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An App Store For iPhone Software

Posted by kdawson on Thu Mar 06, 2008 04:27 PM
from the can-you-run-me-now dept.
Steve Jobs demonstrated a new "App Store" that will be pushed out to all iPhones in June. It's available now in beta. This will be the exclusive avenue developers will use to get their iPhone apps, written to the newly released SDK, to customers. Developers will get 70% of the proceeds from sales of their goods on the App store, with no further charges for hosting, credit-card processing, etc. Jobs called this "the best deal going to distribute applications in the mobile space."
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[+] Apple: Apple Targeting Business World for the iPhone 338 comments
The New York Times is running a couple of stories about the future of the iPhone in the business world and Apple's plan to maintain control of application development. Now that the iPhone SDK has been released and the "App store" has been demonstrated, Steve Jobs is pushing for the adoption of the iPhone as a standard business tool. In addition, a venture capitalist named John Doerr has launched a $100 million "iFund" to spur development of applications for the iPhone. From the NYTimes: "Mr. Jobs was upfront that there are limitations on what applications can do. He talked about bans on pornography and malicious programs. He also said Apple will not allow any application to be installed on the machine other than through the iTunes store. Nor will applications be permitted that enable an end run around Apple's deals with wireless carriers. Many questions remain unanswered. How much streaming video will Apple allow, because the iPhone is such an interesting video device? Mr. Jobs did say that the application development environment will have a lot of capabilities for video playback. Will Apple allow a service like Last.FM to offer streaming music on the iPhone?"
[+] T-Mobile To Open App Store For All of Their Phones 103 comments
tsa brings news that T-Mobile will be developing their own application store to compete with Apple's popular distribution scheme. Their aim is to be capable of bringing new services to all of their customers. Excerpting: "Developers will submit their applications online; the revenue-share agreement will be based on how much the application uses the network; and the applications will be presented to the user in order of popularity, not according to T-Mobile's preferences. It's all pretty straightforward, but the more interesting aspect is that this will apply to all the carrier's platforms from upcoming Android to Java to Sidekick and Windows Mobile."
[+] Technology: Google Awards Android Dev Prizes, Introduces App Store 52 comments
An anonymous reader writes "A group of Canadian engineering students was one of 10 teams to win a $275,000 prize from internet search giant Google Inc. Their program, Ecorio, gives users the ability to reduce their environmental footprint with tools that provide transit options for trips, invest in carbon reduction projects, and share their tips with other users. Other winners included a taxi location app, a price comparison app, and a settings manager than changes your settings based on your location." Google has also started talking about their plans for Android Market, which is similar to the App store used for the iPhone. Ars Technica's coverage points out a blog post by Google's Eric Chu which notes that early handsets running Android will have a beta version of Android Market enabled.
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  • Free (Score:5, Insightful)

    by deathtopaulw (1032050) on Thursday March 06 2008, @04:30PM (#22667504) Homepage
    "And there's no charge for developers to distribute free applications"

    Well... now I'm excited
  • by revscat (35618) on Thursday March 06 2008, @04:30PM (#22667514) Homepage Journal
    Meh. My submission was better.

    Apple revealed details of the iPhone SDK today. Apps will be developed using XCode and the new Cocoa Touch framework, and will be distributed by Apple either via an application on the phone or through iTunes. Developers set the cost of their applications and keep 70%, although "free" is also an option. (Not all applications will be distributed: "Porn, malicious apps, ones that invade privacy.") When asked about VOIP, Jobs replied: "We will only stop VOIP over cell networks, but not WiFi." Corporations can also privately distribute applications to their employees. AOL demoed an AIM client, and an iPhone version of the upcoming game Spore was also demoed. The iPhone is also gaining enhanced enterprise capabilities, including Exchange and Cisco VPN support, remote wiping, as well as certificates and identities.
  • by Tibor the Hun (143056) on Thursday March 06 2008, @04:32PM (#22667576)
    The main question I have, is if John Carmack has anything to add to the discussion.
    With his latest interest in portable gaming, I hope he could see some value in the iPhone/touch platform.
    The screen on the phone is phenomenal (in terms of pixels/inch), touch gestures and accelerometers should add quite a few new exciting additions to the gaming world.
    I hope he has an intel Mac and time to download the beta of the SDK and try it out.

    With Doom, or even Quake on my iPod touch, I don't think I'd ever leave the bathroom at work. (80% serious, 20% joking)
  • FYI (Score:5, Informative)

    by Lally Singh (3427) on Thursday March 06 2008, @04:35PM (#22667626) Journal
    Comparison pricing:

        I used to develop & sell software for PalmOS.

        The IDE was $500, plus $150/year to upgrade.
        The major reseller I used wanted 40%, for a lower percentage they'd shove you in the back of the bus. I had my own web store set up separately, but literally got zero (nil, nada) sales from it. Mobile users tend to shop at specific sites. Without their own reputation, the little guys have to lean on the reputation of resellers (i.e. it's credible b/c it's being sold by them).

