeking.

In this scenario, the predatory pricing is a key aspect of how it becomes rent seeking, and a well-functioning market would not have predatory pricing. And the root issue is tied in to how current US copyright law has major flaws.

[Gigachad]

Wasn't rent seeking meant to be referring to a party which wedges itself between a buyer and seller and skims a fee off the transaction despite not really adding much value but in some way has made themselves difficult to bypass.

Someone making content and renting it out wouldn't count, while say the App Store fee would.

[brookst]

Kind of? You’re buying into the rhetoric though.

As a developer, I made a couple of hundred thousand dollars from the Apple App Store. You know how much value the App Store provided me? Way, way more than the 30% I paid (this was years ago).

Without a portal that could direct millions of people to find my app, I probably would have made tens of dollars.

So we can debate fair pricing, but the idea that aggregators don’t provide any value isn’t an indictment of aggregators, it’s a confession of not understanding the business.

[Turing_Machine]

> Without a portal that could direct millions of people to find my app, I probably would have made tens of dollars.

Good point. Another often unappreciated point is that it's way easier to convince people to give their credit card to Apple than it is to convince them to give it to some random web site. Especially if they've already given their credit card to Apple, as many of them have.