Netflix’s games of hardball with Apple have cost it some cash.
Television streaming platform Netflix is no longer the top-grossing non-game app on the Apple app store, having lost its two-year reign to dating app Tinder last week in the global rankings.
The change in ranking is attributed to Netflix changing its payment scheme in December of last year in a rumored refusal to pay Apple’s so-called ‘Apple tax.’ This is the 30% tax imposed on all subscriptions signed up through the Apple App Store. Instead, users are now required to sign up first through Netflix’s website, and then sign in on their mobile devices.
According to a report from app store intelligence firm Sensor Tower, Netflix earned approximately $853 million last year on Apple’s App Store alone. If Apple had a cut of 30%, that would mean it earned $256 million from Netflix – a huge loss even for the tech company. It also means that Apple has a lot to lose from the separation in terms of future revenue.
Tinder, on the other hand, saw a 42% increase in revenue this year from Q1 2018, boosting it up in the current ranking. As for the other apps on the list, the 4th to 10th places are taken up by Tencent Video, iQIYI, YouTube, Pandora, Kwai, LINE, Line Manga, and Youku.
