News
Apple, publishers disagree on iTunes subscription terms
By Charles Starrett
Senior Editor, iLounge
Published: Friday, December 3, 2010
News Category: Apple, iPad, iTunes
Apple is at a standstill in talks with magazine publishers over the terms of a potential iTunes subscription model, according to a new report. Citing anonymous publishing sources, AllThingsD reports that Apple is offering publishers the ability to sell app subscriptions through iTunes, 70 percent of revenue, and the ability to offer a simple opt-in form for gleaning name, address, and e-mail address. The publishers are apparently unhappy with the revenue split model, preferring to sell subscriptions themselves, but are more at odds over the lack of access to subscribers’ credit card data, which is valuable to them for marketing purposes and allows them to bundle the digital subscriptions with traditional print media. The report also notes that a News Corp. executive said the company’s upcoming iPad newspaper the Daily won’t launch until the first quarter of 2011, but expects it to showcase a new “push” feature from Apple that will allow new issues to be downloaded to an iPad automatically. Notably, News Corp. owns AllThingsD.
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1
...but are more at odds over the lack of access to subscribers’ credit card data…
For me, that’s the whole idea, nobody but Apple has these details.
Posted by Nigel Barford on December 5, 2010 at 9:44 AM (PDT)
2
@1: Reading between the lines it would seem the issue is not so much they want your credit card data itself (why would that be useful for marketing? that whole explanation makes zero sense), they don’t want Apple taking a slice of the pie for their print product as well, which is what I’m sure Apple is demanding if they sell digital + print bundles through the iTunes store front.
Posted by Code Monkey in Midstate New York on December 5, 2010 at 5:27 PM (PDT)