Facebook Deploys Users To Eat Apple’s App Store Lunch Fee
Facebook is handing out bonus stars to anyone who purchases the virtual item from its own online store and not through the mobile app.
Facebook isn’t a fan of Apple’s strict 30% revenue sharing policy for all in-app payments, so the company has created its own dedicated Stars shopping website to avoid paying Apple tax. For those who don’t know, stars are basically virtual items that viewers buy and then send them to their favorite creators in live audio or video streaming sessions. Facebook pays creators $ 0.01 for every star they receive from fans and followers.
To purchase a star, viewers must open the live audio or video sessions commentary feed and tap the star icon next to the “To write a comment” button. Once there, viewers will see their current star balance and also see a Buy stars possibility of buying more lots. However, the payment is ultimately processed through Google Play or the App Store, which means Google and Apple take a 30 percent share of whatever users spend when buying Stars. Few of the stakeholders are fans of this policy, and Facebook is one of those unhappy customers.
The social media titan – now called Meta – has finally created a workaround to avoid the Apple tax, all in an effort to give users more bang for their buck. The company has created a dedicated Stars online store where users can purchase the virtual item and use it to support their favorite content creators. The logic behind the store is simple: an external website means transactions are not processed by the native payment system built into the App Store. And that means Facebook is avoiding paying the 30% App Store fee. Apple’s politics don’t have a lot of fans in the first place. In the face of the heat of its own community, Apple recently slashed the cost by 30 percent and downgraded it to 15 percent for small developers with low revenue. Facebook is not a small developer, which means it had to pull one more trick to avoid the Apple tax. This Stars store is the result of this desperate maneuver.
Facebook attacks Apple App Store paycheck
However, this is not the first movement of its kind for Facebook. Just over a month ago, Facebook started offering custom subscription links to creators to avoid paying App Store fees. And as a sweet incentive, Facebook will allow users to get more stars for the same amount if they buy from its new Stars store. For example, buying 530 stars by spending about ten dollars will now add an additional 420 stars as a bonus. The number of bonus stars varies depending on the size of the pack and also varies from market to market. In the US, a 145 Star Pack priced at $ 2.99 comes with a 105 Star Bonus. In India, a bundle of 175 stars only adds 15 bonus stars.
All Star transactions on the website are processed through Facebook Pay, while those purchased in the Facebook app rely on Apple’s in-app payment system. Along with a new store, Facebook has also launched a new system that allows viewers to send stars together, which it calls a Star Party. Viewers have five minutes once a Stars Party countdown starts, and during that time they must collectively complete the goal. Corn Facebook is not the only concern for Apple. The company faces increasing pressure from regulatory authorities in several countries regarding its revenue sharing policy, and antitrust investigations are also underway.
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Source: Meta, Facebook Stars Store
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