App Store Subscriptions - Think It Will Effect Pro Apps?

www.engadget.com/2016/06/08/apple-app-store-subscriptions/

This article says that next week at WWDC we will see the introduction of an optional subscription system for developers in the App Store.

I get the feeling this article is more geared towards iOS App Store but I can't see why it wouldn't translate over to the Mac App Store kind of apps as well...?

What do you think? Thoughts on if the Pro Apps could go this way soon?

It's kind of interesting, and I guess kind of "overdue" in the grand scheme of things...

It effects iOS, tvOS and OS X all at once.
www.fcp.co/forum/4-final-cut-pro-x-fcpx/...10-3?start=140#77616

Two things could happen, or not: Adobe starts selling via the App Store, and/or Apple sells pro apps based on subscriptions. But then, Apple doesn't have to. You sell 3 million copies of FCPX at $300 each, you just make $900 million. Pretty healthy for a single app's budget. We'll probably see Adobe selling their wares on the App Store now. I doubt we see the pro apps change at all.

3 million unit sales at $300 each is $900 million.

Actually you get $900 million, but small change anyway to Apple. There are already quite a number of iOS apps that use a subscription service. Usually free for a time or free for basic, and then upgrade to subscription, usually annually, though some are monthly. I presume Apple is already taking a vig on the subscriptions. I've not seen this in OS X, though I suspect there are some apps that are iOS with OS X versions that do the same thing.

I'm not seeing this as anything new, though it would be interesting to see if Adobe goes into the store. Not sure if they would see a benefit in this.

Apple is getting this tendency to tout incremental changes as something major; I think to make up for nothing really new to show. Seems the corridors of Infinite Loop are getting too touchy feely over the last few years, and not enough fear and loathing and desperation to push the boundaries.

Whatever.

Phil has been making lots of little changes to the App Stores since he took over. This is just one more thing developers have been requesting for awhile now.
www.macrumors.com/2016/06/08/apple-major-app-store-changes/

I don't mind other developers doing it but I certainly hope it doesn't happen to Apple's pro stuff. I'm not a big fan of renting software. You pay sooo much more for it over the long run. Apple also doesn't update its apps at anywhere near the rate Adobe does and people might feel cheated if they had to pay a subscription fee. I'm fine with updates when needed and not a constant stream of them.

Yes, $900 Million. However, what does that sales curve look like? It' can't be flat. How many sales from 2011 does that include? Obviously, that's a big number—but does it cover 5 or 6 years post-release? Will FCPX get a paid upgrade at some point?

I am a little tired of everything being Software as a Service. I don't see FCPX going down that route. I do see that they could do an upgrade price if they wanted. Is 10.3 the one that will? I don't know.

2011 was not a great year. Lot of trials, also Apple gave refunds. Curves been rising actually not plateauing yet. Still at top of or near top of highest grossing apps.

No doubt it's still one of the highest grossing apps. It's $299! If the sales curve is inclining, that's great. It means they won't mess with the way it is.

If 10.3 (or 11?) does have a new price of $299 and a separate upgrade price, I wonder what it would be?

There's really no upgrade mechanism in the App Store, which has kept a lot of developers out. With subscriptions there may be a way around it using a dummy update with in an app purchase for a one time subscription, i.e. an upgrade price.

Ok good.

Tom Wolsky wrote: There's really no upgrade mechanism in the App Store, which has kept a lot of developers out. With subscriptions there may be a way around it using a dummy update with in an app purchase for a one time subscription, i.e. an upgrade price.

That can be a double-edged sword.

While I too, would like to see a method for developers to be properly rewarded for their efforts, recent history proves developers, both large and small, do not thoroughly think through their pricing policies before they implement them ...

Just look at Adobe with the the backtrack to offer the Photography package ... at first, Ps CC standalone was $20 per month with a one year contract by itself. Lightroom was only available through CC as part of the whole-enchilada $50 per month package ... which were fair prices if you used any of those tools for earning a living ... but after several months of considerable furor online in many forums and blogs ... Adobe decided it was in their best interest to offer the Ps/Lr combo for $9.99 per month.

Likewise, Smile, the developer of TextExpander was forced to backtrack on their subscription policy to appease a very large group of very vocal users.

I don't have an issue with a subscription based model for acquiring software ... I have considerable concerns when developers fail to choose an equitable price for their offering and the fact that it is only human nature to become complacent and less innovative when you have a captive audience with little to no competition.

Just want to be clear that I am quite opposed to the subscription model, and do not support any application that goes in that route, and probably will never do so. I am just suggesting that the subscription capability using a one-time in app subscription might be a a workaround to provide upgrade revenue.

There will always be those who complain that I just bought it for $300 and now I have to pay another $20 to get the latest yada yada yada, but that's always there.

I think the current model, which some developers have used, of a whole new purchase for an upgrade has backfired, leaving a lot of users with with older versions. For instance if Apple had asked for $300 for 10.2 to get 3D titling, I think a large number of users would have said no thanks.

Finding a middle ground that doesn't involve subscriptions is essential I think.

My biggest peeve with the adobe subscription model is if I don't have internet when the app goes to validate itself, then potentially I can't work until I get internet again, that could be disastrous for people who work remotely. Also my work is tied to an app that goes inert when i cancel. That would be like still having the hammer in my tool kit, but I can't fix the house I built with it. sounds silly to me.

