“The reaction we have gotten so far has been really strong,” Mr. Jobs said in a telephone interview with the Times this week. “The quality and the sophistication of the applications you can write for the iPhone is in a different class.”
The App store looks to be embedded in the Apple iTunes store with inexpensive downloads of casual games. The idea behind the App Store seems to be another one of Apple’s ways of making a clean clear interface.
Steve said that the App Store goal is to “sell more iPhones.” Apple will give developers a 70 percent cut of sales. The 30/70 split is a more generous deal for developers than what is common in the video game industry. He said that Apple would also provide distribution and marketing.
The plan is to have twenty-five percent of the first 500 applications at the store be free. Steve Jobs is quoted as saying. Of the commercial applications, 90 percent will be sold for $9.99 or less. And one third of the first wave of applications will be games.
A good point that was made is that when the iPod was released, music executives hailed him as a savior for their flagging business. But they later complained they were not paid enough. The love / hate relationship that the old established music and movie industries have been less than friendly in their relationship with Apple. What remains to be seen is if there will be battles over rights and exclusivity of the games. Some developers would love to write Apps for the iPhones, however their softwares are running on competing phones and platforms like Palm, Nokia and Blackberry. It would not surprise me if they try to hold onto those IPs tooth and nail.
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