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Telegram founder says Apple is crushing entrepreneurs with App Store tax, urges regulators to take action

Apple has a 30 per cent App Store fee wherein it takes a cut for every purchase for every subscription that is done from its App Store

Telegram founder says Apple is crushing entrepreneurs with App Store tax, urges regulators to take action
Telegram founder says Apple is crushing entrepreneurs with App Store tax, urges regulators to take action

Apple has a 30 per cent App Store fee wherein it takes a cut for every subscription that is done from its App Store. This has been upsetting many content creators and app makers. Spotify that has long been in tussle with Apple over its policies, recently removed audiobooks from its iOS app preventing iPhone users from buying audiobook. Now, the popular encrypted chat platform Telegram has announced that it has no option than to comply with Apple policies and which is why it is removing paid posts on iOS devices.

“Some content creators started using third-party payment bots to sell access to individual posts in their Telegram channels. This way, content creators could receive close to 100% of whatever their subscribers paid, which was great,” Telegram founder Pavel Durov wrote on his official Telegram channel.

He added that after hearing from Apple that they were not happy with content creators finding their way out from paying 30 per cent tax, Telegram is forced to disable paid posts on iOS devices.

“Since Apple has complete control over its ecosystem, we had no alternative but to disable such paid posts on iOS devices,” he added.

Durov has also accused Apple’s tax policy of destroying dreams and crushing more entrepreneurs with a tax that is higher than government levied VAT. He urges regulators in the European Union, India and elsewhere start taking action before more dreams are destroyed and crushes more entrepreneurs.

Durov has also in a separate post talked about seven reasons why every iPhone user should be worried about the 30% tax. He states that this tax policy makes all apps and digital goods expensive for users. He further states that some content in apps like Telegram is unavailable because Apple censors what is allowed on the App Store, which it fully controls to enforce the 30% tax. “Apple even restricts us – app developers – from telling our users that certain content was hidden for iPhone users specifically at their request,” he writes.

The other reasons listed by him include lack of privacy, delays in app updates, more ads in apps, and more.

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First published on: 29-10-2022 at 11:32 IST