TikTok in China appears to be looking into ways to avoid paying Apple’s 30 % commission on digital purchases made through its iOS app.
The Verge reports that , TikTok is exploring methods to avoid the tech giant’s contentious” Apple income” on in- software purchases. Some iOS users of the video-sharing software are being reportedly prompted to obtain TikTok coins, which are digital tokens used to edge content creators during life streams, through the company’s website rather than the app.
The obvious solution was uncovered by David Tesler, inc- founder of smart application SendIt, who shared screenshots depicting TikTok urging users to “recharge” their coin balances at TikTok .com to “avoid in- game service fees”. By tapping on these in- game links, users are directed to an integrated web view where payment options like Apple Pay, PayPal, and credit/debit cards are offered, properly allowing TikTok to pass Apple’s 30 percent cut on for transactions.
Tim Cook praying for a break ( Justin Sullivan/Getty )
The catalyst for the high-profile legal battle between Apple and Epic Games in 2020 is TikTok’s support for alternative payment methods, which is strikingly similar. Epic’s decision to remove Fortnite from the App Store for violating Apple’s policies led to that conflict.
The implications of this apparent rule-breaking by TikTok could be extensive, given that it appears to only be available to a select few users who frequently purchase larger coin bundles. Apple has vigorously defended its App Store practices, despite accusations of anti-competitive practices coming from businesses like Spotify and Epic Games. The iPhone maker’s ongoing opposition to Spotify’s attempt to add similar in-app web links to the EU resulted in fines of around$ 2 billion.
With over 1 billion active users worldwide in a month, TikTok’s sheer scale poses a significant challenge to Apple’s ability to potentially defy App Store rules. As Bloomberg’s Mark Gurman bluntly stated,” the only way Apple removes TikTok over this is if it wants to destroy itself”. The video app’s immense popularity, particularly among younger demographics, grants it formidable leverage that could force Apple’s hand on revising its controversial commission structure.
Apple and TikTok have not responded to requests for comment on the alleged App Store policy violation. The development, however, highlights how increasingly hostile are Apple’s strict controls of the iOS ecosystem and monetization policies.
Read more at the Verge here.
For Breitbart News, Lucas Nolan reports on issues involving free speech and online censorship.
