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Paddle announces iOS IAP alternative that avoids Apple's 30% fees (paddle.com)
197 points by pimterry on Oct 7, 2021 | hide | past | favorite | 148 comments



>Access to customer data See customers’ emails, so you can communicate with them for upsells, offers and product news.

As a seller, you understandably want that valuable buyer info.

But as a customer, I'd deliberately avoid Paddle to keep my privacy and avoid spam. If anyone thinks that Paddle's 10% fee might mean the final in-app purchase price would be lower which would make it worth the tradeoff to give my data, I'm not so sure about that since an interpretation of the ruling still gives Apple the right to get 30% via Paddle: https://9to5mac.com/2021/09/14/apple-can-still-charge-its-ap...

If anyone thinks getting a % of someone else's payment stream is unusual, consider how the "360" record label deals[1] with musicians are structured. All the musician's revenue (CDs, streaming, t-shirts) regardless of payment method (box office or website selling tshirts) is split with the record label. Why is that "unfair" situation even possible?!? Because the musician signed a contract agreeing to the revenue split.

[1] https://en.wikipedia.org/wiki/360_deal


I’m using Paddle for my MacOS app, Lunar (https://lunar.fyi) and in my opinion they are serious enough about privacy.

For example when you buy a license you are by default opted-out of marketing or update emails [0]

And the upsell feature isn’t functional by default for everyone, you need to contact them to discuss a “moving upmarket” strategy. [1]

[0] https://cln.sh/llVLV2

[1] https://cln.sh/6lqYc1


I used Paddle once, many years ago, with a unique "+" address, and still get spam to that address to this day. These days I don't buy software if Paddle is the only option. I always thought the name Paddle was something to do with the flood of spam you can expect.


I’d say that’s just a bad seller who would have spammed you no matter what payment processor you would have gone through.

Until now, I’ve used Stripe, Paypal, Paddle and some local Romanian company and all of them provided me the email of the customer where it was available.

It’s up to the seller to abide by the rules, the platform isn’t at fault here.


Unrelated spam from thousands of "companies".

> I’d say that’s just a bad seller who would have spammed you no matter what payment processor you would have gone through.

Except, of course, it has NEVER happened with the thousands of apps I've bought through Apple's official stores. Not once.


Yes, you won’t see that happening when buying on Apple app store because they don’t share your email.

I was mostly talking about avoiding Paddle as a payment processor, the app store isn’t a payment processor so we can’t really compare them.

I’d still say the spam came from a seller sharing your address, or leaking it by mistake, not from how Paddle works.

If your issue would be Paddle related and recurrent, I don’t think they would still be in the business as trust is very important when handling money and customer data and soon no one would choose them anymore.


The fundamental issue here is that developers, at scale, cannot be trusted. You can trust specific ones to do the right thing but you can’t trust them all. Apple sees themselves as responsible for protecting all of their customers from this reality. Others call them “gatekeepers”. The example here is sharing an email address with developers. There are other examples like “no background processes”. Developers hate this becuase they see _themselves_ as trustworthy but the reality still stands: developers at scale cannot be trusted to do the right thing.

Now let me add my opinion on this: Should we have a platform that allows consumers to make a single choice ie) choose Apple, and by proxy never needs to trust developers at scale? Absolutely. Many people, especially developers, would rather trade some developer flexibility (multiple payment processors) and push some responsibility onto Apple’s users to continue making an opt-in choice for Apple. I choose them for my phone. I just them again for in-app purchases. Continue making choices in support of Apple for each layer of the system. I am not really sure what this buys the consumer. What is Apple blocking from you by forcing you to make that choice once, and then being forced to “never trust developers at scale” for the remainder of being an iPhone customer. Is it blocking “innovation”? Some people think that. I don’t see it. I see a company that pushes the hardware envelope with sensors, battery, operating system, etc, and works hard to give developers access to THOSE things. Maybe not a users email address, but is that really innovation anyway? I looked at this Paddle payment processor and they have some things like “pause subscription”. Is pause really an innovation that is being blocked by only using Apple’s system? Google has supported pause for a long time. Users want it, but to developers really want users pausing their subs? probably not.


> Should we have a platform that allows consumers to make a single choice ie) choose Apple, and by proxy never needs to trust developers at scale? Absolutely.

I view any attempt at using regulation to prevent or block or eliminate this valid choice as the actually anti-competitive play.


110%. Glad to see someone out there also finds this super ironic


That’s the thing though, I use apple IAP in my app and I don’t have any clue what the user’s email is. They keep it secret. It’s to the point where I actually advertise that as a benefit of my app, and people mention it in reviews as a reason they chose my app over others. People are tired of their information being sold up the river.


>I’d say that’s just a bad seller who would have spammed you no matter what payment processor you would have gone through

Except for Apple who would not have shared my address. Bad sellers on the platform is the platforms problem.


> Except for Apple who would not have shared my address.

Can you prove this?


>Can you prove this?