    30% off the top isn't great, but it also doesn't require hosting, fulfillment, or anything else. Just ship them a binary and they send you a check in the mail each month until people stop buying (or an ABI change breaks your binary). I don't know how refunds are handled (or allowed at all), or documentation or support either, really.

    Still, any info on what we can put on our own devices? I'm not interested in going back into mobile space anytime soon, just looking for a phone I can hack on personally. The SDK here is nice, but I'm still leaning towards the new openmoko when it comes out.
    • Re:FYI (Score:5, Interesting)

      by iluvcapra (782887) on Thursday March 06 2008, @04:44PM (#22667816) Homepage

      30% off the top isn't great, but it also doesn't require hosting, fulfillment, or anything else. Just ship them a binary and they send you a check in the mail each month until people stop buying (or an ABI change breaks your binary). I don't know how refunds are handled (or allowed at all), or documentation or support either, really.

      Apple also will allow you to notify your purchasers and update your apps on their handsets through an automated system tied into the store; this was something that was really lacking on Palm IMHO. A new version would come out of some little helper widget and you'd never know since you'd never visit the site again.

  • by stokessd (89903) on Thursday March 06 2008, @04:36PM (#22667644) Homepage
    The SDK is going to be HUGE for the jailbreaking community. They now have an official documented API and development environment. So there will be apps out there way earlier than 4 months.

    IT sounds like the limitations on the SDK are not as drastic as I feared, but I strongly suspect that apple will limit ichat type clients though. Those would kill the golden goose that is SMS.

    The more limiting the SDK is, the more vibrant the jailbroken app community will be.

    I'm waiting for the Apple servers to recover from the melt-down and I'll be downloading the SDK. Looks like a geeky evening for me.

    Apps the iPhone needs:

    MMS: WTF apple? This was obvious...
    A Calculator that doesn't suck: RPN and trig functions etc. No more Dollar store Calc.
    Chat client that uses wifi AND wireless data.

    Sheldon
  • What a strange angle (Score:5, Interesting)

    by iluvcapra (782887) on Thursday March 06 2008, @04:37PM (#22667652) Homepage

    The app store is news, as it the 70/30 split, but what about these submissions:

    SDK features:

    Cocoa Touch: Multi-touch events, Multi-touch controls, Acceleromter, View Hierarchy, Localization, Alerts, Web View, People Picker, Image Picker, Camera Media: Core Audio, OpenAL, Audio Mixing, Audio Recording, Video Playback, JPG, PNG, TIFF, PDS Quartz, Core Animation, Embedded OpenGL Core Services: Collections, Address Book, Networking, File access, SQLite, Core Location, Net Services Threading, Preferences, URL utilities Core OS: OS X Kernel, BSD TCP/IP, Sockets, Power Management, Keychain, Certificates, File System, Lib System, Security, Bonjour

    OpenGL Games:

    Stoked about the little SDK that was announced today? Apparently, so was Apple, as it's already starting to announce the first games to go along with it. For starters, we've got Touch Fighter and Spore (!!!), the first of which was somehow thrown together in two weeks, the latter of which won't be available until September. Also, users can expect Super Monkey Ball, which was hailed being a notch above your average "cellphone game." Simmer on that for a second, we'll keep updating as we get more in.

    MS Exchange:

    Apple announced that it has licensed Exhange ActiveSync protocol from Microsoft, which will make it easier for business customers to get their email on an iPhone.

    Or mine:

    Apple has just wrapped up their iPhone development roadmap and here are the features to be presented with version 2.0, due in June: Push email and contacts, ActiveSync supporting Exchange, remote wipe. Several video games were demoed using the iPhone accelerometer and OpenGL on the iPhone, such as Spore and Super Monkeyball. SDK with development in Xcode was announced, performance suite and remote debugging of iPhone apps over the sync cable. Apple will sell apps through an iTunes-style store, that will work OTA from the iPhone or with the host computer.

    It would appear the slashdot editor simply went with the submission with the most "Apple is teh EEEEVILL" slant.

    • by SuperKendall (25149) on Thursday March 06 2008, @04:31PM (#22667544)
      Yep, free apps are allowed and even encouraged. You have to pay a $99 developer fee to get assigned a cert, so you have to sign your apps - but you can set any price, including free.
    • by digitac (24581) on Thursday March 06 2008, @04:32PM (#22667564) Homepage
      Yes, but Apple still takes 30% of the sales price.
        • by revscat (35618) on Thursday March 06 2008, @05:18PM (#22668396) Homepage Journal

          Apple, I am a fan, and most importantly, a paying customer. However, give up the MS-like control. Charging developers $100 for a cert then telling them that you are going to take 30% of the sales? Lame, freaking Lame.

          Do you think so? I don't. For that 30% you get a distribution network, a way to notify your users of updates, and free advertising via the integrated download client. Seems pretty fair to me. And the IDE and SDK itself are free. IIRC Palm charges charges similarly, and you have to buy the IDE. (I don't know about RIM.)

