Here's how Facebook goes around Apple’s commission

To have more interesting content, Facebook helps creators to monetize their activities. And while it was already possible to make money on the social network through advertising, it also launched a fan subscription system.

In essence, fans of a page can support it by subscribing to a monthly subscription that provides access to paid benefits. And this week, Facebook is announcing a new subscription mechanism that will allow creators to earn more money by bypassing commissions from Apple and Google.

When a Facebook user subscribes to a one-page paid subscription, and does so on their smartphone using the App Store or Play Store payment systems, Apple or Google take a commission on these payments. But Facebook has found a trick that will bypass these commissions.

“Earlier this year, as part of our commitment to supporting creators, we announced that Facebook would not collect any fees from creators on subscription purchases until 2023, at the earliest. Creators, however, still have to give up 15-30% of their revenue to companies like Apple every time people buy subscriptions in the Facebook app on mobile devices. For recurring payments like subscriptions, this adds up quickly since these fees are paid monthly,” a Facebook blog post read.

What changes is that Facebook will offer an alternative to creators. They will have the opportunity to share a link that will redirect future subscribers to a payment system offered by Facebook to pay for subscriptions.

“When people purchase memberships from this website on web or mobile, creators will be able to keep 100% of the money they earn, excluding taxes,” the social network says.

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— Juwan - follback. Fri Oct 29 03:35:17 +0000 2010

Apple might be furious!

As The Verge notes, Facebook is taking advantage of a gray area in Apple's policies for iOS apps. Indeed, it is forbidden for developers to offer to integrate payment systems other than that of the App Store for the payment of subscriptions and in-app purchases. However, in the case of Facebook, it is not the developer, but the creators who will send these links to users in order to offer them to bypass the App Store payment system and therefore the commission of Apple.

In addition to this new way to avoid paying Apple's commission, Facebook is also announcing a bonus system to compensate creators who use its fan subscription mechanism. The company will pay creators $5 to $20 each time they add a new subscriber. This offer is valid until the end of the year.

For the moment, Apple has not yet reacted to Facebook's announcement. But it should be noted that this is done at a time when the Cupertino company is under increasing pressure regarding the regulations of the App Store and the commission charged on in-app purchases and subscriptions.

Recently, Apple has also ceded ground, in order to put an end to a case that pitted the company against a group of developers. And in the context of the lawsuit against Epic, the American justice considered that Apple does not have the right to prohibit developers from integrating third-party payment solutions into their apps.

However, this decision has not yet been implemented. Apple appealed and requested a suspension during the proceedings, but the judge has not yet ruled on this.