If you implement IAP with Apple's billing system, Apple doesn't share your credentials with the seller. There's nothing to prove, you can implement it yourself if you like.


How does that prove that they aren't retaining or sharing that info with others?


The payment processor could have insulated your data. But with paddle it sounds like sharing your data with the vendor is one of their selling points


As a user I would say the platform is at fault, because the seller shouldn't be trusted with the information.


Except the platform can help enforce the rules, as Apple does.

And the platform can help the customer gain additional privacy from the seller, by offering them “burner” style e-mail addresses for their purchase.

I would submit that any platform which doesn’t do these things is “at fault”, at least from the customer point of view.


Precisely. I saw that and was instantly glad Apple is a middleman for that particular point. For all their criticisms, they seem to be one of the companies that gets that.

If it's a service I use enough to possibly consider an upsell opportunity, I'll be aware of that opportunity through organically discovering it during my use of the service or through broader community discussion regarding the service. In all other cases, I don't want unsolicited contact.


> But as a customer, I'd deliberately avoid Paddle to keep my privacy and avoid spam.

I thought the same initially - but come on, this is the situation when you buy anything from anywhere else except the AppStore and we all get on with it just fine. You just decide if you trust the seller or not and block their emails if they're annoying.


Saying that - I just received an email from Apple reminding me that two of my subscriptions are coming up in a month and letting me know i could cancel them before that - so there are big benefits to having someone in your corner, in the middle.


[flagged]


Would you please stop posting unsubstantive comments, fulminating, and posting flamewar comments to HN? We ban accounts that do this sort of thing and you do it a lot. That's not cool. I don't want to ban you but we've had to ask you this many times already, and at some point the slack is going to run out. Please read the rules and stick to them: https://news.ycombinator.com/newsguidelines.html.


No it isn't. It's like Apple asking you if you want to keep paying for a service you voluntarily signed yourself up for. You can set your own calendar reminders about subscriptions you may not want in perpetuity, but it's entirely on the small business to keep me as a customer.

Let's not pretend that the "poor small guys" don't sometimes use subscription models with automatic renewal specifically because they're hoping people will keep paying them after the product is no longer useful because they forget to cancel their service. This is a known dark pattern I've seen complained about everywhere (including here).


>, this is the situation when you buy anything from anywhere else except the AppStore and we all get on with it just fine.

No it isn't in my case because I don't use my Apple email anywhere else but Apple. It stays clean with zero spam in the inbox. Many services hide email addresses from sellers including ebay, Etsy, Craigslist, Amazon, etc.

The key is that the granularity and quantity of managing email spam is reduced when all those intermediary platforms shield customer email addresses. I do have my own email domain and I can create throwaway email addresses which I use with many other websites but that's irrelevant if Apple decided to share my email with App Store developers.

>You just decide if you trust the seller or not and block their emails if they're annoying.

Why would I want the additional "mental tax" and decision tree of trust/distrust potential seller and then do extra digital housekeeping of blocking future spam? I'm still not paying any less (the court ruling said Apple is still entitled to 30% even with non-Apple payments) -- so what exactly do I gain? It looks like Paddle offers more benefits the seller but no compelling advantages to the buyer.


Paddle is not two way marketplace like ebay. It's a payment gateway focused on digital products. It's like Stripe and it's even harder to get in to use paddle because there are human checks where you have to prove what you are selling is allowed.

What companies do with the emails is... up to them. But that goes for any payment processor.


>Paddle is not two way marketplace like ebay.

Yes I know that but that's not relevant to my point. My point is to emphasize the "hide the email" advantages.

I should have wrote my sentence like this:

- Many services (including many non-payment processor gateways) hide email addresses from sellers including ebay, Etsy, Craigslist, Amazon, etc.

>What companies do with the emails is... up to them. But that goes for any payment processor.

Not it does not for _any_ payment processor. E.g. Apple payment system does not reveal email addresses while PayPal does. Buyers then complain about followup spam because they paid via PayPal.

The assertion of "what companies do with the emails is up to them" is true and yet it is missing the crucial point of the conversation. The distinction is a layer above that: systems that don't give the companies email addresses at all.

The later text revision by Paddle that "sharing email is opt-in" is still suboptimal for consumers because that's just one more tedious item to doublecheck. I.e. is there a UI dark pattern that was silently switch from off to on. Apple payment eliminates that mental tax.


I want sellers to be able to reach me when I buy from them. If something goes wrong, or something happens, it is absolutely essential that they are able to contact me.


Having had an app in the top #10 for a year or so, I can say this is very important, and very difficult with the current model.

Them contacting you isn't the issue though, you can put that in the app - but if you want to contact them because you messed something up, much harder.

Another annoyance is refunds. Sometimes you just want to refund someone. Maybe because you messed up somehow, or just to be nice. All you can do is send them to beg apple for one which makes for crap customer service.


That’s why Apple’s proxy system is a good solution. Sellers can get in contact with you, but don’t have your real email address.


