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Apple Announces In-App Subscription Model for iPhone App
Tuesday, March 17th, 2009 at 1:31 PM - by Bryan Chaffin
Apple announced Tuesday a new subscription model for iPhone apps the company is calling In-App Subscriptions. The model allows developers to charge for additional content, including such things as new levels for a game, additional cities for a city guide, or renewing one's subscription to a magazine, all from within the app without having to return to the App Store.
The company made the announcement at its iPhone 3.0 preview event in Cupertino. According to Engadget, Apple executive Scott Forstall also stressed that the subscription model would only be available in paid applications, thus preventing users from being tricked into downloading "free" apps whose content has to be unlocked.
The subscription system will use iPhone's standard popup windows, and subscription/new content charges will go through your iTunes account. Apple will use the same revenue split as with any other iPhone app where the developer gets 70% of revenue, and Apple keeps the other 30%, out of which the company pays all fees associated with selling the app.
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