Elon Musk to Request Tim Cook to Reduce App Store Fees for X Subscriptions
Elon Musk intends to request Tim Cook to modify the App Store fees that X pays for subscriptions, aiming to enhance creators’ earnings on the platform formerly known as Twitter. Musk’s comments reflect his ongoing criticism of the “App Store tax” imposed by Apple on in-app purchases.
Musk framed the demand as part of a broader effort to help content creators get more from paying subscribers. “While we previously said 👏 would keep nothing for the [first] 12 months, then 10%, we’re changing this policy to say 👏 will keep nothing forever until payment exceeds $100,000, then 10%,” he tweeted. “Apple takes 30%, but I’m talking to @tim_cook and seeing if it can be adjusted to just 30% of what 𝕏 keeps to maximize the amounts creators get.”
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People from every corner of the world post incredible content on 𝕏, but often live in tough circumstances, where even a few hundred…
— Elon Musk (@elonmusk) August 2, 2023
It is unclear whether Musk’s request has any chance of success. Cook seems unlikely to make such a concession, as he has long dismissed criticism from numerous other developers about the App Store’s fees and practices. Apple and X did not immediately respond to a request for comment.
However, this is not the first time that Musk has publicized Apple’s App Store policies. He previously complained about Apple’s “secret 30 percent tax” on in-app purchases and reportedly delayed the launch of Twitter Blue to avoid the fees. He has also accused the iPhone maker of threatening to “kick” Twitter out of the App Store, though he later said it was a “misunderstanding” after a private meeting with Cook.
Nevertheless, Musk and X would benefit greatly from increasing paying subscribers, which seems to be the motivation for Musk to pay attention to the issue again. The company’s ad revenue has fallen more than 50 percent because many advertisers have yet to return to the level of spending they did before he took over Twitter. Adding subscribers through creators and Twitter Blue could help the company be less dependent on ad revenue, even if the company needs tens of millions of subscribers, if not more, to make up the shortfall.