No, that lets the sellers contact apple who may or may not choose to forward the message to me. I want the sellers to contact me, since I'm doing business with them. What happens when apples proxy server goes down, or they start charging money for it? Very problematic for everyone involved if apple can keep the contact information of your customers hostage.


It’s very problematic for businesses 365 days a year, yes — but for your customers, it’s problematic no more than 1 day a year at most. And that is a huge win for us customers.


There's a world where I imagine apple tries to compete here, and says "yes, you pay a bit more through apple, but we don't give away your email address" etc, etc. Consumers could vote with their wallet what they care about.

In practice, my bet is that Apple uses their opaque app approval process and ability to change the rules at any time to make it arbitrarily hard for apps that use paddle to stay in the app store.


I don't know if I'd characterize a price that's 10-25% more expensive than the alternative as just "a bit more."


Right, I mean you know Apple could make the case to consumers that the premium is worth it, or maybe drop the price a bit. You know, normal competition things.

I guess my point is that I doubt they'll do anything of the sort.


> Access to customer data See customers’ emails, so you can communicate with them for upsells, offers and product news.

It looks like they've updated the text since this comment. That bullet point now says:

> Access to customer email for support

> See customers’ emails, so you can communicate with them for billing support.

Harvesting emails from purchases for pure marketing is GDPR-dubious at best, and Paddle's main market is the EU (because it handles EU VAT in a way that Stripe cannot), so I suspect they're backing away from any implication that you could ever actually send marketing to IAP customers legally.


The subscription section also seems wrong. Apple has subscription support. I can start and end my subscriptions at any time.


Additionally, Paddle is completely ignoring that Apple's 30% doesn't only include payments. It includes everything required to make those in-app purchases function - hosting, downloads, updates, management, reviews, localization, etc. All this would mean is that Apple will get to collect that money from 2 sources instead of one which complicates the situation for both developers and for customers.

Until a judge rules that Apple doesn't have control over its own App Store (which the Epic ruling explicitly reaffirmed that it does), this is only going to get silly and bloated.


The hosting, downloads, updates, reviews are all covered already by the $99/yr developer fee, because this is what is charged for that to free apps without IAPs.

Apple is just using their anticompetitive stance to charge 10x more than the standard industry rate for payment card processing.


No it's not... In-app purchases also require hosting, download, and update services. The apps themselves do but the purchases do also. The $99/yr only covers the license to develop an app.


> …deliberately avoid Paddle to keep my privacy…

Can apple still dictate things about the payment systems, even if they can’t force you to use theirs? As a consumer, I sure hope apple forces some kind of privacy standards compliance.


> Can apple still dictate things about the payment systems, even if they can’t force you to use theirs?

I read through the decision when it first came down, and while Apple was blocked from restricting third-party payment systems, there was no language preventing Apple from mandating their own payment system alongside third-party options.

I wouldn't be surprised if Apple dropped their 30% cut for their own system, but kept a 30% commission for third-party systems.


How would Apple know the volume charged via 3rd party systems?


Spam? Who cares outlook will learn to ditch that in a few weeks.

Apple is just another parasite middle man and the defenders are sounding like brainwashed fan boys.


After I supported an Indiegogo/Kickstarter campaign somehow my email has been sold on to other campaigns. I now get hundreds of emails a year promoting other campaigns. None of which Outlook can block since it’s from unique companies and all of which I have to manually unsubscribe from.

That kind of spam is insidious and it’s just the tip of the iceberg for what companies do with your data.


That is already illegal. Report the companies. Apple has absolutely nothing to do with this.


You can engage in transactions using their proxy service so the company the company doesn’t get your real email address. “Report the companies” to who? Where? I’d rather not be in that situation in the first place, it’s a huge waste of my time.


So you'd really rather hide behind Apple's goodwill instead of simply having the government regulate things, as they're already doing? Simply contact the relevant watchdog in your country.


Why would I let someone continuously dump garbage into my life while I wait for a government regulator to respond to my complaint? I would rather not have the problem in the first place.


I'm also not comfortable about the sharing of my email AND other data. I like using REvolut/Apple pay for this very reasons.

Also I don't understand why this is some new kind of company, isn't this just another payment gateway like any other ?

Seems they've just branded off the back of the Epic // Apple ruling ?


> Also I don't understand why this is some new kind of company, isn't this just another payment gateway like any other ?

Paddle is an established company, they've just added a new mobile checkout feature.


Okay fair enough, so it still doesn't seem that newsworthy imo as they will all be doing the same if not already


> But as a customer, I'd deliberately avoid Paddle to keep my privacy and avoid spam

You make it seems like, this is an issue. But every service that you use today has your email, Amazon, your ISP, Apple, .. everyone.

If you don't want to receive email, use a secondary email to subscribe to services and you will not be annoyed with unsolicited emails


Yeah, or we could just keep things exactly the way they are and not fuck with it because it's actually better for me as a consumer.


Paying 30 percent extra is not unilaterally better for the consumer.


It is if I get all the benefits of paying what that 30% covers.


