Vudu avoids Apple’s revenue sharing model with iPad compatible web app

Walmart has just announced their Vudu movie streaming service is now available to iPad users via a web app (opposed to an iOS app), which effectively allows the company to go behind Apple’s back rather than partake in their App Store revenue sharing model. The app also works on other iOS devices, but hasn’t yet been optimized for the smaller screen. They’ve also announced their iTunes competitor, mp3.walmart.com, will be closing indefinitely starting August 28, 2011. However, the announcement notes the Walmart Soundcheck music streaming service will remain available, making us wonder if they have plans on implementing an iPad-specific version much like they’ve done with Vudu…

This isn’t the first time we’ve seen content providers trying to avoid sharing profits with Apple. In fact, just yesterday we told you about the new Kindle Cloud Reader app that is accessible via the web, much the same as Vudu. While not sharing revenue is an obvious benefit of bypassing the App Store, TechCrunch points out there are many other advantages as well.

For instance, by avoiding the App Store’s restrictions, Vudu will be able to push out new updates whenever they see fit, rather than having to wait for Apple’s approval. It seems like more and more developers have been pushed away from the traditional iOS app model due to stringent approval policies and the unpredictability of Apple’s ever-changing process.

The real question is.. do these web apps compare to the experience offered by native apps?

*thanks 9to5mac*

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NYTimes Implements In-App Subscriptions for iPhone, iPad

The NYTimes has updated their iPhone and iPad app to implement in-app subscriptions.

Enjoy the award-winning journalism of The New York Times anytime, anywhere, with the enhanced NYTimes app for iPad - now including more content, featuring blogs, videos and slide shows.

To get full access to this app, including more than 25 Times sections, plus unlimited access to NYTimes.com on any device, try a Times Digital Subscription.

Your Subscription Options:
- NYTimes.com + Tablet App for $19.99 per month
- All Digital Access (including the NYTimes app for iPad and iPhone, plus unlimited access to NYTimes.com) for $34.99 per month

Your subscription will automatically renew each month and your credit card will be charged through your iTunes account. You can turn off auto-renew at any time from your iTunes account settings.

What's New In This Version:
- App features the new Sunday Review section offering news analysis and opinion on the most important topics of the week
- Subscribing is quick and easy with your iTunes account

You can download NYTimes for iPad and iPhone from the App Store for free.








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Lodsys, We’re not patent trolls, here’s why we’re entitled to royalties over in-app purchasing

You may have heard that an unknown company called Lodsys was threatening to sue small iOS developers over the use of in-app purchasing, a system-wide iOS mechanism that lets users buy additional content inside apps, using their standard iTunes credentials. This being an Apple-designed feature, a lot of folks were left scratching their head when Lodsys announced last Friday plans to take developers to court should they refuse to pay royalties.

Following a storm of criticism by many online media outlets and bloggers who said the company was acting like a patent troll, Lodsys put out a blog post. No, they’re not patent trolls and yes, they’re just trying to “get value for the assets that it owns”. Right. In a series of Q&A posts Lodsys detailed this issue. They’re entitled to claim 0.575 percent of US revenue made from in-app purchases, so says Lodsys. On annual sales of one million dollars this amounts to $5,750 a year in license costs. But wait, there’s more of that nonsense.




They apparently have licensing agreements with Apple, Microsoft and Google, but those do not extend to third-party software offered on mobile bazaars. Therefore, Lodsys is collecting royalties from independent iOS developers themselves. Furthermore, Lodsys hinted, they might ask the same from Android and Windows Phone developers. Something tells me the company is deliberately pressuring small iOS developers in an attempt to push Apple into signing an extended licensing agreement, but Lodsys says that’s not the case. Going head-to-head with Apple’s legal sharks isn’t the wisest choice, in my personal opinion. I guess Lodsys didn’t get the memo.

*thanks 9to5Mac*

If Apple doesn't fix this mess (since they are responsible for forcing in app purchases on developers) all developers should join in a suit against Apple and if not then we might see more small developers shut down similar to iFlowReader. If Apples 30% of in app purchases wasn't enough this new royalty will defiantly make iOS (at least for now) a less attractive platform for developers..


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In-App Purchases Now Require Password Reentry

Apple has announced that iOS 4.3 requires reentry of your password to make in-app purchases, according to the Washington Post.

