The Drive Behind Elon Musk’s Desire to Negotiate with Apple’s CEO
Elon Musk’s desire to engage in dialogue with Tim Cook revolves around Apple’s commission policy affecting creators’ earnings.
X (previously known as Twitter) offers creators the opportunity to monetize their accounts through paid subscriptions, granting subscribers access to exclusive content. In the pursuit of enabling creators to earn more, Elon Musk plans to discuss with Apple’s CEO, Tim Cook, the possibility of reducing the App Store’s commission on revenue generated from these subscriptions.
Supporting Content Creators on X
Musk emphasizes the significance of supporting content creators on the X platform. He urges users to subscribe to as many intriguing creators as they can afford. These creators, often from challenging circumstances, could substantially improve their lives with even a few hundred dollars per month.
X’s Efforts and Appeal to Apple
In its efforts to further support creators, X has revamped its remuneration system. Previously, it offered no commission on creator revenue for the first 12 months, followed by a 10% commission thereafter. However, X has now altered this policy. It only charges a 10% commission when a creator’s earnings surpass $100,000. Additionally, X urges Apple to reconsider its stance. Currently, the App Store retains a 30% commission on app revenue.
Elon Musk’s Proposed Adjustment
Musk outlines his intention to discuss with Tim Cook the possibility of modifying the App Store’s commission policy. Specifically, he advocates that Apple should only take a 30% commission from the portion earned by X, rather than the entire revenue.
Is This Vision Feasible?
The commission structure of the App Store has always been a subject of controversy, leading to conflicts such as the Apple vs. Epic Games case. Epic Games, the developer of Fortnite, sought to bypass Apple’s commission by offering an alternative payment system, resulting in Fortnite’s removal from the App Store.
The Outcome of Musk’s Talks with Cook
The potential outcome of the discussion between Elon Musk and Tim Cook remains uncertain, especially considering Musk’s history of publicly expressing criticism towards Apple. Nevertheless, the dialogue might have the potential to bring about meaningful changes to the commission landscape.