Nope, to take a current exemple which many people loathe for one reason or another, even EPIC Games Store does not transfer your email to the seller by default, and the checkbox do to do so in checkout is left unchecked by default.


Paddle et al. can implement an email forwarder so the emails go to user3492@proxy.paddle.com if privacy is truly a concern. Plus paddle has arguably much less info on yourself to be worried. I don't think the situation with record labels is even remotely comparable -- apple & google do very little to help devs.


I see people here talking badly about Paddle highlighting that access to customer data is a feature. I think that many here don't realise that without customer data, they are not your customers. They're Apple customers. If you decide to move away from the App Store, or launch a product elsewhere, you have no way of contacting them.

I'm not in the business of selling apps, but I enjoy writing books. The best way to sell books, is to build a mailing list of fans so that you can reach them when you have another book ready. It is not about reaching people who do not want to receive your comms. It is about having a direct and reliable connection to people who actually want to engage with you.

There is no easy way to do that in the App Store. It is important that people own their own platform, that includes being able to know who your customers are.

I'm not saying to spam people who purchased stuff from you with upsells, that is B.S. and I hate it as much as everyone else. But being able to reach out to them when there is a new version of an app, or something useful to say about whatever they purchased is valuable.

The hardest thing this day is not how to build a great app or how to write a great book. Our main challenge is getting noticed amid all the algorithmic shenanigans. Being blind about who purchase your stuff just adds more friction to that challenge.


I see you missing the point here. As a consumer, I don't want to be your customer.

When I buy stuff at the grocery store, I'm not the customer of the companies that produce food. Similarly, I just want to get your app, not become a marketing target for dozens of software vendors with varying privacy and data retention policies. I don't want you to upsell me on anything, it's literally the opposite of friendly to me as a consumer.


That is what I said. It is not about upselling stuff for those who do not want it. It is about making it easier to connect with people who do. This makes sense for some situations but not for others. The grocery shop example you mentioned is great, I agree with you there. People who don't want to be contacted, should not be contacted.

I'm not saying that the way Paddle implemented it is the correct way forward. Personally, I'd rather there was an opt-in option to share data on the payment form. This way, if you want to be in contact with the seller, you can flag it and the default option is not sharing. This is simple and would allow you to remain "not a customer" while letting those who want to be in touch to have an easy path forward. This is not possible inside the App Store.

The App Store model —and Amazon and others as well— make it really hard for you to find who the customer is. That is not because they're thinking of you. They're doing that as yet another vendor lock-in mechanism to prevent the seller from leaving or doing any kind of business with that customer away from them.

As ~NhanH said in another comment in this thread, you can put a form on an app. Yes, you can jump through a lot of hops, and maybe Apple will allow it through. It is death by a thousand paper cuts. From their PoV it is their customer, not yours. From their PoV, the seller is a customer as well.


I feel like responsible people (such as yourself) have a hard time seeing that the problem is that the vast majority of people are not responsible and will happily abuse my information.

I don't think Apple is necessarily altruistic here. But I am able to essentially use them to protect me against people who will abuse my information.

And I also think that developers miss the fact that, at least for a lot of us, this model makes it MORE likely that we will purchase your product. I'm much more likely to try a new app out knowing that it's not going to generate a ton of emails or that my credit card information will leak.


Maybe I'm in the minority, but I don't want to hear a single peep out of a company that manufactures a product I bought. I don't want to be "connected". I don't want to know when their next great thing is available. I don't care what the manufacturer thinks is a really useful, totally non-spam message for me. I don't want that relationship at all.

Maybe others are less dogmatic about it, but I truly appreciate having Apple as a "connection shield" between me and hundreds of thirsty app developers wanting to reach out and tell me all the great things they want to tell me.


I thought this way until I realized I personally value portability over simplicity of signup. Most apps I use often I use on my phone and laptop. When I had an iPhone, I ran most subscriptions through IAP. As soon as I wanted to try Android, moving everything over was nearly impossible.

For most services I now sign up directly through a developer. I also find for services I subscribe to developers provide WAY better customer support than Apple.


There are more than one grocery stores, but there's only one app store. The point is valid, but I'm not sure if it's the whole story.


Then why buy something from them at all? I don’t want spam as much as the next person, but the people I pay money are least likely to spam me.


Through the Apple App Store they are not able to spam me.

I don’t get any spam from Apple either.

I want to buy things and not be bothered by follow up emails and whatnot.


That's not true at all. Psychologically speaking, you're more likely to spend money with a company that you've already spent money with in the past. It's exactly that sentiment that marketers try to take advantage of.


The problem here is that you might consider yourself a good actor here; polite, contact your fans only and only rarely with what they would consider valuable notifications.

However.

The world is not full of good actors, because bad actors can make $$$$ by selling your information to third party spam and scammers.

There is no way, currently, to reward good actors, and punish bad actors… and the downside of the bad actors far out weighs the benefit provided by the good actors.

