Cool Leaders

7 Reasons Every iPhone User Should Be Worried About the App Store’s 30% Tax

By Pavel Durov

I hope you all liked the latest Telegram update – our 8th major update this year. This new version of Telegram could have become available to you several days earlier. But it didn’t, because of Apple’s desire to control every mobile app in the world. Few iPhone users realise how the policies of Apple make their lives worse. That’s why I decided to write the post below.

In the last few months, many prominent app developers voiced their disapproval of the App Store policies Apple imposes on all apps. Why should that concern you if you own an iPhone? Here are 7 reasons.

HIGHER PRICES. Apple’s 30% commission makes all apps and digital goods more expensive for you. It goes on top of the price you pay to developers for any services and games you buy on your phone. You pay more for every app, even though Apple already charged you a few hundred dollars more for your iPhone than it cost to make. In short, you keep paying even after you have paid.

CENSORSHIP. Some content in apps like Telegram is unavailable to you because Apple censors what is allowed on the App Store, which it fully controls to enforce the 30% tax. Apple even restricts us – app developers – from telling our users that certain content was hidden for iPhone users specifically at their request. Apple should realize how ridiculous their attempt to globally censor content looks: imagine a web browser deciding which websites you are allowed to view.

LACK OF PRIVACY. In order to install an app from the App Store, you must first create an Apple account and log in using it. After that, every single app you download and every push notification you receive is tied to your account, making you an easier target to track. Since the main reason you have to use an Apple account to download an iPhone app is Apple’s desire to enforce their 30% commission, the cost of their greed also includes your private data.

DELAYS IN APP UPDATES. You get new versions of your apps several days or weeks after they are actually ready, because Apple’s review team is notoriously inefficient and often delays approval for no apparent reason. You would think Apple could use the billions of dollars it receives from third-party apps to hire additional moderators. Somehow they are unable to do even that, and us – big apps like Telegram – typically have to wait several days or even weeks to publish updates.

FEWER APPS. Apple’s 30% commission on apps goes on top of all the other expenses developers must pay for: government taxes such as VAT (~20%), wages, research, servers, marketing. Many apps would have been net profitable in a world without Apple’s 30% commission, but being forced to surrender 30% of their revenue to Apple makes them unsustainable. As a result, many of them go bankrupt and lots of great apps you could have enjoyed just don’t exist.

MORE ADS IN APPS. Because Apple makes selling premium services and accepting donations one-third less meaningful for developers, many of them are forced to show ads in their apps in order for their companies to survive. Apple’s policies skew the entire industry towards selling user data instead of letting them adopt more privacy-friendly business models like selling additional services to their users.

WORSE APPS. Billions of dollars are taken from developers who could have otherwise spent those funds on improving the quality of the apps you use every day. Instead, this money rests idly in Apple’s offshore bank accounts and does nothing for the world, while app developers struggle to find resources for the research and development the world needs.

The situation is so bad that one would expect Apple’s 30% cut to be unsustainable. Yet it’s been around for more than 10 years and is still there. In my Telegraph post here, I’m explaining how Apple has been able to trick consumers and regulators into inaction for so long.

History

Americans of all races and classes coming together to fight against racism

By Robert Redford

“I have a lot of vivid memories of growing up in Los Angeles in the 1940s, but one in particular keeps coming back to me today, in these troubled times. I remember sitting with my parents — actually, my parents were sitting; I was lying on the floor, the way kids do — and listening to President Franklin Delano Roosevelt talking to us over the radio. He was talking to the nation, of course, not just to us, but it sure felt that way. He was personal and informal, like he was right there in our living room.

I was too young to follow much of what he was saying — something about World War II. But what I did understand was that this was a man who cared about our well-being. I felt calmed by his voice. It was a voice of authority and, at the same time, empathy. Americans were facing a common enemy — fascism — and FDR gave us the sense that we were all in it together. Even kids like me had a role to play: participating in paper drives, collecting scrap metal, doing whatever we could do. That’s what it was like to have a president with a strong moral compass. It guided him, gave him direction, and helped him point the nation toward a better future.
Maybe this strikes you as simple nostalgia. I’ve got a touch of that, sure (who doesn’t right now?). But I’m too focused on the future to sit around pining for the old days. For me, the power of FDR’s example is what it says about the kind of leadership America needs — and can have again, if we choose it.

But one thing is clear: Instead of a moral compass in the Oval Office, there’s a moral vacuum. Instead of a president who says we’re all in it together, we have a president who’s in it for himself. Instead of words that uplift and unite, we hear words that inflame and divide. When someone retweets (and then deletes) a video of a supporter shouting “white power” or calls journalists “enemies of the state,” when he turns a lifesaving mask against contagion into a weapon in a culture war, when he orders the police and the military to tear gas peaceful protestors so he can wave a Bible at the cameras, he sacrifices — again and again — any claim to moral authority.

Another four years of this would degrade our country beyond repair. The toll it’s taking is almost biblical: fires and floods, a literal plague upon the land, an eruption of hatred that’s being summoned and harnessed, by a leader with no conscience or shame. Four more years would accelerate our slide toward autocracy. It would be taken as free license to punish more so-called “traitors” and wage more petty vendettas — with the full weight of the Justice Department behind them. Four more years would mean open season on our environmental laws. The assault has been ongoing — it started with abandoning the historic agreement that the world made in Paris to combat climate change, and continued, just last month, with using the pandemic as cover to let industries pollute as they see fit. Four more years would bring untold damage to our planet — our home.

America is still a world power. But in the past four years, it has lost its place as a world leader. A second term would embolden enemies and further weaken our standing with our friends.

When and how did the United States of America become the Divided States of America? Polarization, of course, has deep roots and many sources. President Donald Trump didn’t create all of our divisions as Americans. But he has found every fault line in America and wrenched them wide open.

Without a moral compass in the Oval Office, our country is dangerously adrift. But this November, we can choose another direction. This November, unity and empathy are on the ballot. Experience and intelligence are on the ballot. Joe Biden is on the ballot, and I’m confident he will bring these qualities back to White House.

I don’t make a practice of publicly announcing my vote. But this election year is different. And I believe Biden was made for this moment. Biden leads with his heart. I don’t mean that in a soft and sentimental way. I’m talking about a fierce compassion — the kind that fuels him, that drives him to fight against racial and economic injustice, that won’t let him rest while people are struggling.

As FDR showed, empathy and ethics are not signs of weakness. They’re signs of strength. I think Americans are coming back to that view. Despite Trump — despite his daily efforts to divide us — I see much of the country beginning to reunite again, the way it did when I was a kid. You can see it in the peaceful protests of the past several weeks — Americans of all races and classes coming together to fight against racism. You can see it the ways that communities are pulling together in the face of this pandemic, even if the White House has left them to fend for themselves.

These acts of compassion and kindness make our country stronger. This November, we have a chance to make it stronger still — by choosing a president who is consistent with our values, and whose moral compass points toward justice.”