Published in Mobiles

Apple and Googe App stores face tax backlash

by on23 August 2018


Netflix, Epic and Valve revolt.

A backlash against the amount of cash Apple and Google are demanding from apps is gaining steam.

Netflix and video game makers Epic Games and Valve are among companies that have recently tried to bypass the app stores or complained about the Apple and Google tax.

While this has been going on for a while, it is starting to look like the big players have had enough and want to kick Apple and Google in their bottom lines. The companies take up to 30 percent of the money consumers pay developers.

Now it seems that the companies are losing interest in paying Apple and Google billions and are thinking of new ways to get clients signed up which does not make other companies rich.

Bloomberg reports that while the companies won praise for helping to build an app economy that’s projected to grow to $157 billion in 2022, from $82 billion last year, more recently, smartphones and apps have become so important for reaching customers that these app stores have been criticized for taking too big a share of the spoils.

Rather than supporting innovation, Apple and Google are being seen as tax collectors inhibiting the flow of dollars between creators and consumers.

Last modified on 23 August 2018
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