So, while I see your point, the issue here is that in a wider context people are actively abusing that channel, and there no way to stop them without stopping everyone.

So, sympathetic, but the problem here isn’t apple, it’s the folk who abuse and resale customer data… and I certainly don’t have a solution to that; but no one else seems to have one either.


>, but I enjoy writing books. The best way to sell books, is to build a mailing list of fans so that you can reach them when you have another book ready. It is not about reaching people who do not want to receive your comms. It is about having a direct and reliable connection to people who actually want to engage with you.

I have a friend who is a voracious reader of Kindle ebooks. She uses Amazon's tools to "follow" certain authors and get notified by any new releases. Yes, she has visited some authors' websites directly and even though they have the aggressive popup for "sign up for my mailing list", she deliberately avoids submitting her email and having a direct relationship with the author.

She'd be one of the buyers that's "really Amazon's customer" instead of soapdog's customer. But being shielded from you via Amazon is what she wants. Have you considered that millions of customers think like her?


Let me go on a brief tangent about Amazon. First, they are very hostile to the author. They force the price down on the eBook by leveraging their royalty range. Basically ~75% if the book costs up to ~9.99, if the book is more expensive than that, you get 35%. This means that the author loses money if they price a book higher than 9 bucks but less than 20 bucks (these numbers are not exact, treat them as an impressionist painting, not a botanical drawing).

An author on Amazon has the option of being exclusive to them, which unlocks some perks. Amazon algorithm will push exclusives more often then it pushes non-exclusives.

The reason I mentioning this is because Amazon makes it harder for the author by disguising all its non-competitive practices as them thinking about the reader. It is not, all these are vendor lock-in schemes.

There are many other stores for eBooks. Selling on them prevents you from being exclusive to Amazon, which in turns makes it push your book less often than it pushes those in the exclusive program. Trying to price your book higher makes you lose money.

Your friend has every right not to be forced into contact with an author. That is how it should be. The reason why most authors are trying to get your friend on a mailing list is so that they can have a platform that is not 100% controlled by Amazon algos. It is a hard business being an author, and it is much harder if you have no control whatsoever over your own platform.

I think that they key aspect I want to highlight here is that I don't think your friend or anyone should be put into a mailing list against their will. I hate upsells too. What I'm saying is that all those platforms make it extra hard for you to make sure you can contact the customers who actually want to be in contact with you.


Can't you put in a form in your app, stating "Could you please give us your email so we can contact you when we have a new product?"

Of course, I will never touch that form, and most people won't, but that's not because Apple prevent us.


The App Store's abusive rules will not not even let you use a collected email opted in to promotions to notify of better pricing:

"Developers cannot use information obtained within the app to target individual users outside of the app to use purchasing methods other than in-app purchase (such as sending an individual user an email about other purchasing methods after that individual signs up for an account within the app)."

You have to flag that user's email in your database as permanently tainted and unable to learn certain truths even if they have long switched to another competitors' device.


Hard to say how their IAP setup will work, but this isn't far from how Paddle works for online checkouts today. They separately track your customers and your 'audience' - the people who tick the 'send me marketing' box during checkout (https://paddle.com/support/what-is-paddle-audience/).

Customer emails are available, but it's explicit that they haven't opted-in for marketing, so if you're subject to GDPR or anything similar (most Paddle vendors, since I think the EU is Paddle's core market) then you can't use the email for anything but necessary account setup & support. Meanwhile audience emails are explicitly fair game for upsells/offers/etc.


This is what gdpr gets wrong. Tons of popups and notifications you shouldn't use email or cookies for x - but sellers collect them and WILL abuse them - apple u avoid this issue by simply not giving the seller your info


>I'm not in the business of selling apps, but I enjoy writing books. The best way to sell books, is to build a mailing list of fans so that you can reach them when you have another book ready.

No thanks. That's what I use book stores (either physical or electronic for)


I have a very hard time keeping track of when my favorite authors have released a new book, primarily as I do not trust Amazon/Goodreads. And no one else (electronic) can reliably notify me about this. Heck Kobo, Powell's etc, can't even reliably show books by authors they know I read on their websites.

(Also it's hours in a car to the nearest physical new book store.)


> The best way to sell books, is to build a mailing list of fans so that you can reach them when you have another book ready

Feel free to put a link to your mailing list at the end of the book, and I might sign up. Please don't sign me up because I purchase a book from you.


I use Paddle for taking payments for a paid Chrome extension (https://www.checkbot.io/) and they've been great with me. The big draw was the "tax management" feature where they take care of EU VAT and other complicated country specific tax regulations, unlike say Stripe and Chargebee. It makes tax returns really straightforward where all you have to process is the 12 monthly payments Paddle send you each year e.g. over the worst case of having to register for VAT in multiple countries and risk making tax mistakes. Their 5% + 0.50 cent fees are high (lower than FastSring though) but there's value in simplifying your admin especially if you're a solo founder.

