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| Amazon lowers store commissions to attract developers |
Amazon decided to attract more developers to use the Android App Store and Fire OS. So, it followed in the footsteps of Apple and Google, announcing a new Amazon Appstore Small Business Accelerator program that charges developers lower commissions.
Apple and Google reduced their stake in the first million developers from 30% to 15%.
For developers with annual sales of less than $1 million, Amazon will reduce its share of developer sales from 30% to 20%.
The new terms also provide developers with AWS Advertising Credentials. If the developer's annual income is less than $1 million it is 10% of the developer's income.
When a developer chooses to use AWS Points. This raises the share of total income from 70% to 90%.
The idea is that if your app uses the Amazon AWS cloud service, you keep 90% of your money.
If you are using a competitor's cloud service, Amazon can encourage you to become an AWS customer.
Read also: Amazon automatically shares the Internet with your neighbors
Amazon lowers in-store commissions:
With this change, Amazon revenue sharing is tightly integrated into new Apple and Google App Store policies.
However, if smaller Amazon Appstore developers do not use the additional 10% AWS credits that expire 12 months after receipt, their benefits under the new Amazon policy will not be the same as the new Apple or Google policy.
Conversely, for developers who spend more than 10% of their annual revenue on AWS spending, the new Amazon App Store plan is more beneficial than Apple or Google.
After the new software is released, developers will need to link their AWS account to their Amazon Appstore account. This will give you an additional 10% AWS Points.
Like the Apple plan, it's a plan you have to apply for. You can be fired, if your income exceeds $1 million, you will be automatically fired and you will have to reapply in the second year.
In return, Google offers developers a 15% discount on their first $1 million sales.