You are using an outdated browser. Please upgrade your browser to improve your experience.
Impossible? Apple Approves Service That Eliminates Its 30 Percent Cut Of Sales?

Impossible? Apple Approves Service That Eliminates Its 30 Percent Cut Of Sales?

May 5, 2011
Publishers who want their content available on the iPad, but don’t want to pay Apple to do so now have a solution. Digital technology company Yudu today launched a new service that helps publishers evade the 30 percent cut that Apple charges as part of its subscription plan, according to Reuters. Interestingly, U.K.-based Yudu has made it clear that Apple “had recognized its new service as compliant with its terms and conditions.” However, Apple did not provide comment to Reuters directly. Yudu, whose clients include Reader’s Digest and Haymart, allows users to download publications on their iPad through the App Store, even though the purchase is made directly to the publisher. Under the headline “Service Launched for Publishers to Avoid Apple Cut,” Yudu stays on its blog the following:
Today marks the launch of a new service offered by YUDU, which helps publishers avoid Apple’s 30% commission charges whilst remaining in-line with their rules and regulations. The new dual subscription system will offer iPad users the option to subscribe to their favourite titles directly from the publisher’s website. This service will be in addition to the apps presence on the Apple app store.
No further information about Yudu's new service has been provided. Apple's new subscription plan, which was announced earlier this year, requires publishers to give the tech giant 30 percent of each sale done through the App Store. Many publishers have bulked at this requirement, although many have signed up in recent days. These include Time Inc., Hearst Magazines, and The Telegraph. What do you think? Leave your comments below.