Facebook gets reprieve from Apple on live events cut

Apple
Credit: Unsplash/CC0 Public Domain

Facebook said Friday it struck a deal in which Apple agreed to temporarily forgo its cut of revenue from paid events at the leading social network to help pandemic-hit performers earn money during the pandemic.

The social network had asked Apple to skip its usual 30 percent cut of transactions in prior to enable the Facebook Live streaming to be used to create, promote and host paid events from concerts and theatrical performances to yoga classes and cooking lessons.

Apple agreed to a respite through the end of the year "after which struggling businesses will have to, yet again, pay Apple the full 30 percent App Store tax," Facebook spokesman Joe Osborne said in response to an AFP inquiry.

Apple originally stuck to its commission, but has since had a change of heart, according to Facebook.

The temporary reprieve means that transactions for events in Live on the iOS platform can be handled by Facebook's instead of Apple's network, the social network said.

Gaming creators, however, will still have to use Apple's commission-collecting payment system for live events on its , according to Facebook gaming vice president Vivek Sharma.

Facebook said it would not collect any fees from paid online events while businesses remain closed for the pandemic, until at least August 2021.

Apple did not immediately respond to an AFP request for comment. It has defended the commission to cover the costs of managing the App Store and protecting user security, but critics say the commission is an abuse of its position.

Other app developers have argued that Apple's commission is a "tax" and can thwart competitors.

Apple and Fortnite maker Epic Games are in a legal battle over the matter, with a hearing in the case slated for Monday.


Explore further

Facebook joins attack on Apple over App Store commission

© 2020 AFP

Citation: Facebook gets reprieve from Apple on live events cut (2020, September 26) retrieved 25 November 2020 from https://techxplore.com/news/2020-09-facebook-reprieve-apple-events.html
This document is subject to copyright. Apart from any fair dealing for the purpose of private study or research, no part may be reproduced without the written permission. The content is provided for information purposes only.
4 shares

Feedback to editors

User comments