Apple Tweaks App Store Revenue Model With Subscription Incentive
- Developers can pay for apps to appear higher in search results
- Apple to reduce its revenue cut after one year’s subscription
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Apple Inc. is introducing new ways to generate revenue from apps by offering incentives to encourage subscription-based models and charging developers for prominent placement within the U.S. App Store search.
It’s the latest move by Apple to offset slowing iPhone sales by boosting revenue from web services. Marketing head Phil Schiller was placed in charge of the App Store in December, helping boost sales from services, which also include Apple Music, iTunes and iCloud, by more than 23 percent in the six months through March.