I'd rather just pay a onetime fee for an update when it comes available. I'd gladly pay the $399 CND for a FCPX 10.3 or whatever it may be, so long as the improvements are worth it. besides, apple already get's my money whenever I buy a new dongle for FCPX, and by dongle mean computer for FCPX

I can understand subscriptions for some products, like a web based app like a frame.io plugin for FPCX, or a dropbox type app. But I guess we will see what happens...

Tom Wolsky wrote: Just want to be clear that I am quite opposed to the subscription model, and do not support any application that goes in that route, and probably will never do so. I am just suggesting that the subscription capability using a one-time in app subscription might be a a workaround to provide upgrade revenue.

I agree ... I am not a proponent of subscriptions per se either. However, the App store does need to address the upgrade path both effectively and equitably for all involved.

For example, the Adobe CC subscription pricing is pretty much a wash compared to the former perpetual license pricing if you upgraded EVERY cycle ... that's fine ... but ... if Adobe should falter on offering updates/upgrades to the same level and frequency all is well. If they reduce that effort ... they receive a more balanced cash flow ... but the end user loses their influence because they no longer can pay purely based upon merit.

I am impressed that the linked article (not sure if it was this thread or another on this forum) mentioned that developers would receive 70% split of sales for the first year and 85% for subsequent periods could be an incentive for them to adopt the model.

I don't mind a budget billing method that subscriptions offer ... but developers, large and small, need to be responsive to their users and not get lazy.

I'm all for everyone reaping rewards for their efforts ... but that reward should be based upon merit ... not purely time of service.

davechap wrote:
If 10.3 (or 11?) does have a new price of $299 and a separate upgrade price, I wonder what it would be?

Final Cut Pro 11 won't happen for a long, long time. The one single reason? Apple is absolutely enamored with the letter X. They love it more than any other letter in the alphabet. Why do you think they skipped Final Cut Pro 8 and 9? One reason and one reason only: The letter X. I always say "eks" instead of "ten" for this reason. It pisses off Apple fanboys but I guess that's half the fun. Apple doesn't care if people say X instead of 10.

Redifer wrote:
Apple is absolutely enamored with the letter X. They love it more than any other letter in the alphabet.

Oh, I don't know ... they seem to use the letter 'i' quite a bit ... at least as much as X.

Actually, according to a product manager who gave private demos at NAB the second year FCPX was out, there actually was an FCP 8 and an FCP 9, both got trashed as the OS X team changed things very quickly during that time that brought FCPX up much earlier than expected. Just some trivia.

I have apps purchased via the App Store, that had major upgrades they charged for. They simply put up a new product, the upgrade, and charged a new price. You bought the new version, or stuck with the old one and no support. I'm not a fan of that, but, it has happened. Apple doesn't roll that way, though. Thank goodness.

Side note for those of us who are parents of younger kids still at home, expect more apps to change in-app upgrade purchases to become subscription based apps. Yeah, when that starts to happen, I know a set of twins who are going to really be mad as hell at me...

Oh, also "tvOS" and "watchOS", so they use the words tv and watch, also. Yeah, some day, "watchFCPX"...

But there is evidence the X will be dropped in favor of "MacOS".
www.macrumors.com/2016/06/08/apple-refer...n-developer-website/

So maybe a major upgrade from FCPX to FCP Mac? Naw, that just sounds stupid...

I really hate subscription based technology, firstly it is expensive, and secondly, what currency are you going to use to charge?

Adobe uses the US Dollar here in South Africa, and this is a problem as Reserve Bank regulations do not allow for off shore subscriptions for certain bank account holders, of which I am one, you need to be a company, of good standing, have a licence and a credit card, of which I do not have, so that is one reason, I am not subscribed to Adobe, the 2nd is I hate renting, bad enough I have to rent my room/bed/pots/pans/etc!!!

The major issue with rental is theft, people will find a way to steal apps, and flog them on torrents, it is so easy to find pirate copies of FCPX on torrents, same for Adobe, so subscription only increases the rate of app theft, it is not a prevention, as long as Adobe is subscription only, I see the reason for app theft, look it is not right, theft never is, but I understand why people do it, even $300 is expensive for many folk outside of the USA.

Our exchange rate to the US Dollar is getting out of control, $300 is now more than a month's rent for me, my rent is R4200, or $285 a month, my income is about $200 a month more than that, around $470, so you see things would be very expensive.

Even $30 for a ripple training video is outside of my budget, for most folks $30 is pocket change, a couple of burgers/french fries/soda, that is 2 weeks of gas for my car!!!

I really hope that subscription is never implemented for FCPX/Logic/Compressor and other related apps, if it is, then I will be stuck at a lower level of fcpx, the costs would be to great to update, as it would be for many folks, many of whom use FCPX as a part time income, they are not busy enough to justify spending hundreds of $'s on software updates.

Apple has I am sure made more than $1b on pro apps, if you take into account the purchase of updated hardware to use with FCPX, Logic, I bought a new 13 inch laptop and FCPX, that is a huge investment, at least 8 months rent went into the purchase, I hope and pray subscription is never considered!!

ButchM wrote: Oh, I don't know ... they seem to use the letter 'i' quite a bit ... at least as much as X.

Ha! Very true. So true that others have adopted it in hopes of achieving a sliver of success.