Related to the comments about Paddle giving you the email addresses of your users: I went with Paddle over integrated Google payments at the time because Google gave you no access to your paid users or their payment methods and I was worried about Google payments shutting down - this turned out to be a great choice when Google deprecated their Chrome payment features with minimal migration options ("There is no way to bulk export your existing user licenses, so you need to have your users help with this part of the migration").

Not predicting Apple would do this but you need to keep your options open where you can so you can keep your customers if the worst happens. 30% fees is crazy in comparison too.


I'm a Paddle vendor too, and they have been good! As a solo EU founder, having to do near zero accountancy is a huge deal that Stripe can't (currently) offer.

That said, I wish they'd improve their API. It's very limited, poorly designed in some places and extraordinarily slow in others. The checkout & tools are good enough that you can ignore it for a long time, but eventually you want to integrate with it and it's a massive pain.

Definitely the worst part of the product, and simultaneously the best thing about Stripe, which does occasionally tempt me to jump ship...


> It's very limited, poorly designed in some places and extraordinarily slow in others.

Which parts? I do remember the docs being quite sparse when I was doing the initial integration. Most of my support questions about "how do you do X with the API?" were answered quickly but the answer was often "you can't" for a few surprising things (like grabbing a subscription via email lookup but maybe this has changed). Saying that, once I had it set up I haven't had to touch it and haven't had any issues, but my needs aren't that complex. A basic portal to let users check and edit their subscriptions would be nice though instead of everyone having to build this themselves.


Not sure how this would work.

Apple is still entitled to a 30% commission. The commission is the licensing fee for Apple's IP

From the court ruling:

> At step three, Epic Games has identified no suitable less restrictive alternative for Apple’s use of IAP based on the current record. The only alternative that Epic Games proposes is that Apple be barred from restricting or deterring in any way “the use of in-app payment processors other than IAP.” This proposed alternative is deficient for several reasons:

> First, and most significant, as discussed in the findings of facts, IAP is the method by which Apple collects its licensing fee from developers for the use of Apple’s intellectual property.

> Even in the absence of IAP, Apple could still charge a commission on developers. It would simply be more difficult for Apple to collect that commission

> Indeed, while the Court finds no basis for the specific rate chosen by Apple (i.e., the 30% rate) based on the record, the Court still concludes that Apple is entitled to some compensation for use of its intellectual property.


I am also skeptical about their claim for taking care of tax management.

I had contacted Paddle for UK VAT invoice for our Setapp for Teams subscription and their incompetence is phenomenon: first they used an EU VAT number (this is post-Brexit), then they fixed the VAT number but the amounts are in the wrong currency, one of the support agents even get my name wrong once...

Most importantly, I should not even have to ask for a VAT invoice in the first place.


Unfortunately, they're the best alternative to Stripe in countries where Stripe is not supported.


Christian, founder of Paddle here. There are a few things I’d like to try and clear up possible misunderstandings around.

Paddle has been a long-term supporter of Mac apps for many years (including CleanMyMac, Framer, Tower and more) and we’re excited about the prospect of supporting iOS apps as well – something we’ve not been able to do so far.

We’re heavily invested in keeping customer data safe and secure. We think app developers should be able to support and interact with their customers directly rather than having to go through Apple or another 3rd party to resolve any issues. Our solution will give app creators that opportunity – one that’s already the case for sales made on vendor websites.

Any kind of marketing comms will require customers to have opted in through a checkbox in the checkout process. We’re just looking to give developers the ability to ask, like is commonly done during browser-based purchases.

I’m super keen to keep an open dialogue with any developers interested in an alternative to how you currently sell your apps in iOS so don’t hesitate to reach out to me christian at paddle com


Apple just announced an appeal of the decision.


It will be interesting to see how this all plays out. Personally, if you bounce me out of the app to some random payment page I'll close it and delete the app.


It's funny you should say that, since it's exactly what Apple feels too. I'm grabbing my popcorn and anxiously wait to see how a 200 employee startup can take the bone away for a world class super-monopoly.


Allowing 3rd party payments in apps is a net negative for consumers IMO. The current way of paying for in-app content is extraordinarily easy and privacy-preserving. Subscriptions are listed in one spot and can easily be cancelled from there.

Sure the fee is a bummer, but that’s not my problem as a consumer. If it makes the subscription more expensive I’ll just buy it on their website.

But I feel this change will produce all sorts of awful web-hybrid user experiences.


I thought this until I tried an app with IAP and wanted a refund when it didn't work for me. The developer told me they had no way to issue one on their side since I went through IAP. Apple support gave me the runaround before eventually saying they don't do refunds, even when I showed emails from the developer saying they supported refunding me. Apple is not pro-consumer.

IAP is convenient, but I don't think Apple is truly motivated by the customer as much as they are charging a tax.


So fix refunds instead of making a worse UX.


The fee is your problem though. You’re paying a 20% premium (Apple 30% minus Paddle 10%), because those fees are being passed directly on to you.


Did you miss the very next sentence?

If it makes the subscription more expensive I’ll just buy it on their website.