    • by SuperKendall (25149) on Thursday March 06 2008, @04:37PM (#22667672)
      Just because there is a simulator, does not mean you cannot also load the app onto the phone directly - they showed a demo of an app being pushed to the phone and then also being debugged (from the Mac side) while it ran, including gathering profiling data.

      It's basically the best scenario you could have hoped for as a developer.
    • by garett_spencley (193892) on Thursday March 06 2008, @04:38PM (#22667686) Journal
      Actually this could be a very sweet deal for developers.

      Now, I didn't read the details so maybe apple will prevent developers from selling their apps direct AND going through the App store ... but it seems to me that even with Apple taking a 30% cut, the exposure that the App store gives could provide the developers with WAY more sales than they could manage to get going solo.

      It's kind of like the Record Labels and Recording Artists. The only difference being that recording artists don't get to keep 70% of their sales and they usually take huge cash advances to record their albums that they have to pay back with absolutely no guarantee that they'll sell enough records to pay it back plus they're in a contract that promises the label X number of further records.

      No I don't have a problem with Apple's App store as long as they're providing a valuable service for the developers and on the surface it appears that they are. When they take the majority of the sales and lock the developers into contracts promising exclusive deals with the App store for years to come THEN I'll say the developers are better going solo. To me this seems like the high-exposure radio station of indie software marketing.
    • by BitZtream (692029) on Thursday March 06 2008, @04:40PM (#22667742)
      Direct sales don't come anywhere close to 100% in the real world. You have to pay for the distribution medium. If that is a box on a shelf, you generally pay for shelf space at the major retailers up front, and then make your money back after they take their cut.

      If you sell via the web, you have hosting costs, bandwidth isn't free, web site development costs money and time, managing updates requires atleast half a clue. You also have to do marketing if you expect it to get popular, just putting up a page doesn't mean people will buy your stuff, reguardless of how great it is, they have to find it first. So that means some form of advertising, sometimes all you need is to have Google index your site, if people are looking for something that only you offer. But its unlikely you are the first, and certainly not the most popular with your brand new software, so you aren't going to be near the top of the list without some Google bombing, which isn't free since it requires work at the very least.

      In this case, your 30% taken by Apple puts you on the definative list of iPhone software, and it makes you somewhat trusted, since Apple hasn't banned you yet. So if you think web distribution is closer to 100% then I say that you get 100% free marketing with the AppStore.

      Pick any other form of distribution and you'll find that its never anywhere close to 100%.

      30% is high. The company I work for distributes portable applications for U3 devices, on the U3 website, they charge 25% at the lost volume of sales. Of course, the also aren't Apple so its not suprising.

      If you want to bitch that Apple is charging too much, fine that argument I'll listen to. Claiming that direct sales is going to be close to 100%, thats just silly once you consider all the real costs that go into doing it.
    • by MBCook (132727) <foobarsoft@foobarsoft.com> on Thursday March 06 2008, @04:44PM (#22667828) Homepage

      Yea. Apple takes care of notifying users of updates. Apple takes care of bandwidth and server costs. Apple takes care of anti-piracy. Sounds rather nice to me. I'd be willing to give up only 30% of my possible profit to avoid all those different headaches. If your application becomes popular, those things can get complex and expensive.

      It will be interesting to see what some of the Mac Developer Bloggers think about this (Daniel Jalkut [red-sweater.com], John Gruber [daringfireball.net], and Wil Shipley [wilshipley.com] for example).

    • by stokessd (89903) on Thursday March 06 2008, @04:43PM (#22667798) Homepage
      I suspect that it will be a monitor the app after the fact type of thing. Apple and AT&T know who you are as the app author. So if your app does something funky, then they pull the plug on it. There's no way the apple folks are going to scour source for all the apps that will flow in. I suspect they have a profiling tool that checks port usage etc and off it goes. Then if it's doing something sneaky, AT&T will catch it eventually if it's popular, and pull the plug. If it's not popular (IE you and your aunt berha are exchanging chat messages over the data network not SMS) then it's really not an issue.

      The cost of putting actual eyeballs on code is so high that they would never do it. But some profiling tools would be cheap to use.

      Sheldon
    • by blueZ3 (744446) on Thursday March 06 2008, @04:48PM (#22667898) Homepage
      My understanding (and IANAA) is that because Apple realizes the revenue from iPhone purchases over the course of two years, they can make changes to the product and it's no big deal. With the touch, they've already accounted for your purchase, so there's some arcane rule that says they can't give you additional functionality without charging you for it. I'm betting the "nominal" fee really will be nominal--like $2 or something.
      • by tgd (2822) on Thursday March 06 2008, @04:56PM (#22668070)
        And presumably you could get someone in a generous position to offer free distribution of open source applications under a single "publisher". Ie, twenty free apps published by "FreeSoftwareInc", and suddenly its $5 per developer, not $100.

        Thats a price thats easy to make back up with ads, etc, on the "application" website.