Apple sought to justify the charge on grounds that it has made investments to develop App Store. Citing market estimates, Congressional investigators projected Apple’s net revenue from the App Store (primarily from a fee of 15-30% on app developers) at $17.4 billion in FY20. The estimated cost of running App Store, meanwhile, is under $100 million. Developers, who appeared before the US Congress, said this fee is increasingly being passed on to consumers. “Given that smartphone app stores are the entry point to so many online services, it should not be discriminatory," he said.

Source: Mint October 09, 2020 01:07 UTC