The vast majority of developers are probably paying 15% to Apple and not 30%.


Honestly as a user I will avoid any app that is trying to offer me a purchase outside the App Store. Users mostly don't care about the issues between the developers and Apple and at least I am willing to pay more for my IAPs and be able to use Apple as my payment processor (sure - I can pay with Apple Pay but switching to another app for paying is a step more than needed).


Isn’t everyone here a developer? Aren’t you frustrated Apple can essentially take 30% of your revenue just for the privilege of strengthening their monopoly?


I’m a user more than I’m a developer. And there’s lots more users than developers.

I’m going to pay 3-5% for payment processing no matter how I look at it. So paying apple 15% to handle that is acceptable to me.

It’s one of those things that should be cheaper and is too much, but better than the alternative.

The payment part is the worst part of the purchase experience for me. I play a game that has a Mac version through Epic and an iOS version. Buying on iOS is easy, one click. Buying on Mac is a pain with some modal web frame pop up to a payment processor where I have to enter my payment info every time. EVERY TIME! I’ve already logged in. They know me.

Of course the price to me is the same in both situations.

So alternate payment processors will just be shittier for users. Bad UX, riskier data, and the same price.


It isn’t even 30% because you can top up your balance using discounted iTunes cards.


Unless you only ever use your own apps and nothing else, some of us are also “users” (in the general consumer sense).

Unless you jumped straight from school into a company with the goal to make mad money and nothing else, some of us became developers precisely because computer technology shaped our lives and became our passion.

We want to give our users the best experience possible, and don’t really care about their email addresses and credit card numbers and shit. And Apple’s IAP is closest to the ideal system:

• Minimal clicks and no jarring exits out of the app into third-party websites

• No need to re-enter payment and personal info at multiple places

• Biometric verification

• Preserves privacy and protects financial info

• Shows all receipts and subscriptions in one place

Even if Apple took a 50% I would still want the users of my app to have access to those benefits, because that’s what I would like all other devs to give me in their apps.


Well... That's the same amount of money you have to give to Google, Microsoft and Amazon if you want to use their services. Google and Apple both take 15% if you make less than 1.000.000$/year. Again - As a user I also don't have a problem with the AppStore monopoly because 1. When I bought the device I knew that I can only use the apps that are available on the AppStore 2. Every time I open the Microsoft Store I'm thankful that the guidelines on iOS are so strict 3. Freedom to install everything you ""want"" has at least the same amount of bad use cases than good ones (usually it's mostly used for modding or piracy).


Effectively 15% for most developers


When it comes to Apple privacy trumps ownership/monopoly. Its like a benevolent dictator. It can do no bad, if something is bad, then actually its good!.


I don't think anyone is objecting to Apple being allowed to offer a solution. Most simply want there to be other options available to customers.


The majority of customers don’t want the choice.


I'm not sure if that pro Paddle list is good for me as a customer. The access to my data at least isn't.


Rather on-the-nose that the first differentiating point is "access to customer data".


I’m kinda baffled by Paddle.

Is this a PR stunt?

Judge explicitly said Apple is allowed to collect their 30% commission even if customer uses a different payment provider.


Apple might still collect its 30% by asking for accounting records later.


There is way to little talk about this. Apple might still be entitled to the 30% (of gross purchase price paid by the customer) even if the developer is not using the IAP mechanism. The ruling did nothing to invalidate that.


Apple would be playing with fire if they attempt that interpretation. It would detooth the ruling, and could force the judges hand to impose stricter or more vague requirements. The judge certainly not have an issue with the api design...


The judge outright said this was ok:

“In such a hypothetical world, developers could potentially avoid the commission while benefitting from Apple’s innovation and intellectual property free of charge. The Court presumes that in such circumstances that Apple may rely on imposing and utilizing a contractual right to audit developers annual accounting to ensure compliance with its commissions, among other methods. Of course, any alternatives to IAP (including the foregoing) would seemingly impose both increased monetary and time costs to both Apple and the developers.”


Wow, that's insane. She really did give a toothless ruling.

Thanks for correcting me.


It’s less that it’s toothless and more that Apple won the case - she ruled 9/10 counts in Apple’s favour.


It's not insane, there's simply no reason for why Apple shouldn't get their cut.


Microsoft doesn’t get a cut from Windows apps. Why should Apple?


Why are you comparing iOS to Windows? MacOS to Windows, or iOS to Android make more sense.

A more fair comparison would be andorid. Or the Windows Phone, where Microsoft took 20%: https://en.wikipedia.org/wiki/Windows_Phone


I’m comparing a small general purpose computer to a big one. How is that an invalid comparison?

Just because everyone does the same thing on a mobile phone doesn’t make it any more sensible.


Because it's a cherry picked example that ignores a lot of factors.

I could easily make the statement "Microsoft gets a cut of everything purchased on Xbox, why shouldn't Apple?"

To which I suspect your response would be waving your hands around something that is ill defied (General Purpose Computing), and then trying to define it to fit your narrative.


