Apple’s Arcade Seeks to Upend Another Business Model
The company wants people to pay $5 a month for video games they have been getting free, but without ads or in-app purchases.
Would you pay $5 a month for mobile video games without ads or in-app purchases?
Photographer: David Paul Morris/BloombergOf the refreshed or new products that Apple Inc. talked about at its extravaganza this week, I’m most curious about Arcade, the $5 monthly subscription to video games for iPhones and iPads.
The success of Arcade hinges on Apple’s ability to upend an established model for what are known as casual mobile games. These diversions — think Pokemon Go or Clash of Clans rather than lavish Xbox or PlayStation video games — tend to be free to download and play. The companies make money by showing advertisements in the games or persuading users to buy digital trinkets like an advanced virtual weapon.