Parents had complained to the The Post that in the 15-minute period after an app was downloaded, children were buying sometimes hundreds of dollars of purchases on games such as Smurfs’ Village and Tap Zoo — popular iTunes games that are also among the highest-grossing programs for in-app purchases.

"We are proud to have industry-leading parental controls with iOS," said Trudy Muller, a spokeswoman for Apple. "With iOS 4.3, in addition to a password being required to purchase an app on the App Store, a reentry of your password is now required when making an in-app purchase."

Last month the FTC said it will investigate Apple In-App Purchases after U.S. legislator Rep. Ed Markey sent a letter expressing his concern over unintentional purchases made by children.




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FTC to Investigate Apple In-App Purchases

The FTC has said it will investigate Apple In-App Purchases after U.S. legislator Rep. Ed Markey sent a letter expressing his concern over unintentional purchases made by children, according to the Washington Post.

FTC Chairman Jon Leibowitz wrote in a letter to Rep. Ed Markey (D-Mass.) that the practice of "in-app purchases" for certain applications on Apple iPhones, iPads and iPods raised concerns that consumers may not fully understand the ramifications of those charges. The Washington Post wrote about hefty charges amassed by children using Apple device games that public interest groups said should not be included in software geared for children. Some parents said their children didn't understand the difference between real and pretend purchases for items such as $99 barrels of Smurfberries on the Capcom Interactive game Smurfs Village.

"We fully share your concern that consumers, particularly children, are unlikely to understand the ramifications of these types of purchases," Leibowitz wrote. "Let me assure you we will look closely at the current industry practice with respect to the marketing and delivery of these types of applications."

U.S. antitrust enforcers have also begun looking at Apple's policy which forces content providers to use in-app purchases to sell their subscriptions.




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Steve Jobs Says In-App Subscriptions Don't Apply to Software as a Service Apps?

Steve Jobs has reportedly replied to a developers email suggesting that the new In-App Subscription rules don't apply to Software as a Service applications.

-----
Hello Steve,

As a full time iOS developer, I am concerned (and confused) withe the new App Store guideline regarding "Apps offering subscriptions" (section 11.12).

Most of the iOS apps I have developed, as a contractor for other businesses, have been free apps that had login screens to allow the user access to some amount of private data. and/or service. These businesses have all been well established companies that sell some kind of service to their customers (Software As a Service companies) and the iOS app was merely another "portal" for their users to access their data/services (in many times, in a limited i.e. "mobile" fashion).... for example; SalesForce. I am concerned that most of these businesses will choose to not develop an iOS app for their customers if the IAP & subscription policy was in place.

Would these type's of free apps be still be allowed in the App Store or will they now be expected to use IAP?
-----

We created subscriptions for publishing apps, not SaaS apps.

Sent from my iPhone

-----




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U.S. Antitrust Enforcers Begin Examining Apple In-App Subscriptions

U.S. antitrust enforcers have begun looking at Apple's policy which forces content providers to use in-app purchases to sell their subscriptions, according to the WSJ.

The Justice Department and Federal Trade Commission's interest in Apple's new subscription service is at a preliminary stage, and might not develop into either a formal investigation or any action against the company. But it comes as Apple has attracted growing antitrust scrutiny in the U.S. and Europe.

The European Commission told the WSJ that the commission was aware of the new subscription service and was "carefully monitoring the situation."

Apple has imposed a deadline of June 30th for developers to implement their in-app subscriptions feature.



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Apple is Now Forcing Developers to Sell Content Via In-App Purchases

Apple is now forcing developers who offer content for sale via a webstore to also offer the content via in-app purchase, according to Apple spokesperson Trudy Miller.

"We have not changed our developer terms or guidelines," Miller told AllThingsD. "We are now requiring that if an app offers customers the ability to purchase books outside of the app, that the same option is also available to customers from within the app with in-app purchase."

In other words, Apple wants its cut on sales enabled by its iOS devices, it has an established guideline that allows it to take it and that’s what it’s doing. Developers are still free to send customers to their own Web stores, but they must also offer them the option of purchasing content within their apps themselves, and they must route those sales through Apple which will then take its percentage.

This is a major setback for companies like Sony, Amazon, and other content providers who will not want to give up 30% of their sales to Apple.




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