Microsoft Faces Off With Apple Over 30% Cut on SkyDrive

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Posted December 11, 2012 at 7:05pm by iClarified

Microsoft is reportedly in a 'Cold War' with Apple over the future of SkyDrive on iOS, reports TNW.

The site has learned that Microsoft has a new version of the app that fixes a crashing bug ready to go but cannot get it approved due to Apple's demand that they receive a 30% cut of SkyDrive subscription revenue when users add additional storage.

Microsoft does not appear keen to pay Apple the 30% cut, as it lasts in perpetuity, regardless of whether a user continues to use an iOS device or not, as the billing is through their Apple account. Therefore, if a user signed up for a few additional gigabytes on their iOS device, and then moved to Android or Windows Phone or not phone at all, for the length of their account, Apple would collect 30% of their fee for storage. This hasn’t sat well with Microsoft.

Even worse, when Microsoft offered to remove all subscription options from its application, Apple reportedly refused the offer. It appears as though the company is saying that if you're app connects to a subscription service that you must offer it via in-app purchase.

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Microsoft Faces Off With Apple Over 30% Cut on SkyDrive

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Lumia1000 - December 12, 2012 at 1:52pm

Grumpy and GREEDY!!

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Omer - December 12, 2012 at 5:40am

Additionally, it should be approved without hesitation - why wouldn't they want Windows users migrating to Apple products (ipad, mini, ipod, etc)?

Omer - December 12, 2012 at 5:38am

Nick I agree this is Apple's rules vs. Microsoft's disdain - to an extent. But the fact that Apple is getting nearly a third of the profits for a service they do nothing to support should not sit well with any developer. They aren't support Skydrive, it's app, or compatibility.

Granadas - December 12, 2012 at 2:13am

M$ help the jailbreak's teams!

Matz - December 12, 2012 at 12:17am

And thats why I jailbreak my devices to rid this BS from apple. Next phone will deffinatley be the Galaxy

NoGoodNick - December 11, 2012 at 10:19pm

That's not news, as Apple has always insisted on such rules for anyone selling via the App store. What's news is that MS thinks it can still dictate what other companies can charge it on their own devices. Apple won't allow any app to sell anything unless it follows it's own rules. If MS doesn't like that, then it simply shouldn't offer to sell services through their iOS app.