Filed under: Rumors, App Store
iPhone app developers: Start your engines
According to a few anonymous tips, the iPhone App Store is open and ready for business -- for developers.
Apple has opened the App Store to allow registered developers to prepare the final versions of their apps for distribution. Apple has the ultimate say about which apps will appear in the App Store when it launches in early July. The source speculates that larger app developers could get preferential treatment in obtaining expedited approval.
The source also mentioned that developers will be able to select prices for their apps, so long as the price ends in 99 cents. So, for example, prices of $0.99, $1.99, and $99.99 are all acceptable. "Free" is also an option, as expected.
In related news, developers will be using iTunes Connect, familiar to bands and artists who sell their music through the iTunes Store, to monitor the financial performance of their apps. Additionally, Apple will withhold any payments until the developer's share of the sales reaches $250, or its regional currency equivalent. It is unclear what increments Apple will pay after that threshold is reached.
Developers can find out more information about submitting their apps from the "Program Portal" on Apple's secure developer website.

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Reader Comments (Page 1 of 1)
TomWBrowning said 5:25PM on 6-26-2008
So if you make an app that costs $1 you won't see a penny even if 359 people buy it? I mean, I know that's not enough to make a living, but for an in-your-spare-time app it's probably acceptable returns on a hobby.
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TomWBrowning said 5:27PM on 6-26-2008
That's based on the 70% cut developers get, by the way. $250 is 70% of $360.
TomWBrowning said 5:28PM on 6-26-2008
...I think.
Ryan said 5:32PM on 6-26-2008
357.14$ You're good!
Robert Palmer said 5:32PM on 6-26-2008
That would appear to be the case, yes. Remember, these people paid at least $99 just to submit their apps into the program, too. So you could figure an extra hundred sales to make up for that.
Zimmie said 5:36PM on 6-26-2008
Sounds right, though once you cross the threshold, you'll get paid the entire amount. It's like most micropayment systems where it accumulates and once you've earned $X or more, they send you the lump sum at the end of the month, then reset the amount they owe you to $0.
TomWBrowning said 5:38PM on 6-26-2008
@Ryan: Spotlight's calculator function takes the credit I'm afraid
@Robert: Hadn't thought of that. I think this will put off, or at least, vaguely worry, some young talent. I mean, I'd rather get 350 bucks than nothing at all for a small app.
@Zimmie: If you ask me, the increments at which revenue is passed on should be on a scale. Increasing as overall profits increase. So, for a small starting-out developer with a small, cheap app, revenue should pay out starting with every $50, or even less.
JD said 6:53PM on 6-26-2008
Hopefully this will act as an incentive to charge nothing. Charging even $1 probably decreases your audience by a factor of 10, so you're trading off a much bigger audience with a chance you might not even get back the $99 fee.
TomWBrowning said 6:55PM on 6-26-2008
It also decreases your profits by a factor of.. well whatever factor results in zero profits.
z peskin said 5:34PM on 6-26-2008
that seems a little rediculous.
For exampleif a hobbyist just builds an app for fun and intends on ceeling it for 99 cents. He might never get paid. There should be an option of how often developers are paid
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Hawk said 5:38PM on 6-26-2008
I would have to say that on any given day of the week, the company I work for sells about 70 to 80 units. This number is totally not official and is based on me remembering what the sales numbers look like when I punch them in.
This is software that users will be paying 19.95 to 29.95 for. It is also software that will be available on the iPhone, for a price that we totally don't know yet, and if I did know I wouldn't say.
Granted, we're also kind of a 'big shot' in our field compared to Some Random Person Who Wrote An App In His Spare Time. Big shot is relative; we're not Adobe or Microsoft or SAP or something Fortune 500 or 1000 or whatever.
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Rubbinz said 6:17PM on 6-26-2008
Kinda sounds like a way for Jobs to weasel out of the "Monthly Check" promise. They need to lower the minimum payment amount to $50 like most affiliate payments.
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Tony said 6:47PM on 6-26-2008
It'll lead to more free apps though..
Sell for $.99 - get paid nothing
Sell for free - get paid nothing
I've got a few app ideas I thought I might stick a minimal $.99 charge on.. they're not exactly world class ideas and probably aren't worth more than that, but I thought I might get my $99 back eventally. Won't bother now.. not worth it TBH.
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TomWBrowning said 6:56PM on 6-26-2008
You'd rather definitely get no money than maybe get some? Weird.
Chris Newton said 7:05PM on 6-26-2008
How is $99 not worth it? I don't see the logic in:
$.99 get paid nothing (probably, but possibly a chance if your app is good)
$.00 get paid nothing, for sure.
Camillo Miller said 6:57PM on 6-26-2008
Ok Miss Sadun.
You're out of the Program, you deceptive iPhone Hacker extraordinaire. :-)
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Ramani said 8:52PM on 6-26-2008
It is shameful on Steve if he takes $99 and doesn't give it back to developers at the earliest. If he wants to encourage developers, he should apply this $250 withholding only for enterprise customers (who paid $250 in the first place). For individual developers, $99 or $50 withholding is appropriate.
Don't get too greedy, Steve. We love you but we expect the love back too.
"Pissed off" developer.
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EdH said 11:09PM on 6-26-2008
Huh? Enterprise developers, by definition, are not selling to the public, and aren't applicable here. They are not expecting their $250 back, since they are distributing to internal users.
Though I guess if they came up with a really cool way to fill out 'TPS Reports' on the iPhone, they might make a killing :-)
PaulN said 3:18AM on 6-27-2008
6 million iphones sold already, Apple expecting to sell 15 million in the next year, 21 million potential customers in the next 12 months.
If your worried you can't sell 359 apps at 99 cents then I suspect your app is not worth uploading to the store in the first place.
With the size of the market (growing at a rapid rate) and ease of purchase, any useful app at a fair price will sell big time.
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