A more cogent and principled response would be that there is an effective duopoly in the phones market, and this creates incentives for and actually realized anti competitive practices on the part of both google and apple. Apple both builds a market and regulates that market in its own favor, and consumers don't have an especially plausible alternative to participating.


Microsoft chose to create Windows as an open platform where they didn't get a cut of application sales.

Microsoft chose to create XBox as a platform where developers who didn't pay them a cut could not sell software.

Microsoft attempted to convert Windows into a platform where developers who didn't pay them a cut could not sell software with Windows RT, but it failed in the marketplace.


Microsoft is definitely the anomaly.

Sony, Microsoft, Nintendo, Google, Valve, Epic etc all take their cut.


I was feeling sort of confused by me feeling like Valve and Epic were not supposed to be in that list.

But it’s because I have a choice. I can choose to use Valve, or Epic, or nothing at all.

Hell, I can even choose never to use the Nintendo store, and just purchase plain cardridges.

The same is not true for the others, but especially not for Apple.


>Hell, I can even choose never to use the Nintendo store, and just purchase plain cardridges.

Do you really think that Nintendo doesn't get their cut on plain cartridges?


...and the fact that everybody is doing it makes it good and right, right?


Hey FDSGSG I see you used my comment to implement your reply. As you no doubt know my API usage policy is 30% of your gross.

Note, you cannot deduct the 30% your electric utility charges you, nor the 30% your PC monitor maker charges you, nor the 30% your desk maker charges, you'll have to figure out how to finance your development out of the other -40%.

If this is not acceptable obviously you could have written your reply to my comment under any other comment. There are many other comments you could freely leave your reply to me under. You choose to use my comment to base your reply to no doubt because that's the only one I read. Still of course, I do not have a monopoly on replies to me under all posts on the internet. Replies under my comment are of course not a monopoly because you can freely reply to me anywhere else. For example, you could have replied to my post on your grandma's Facebook.


They’re not doing that for existing apps though. It’s going to be a bit hard to enforce.


> Access to customer data

And here goes one of the reasons Apple wanted control in the first place.

This is not a customer friendly change.


> "In addition to lower fees, Paddle said benefits of its payment system will include access to customer data"

Blood is in the water, and the sharks are howling.


So Paddle says that they can offer an alternative iOS IAP service.

But Judge Rogers wrote "Apple could still charge a commission... it would simple be more difficult for Apple to collect that commission."

That indicates that if Apple decides to charge a commission on alternative IAP and figures out how to collect it, then developers may not save any money and may only benefit in terms of being able to sidestep Apple's user privacy requirements.


One of many. Hope more will come, this space was abandoned after facebook platform faded and there are very few competitors.


The feature list says that Apple doesn't allow "Define your own pricing", "Local pricing control", "Subscription pausing", "Ability to refund". I don't manage any apps with IAP (or any apps for that matter) but I feel like these are all possible with Apple.


Why not just use PayPal Checkout SDK?


“Access to customer email “

Hard pass from me. Thanks.


Why would I pay some no name app creator 10% of my revenue? Apple earns their cut. Who are these outsiders?


Why should Apple or anyone get a percentage? Let me pay at cost plus a fixed fee.


The real question isn't why they deserve 30% lots of people have plenty of arguments about why they believe it's justified because they provide the hardware and dev tools on iOS.

The real question is why I don't have to pay them 30% for software and transactions on my MacBook. Because once you consider that most of those arguments are thrown out.


I don't mind the 30% at all, I just mind that I'm forced to because they banned the creation of any and all alternatives. The fact that someone would need to build their own phone + OS just to avoid a fee is both hilarious and scary


"Provide" is a bit vague word for "sell". They _sell_ their hardware and force the developers to use their tools.


But you already pay them $99/year for a dev account... why do you have to pay them for every purchase as well?


$99/y is really nothing compared to the 30% cut when you look at companies like Epic or Supercell.

I’m certain that they could not continue to provide the App Store in its current form without any fee.


Because the 99$/year are for the dev platform and the 15%/30% cut are for using the infrastructure needed for in app purchases.


Why should someone who is making $100 revenue off a transaction pay the same fee as me who's making $1 revenue?


Because the costs do not scale with the revenue


How do you know their costs don't scale? Maybe there's insurance or compliance requirements that also apply?

And it begs the question - is "cost-plus" the only valid pricing model?


Why would their costs scale with revenue? Cost+ certainly isn't the only valid model. Many people are fine with a 30% cut.


they do - the first 1m$ only cost 15% - It's btw the same with the Google Play Store


The fees scale with revenue - what I'm saying is that Apple's own costs do not scale with the revenue they take from companies on the app store.

e.g. A single transaction of $10,000 does not Apple more than $100 other than the beforementioned financial transaction fee.


Sure, roll your own payment system.


> Why should Apple or anyone get a percentage?

Because it’s progressive to do so.


I think you may be living in the 90s. The global population has decided what their privacy and autonomy is worth. An individual cannot move the needle.




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