Apple's Big Subscription Bet: Brilliant, Brazen, Or Batsh*t Crazy?

We all knew it was coming, but the details of the App Store subscription model, which Apple outlined today, are fascinating on a number of levels. Simply put: this is one of the boldest bets Apple has ever made. And it could backfire. Or it could be huge beyond belief. Either way, it’s going to be very controversial.

We’ve already gone over the basics, but as a quick recap: any service offering an app with any sort of subscription component must now offer it within the app using the new in-app subscription options. Those companies are welcome to offer subscriptions outside of the app as well, but they must also have to option to do it in-app and it must be for the same price (or cheaper) than the out-of-app option. If a subscriber signs up in-app, Apple keeps 30 percent of those revenues. If they sign up outside of the app (still granting them accesses to the app), the company keeps 100 percent of the revenues.

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