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by etchalon 1006 days ago
30% is not exorbitant when comparing to say, Walmart, who purchase products wholesale for up to 50% less then retail pricing (depending on the product category).

In fact, when 30% was announced, it was considered generous compared to what developers were paying Best Buy, CompUSA, mobile carriers, etc before that.

2 comments

Physical store comparison makes no sense. To stock your product it actually takes up physical space in a store that is limited and could be used to sell something else, if it doesn’t sell they have to pay to destroy it or send it back to you.

I understand storing/downloading binaries isn’t free. But it’s nowhere near the same logistically.

Sure, but when the 30% was announced most software for the Mac was purchased on the developer's website with a credit card. Not bought at retail store in a cardboard box.

Margins on digital goods are not bound by the same rules of economics as margins for physical retail sales.