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Amazon reduces its Store Revenue cut to promote Small Developers

Amazon has taken a step to cut revenue for the small developers. Amazon joined hands with rivals Google and Apple to provide this great opportunity.  Amazon wants to support the new talent for a better future. 


Amazon has joined rivals Google and Apple in offering smaller developers in its App Store a more favorable cut of the revenue. It is the latest technology news in the market.

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From October 2021, developers who earn less than a million in revenue in the last year will receive an 80 percent share of sales compared to the previous share of 30 percent.

Apple announced such news in Apple’s App Store in November with Google Suit in March. These stores will offer a slightly high preferential cut of 85 percent of revenues going straight to the developer’s account. Amazon assured that it will also provide a promotional credit for Amazon Web Services equivalent to 10 percent of revenue to the eligible developers. It will help developers to move their application services to the cloud.

The recent survey done by Amazon of mobile developers states that over 94 percent indicated that, in their application development efforts, they would like to use cloud services.

As compared to Google and Apple, Amazon is a small player with its app that can be used in Fire-branded devices. Android users can install the Amazon App store with over 46,000 applications, more than 2.2m and 3.4m for Apple and Google respectively.

Last year a lawsuit was filed against Apple by Epic Games, the developer of the frontline. Epic was not satisfied with the revenue split to take through Apple’s App store and introduced a new payment portal within the Frontline bypass. Moreover, it offers games with a 20 percent discount, if purchased through it.

Apple responded to Epic, by removing the frontline from the Apple store entirely, and the popular Battle Royal game still has not been reinstated to this day. For this action, Epic game immediately launched a new lawsuit with charges like unfair and anti-competitive practices of Apple.

In November, Epic stated that the changes in revenue payments were a calculated move to divide app developers to preserve the monopoly identity on stores and payments.

Apple is hoping enough critics and rebels to be in the competition by offering 15 percent to robbers like Amazon. Apple is trying to lead the market with its monopoly skills.

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