Financial Times: Apple Reconsidering 70/30 Split With Media Companies

Tim Bradshaw and Shannon Bond, reporting for the FT:

Apple is planning a departure from the pricing formula that has defined the economics of digital media for a decade, which would cut the 30 per cent fee that media companies pay on subscriptions.

The iPhone maker is discussing new commercial terms with media companies, people familiar with the matter said, to change the 70/30 “Apple tax” pioneered by Steve Jobs when its late founder launched the iTunes music store in 2003.

Unclear what the new terms would be, but interesting still.

★ Friday, 5 June 2015