Twitter’s proposed Twitter blue service, which was supposed to cost $8 per month, is reportedly going to cost $11 per month on iPhone in order to account for Apple’s 30 per cent cut on in-app purchases, according to The Information.
According to the report, the subscription plan will cost $7 per month if purchased online. However, it will be more expensive on iOS to compensate for Apple’s App Store fees. Notably, Apple charges developers 30 per cent for the first year of subscription, but drops to 15 per cent after that.
This follows Musk’s recent online feud with Apple over the 30 per cent commission it receives. Musk then chastised Apple for accusing them of opposing “free speech in America,” and accused the tech behemoth of threatening to “remove Twitter from its App Store.”
Soon after the dispute, Twitter CEO Elon Musk and Apple CEO Tim Cook met in Apple Park and agreed that there had been a misunderstanding about Twitter allegedly being removed from the App Store.
Because the iPhone is more expensive, Twitter will be able to pay Apple’s 30 percent cut of in-app purchase proceeds without significantly impacting Twitter’s bottom line. Because of the price difference, most customers will most likely subscribe via the web, allowing Twitter to avoid in-app purchase fees.
The sources for this piece include an article in TechCrunch.