Amazon lowers the commission for apps in its own app store if developers do not exceed a certain sales limit.
Amazon has implemented its change announced in June 2021 regarding commissions in the App Store. Smaller developers can use it to keep a larger share of their income. With this step, Amazon wants to make the store more attractive to them.
Amazon's App Store is used, among other things, for Fire TV devices and Fire tablets to install apps. The selection of apps in Amazon's App Store is much smaller than in Google's Play Store, for example. This leads to the problem that popular and widespread apps for Fire tablets are also missing. This includes apps for smart home control, headphones, and streaming apps such as RTL +.
The change in the App Store rules probably took place on December 22nd, 2021, but was only noticed now, reports the Fire TV fan blog AFTVnews. The person in charge of AFTVnews offers its own apps for Fire TV devices in particular and was informed of the new changes in the course of this.
Amazon Will Not Distribute AWS Credits Until 2022
If developers earn less than $1 million a year, they take part in what is known as the App Store Small Business Accelerator Program. In the course of this, Amazon's share of the sales of the app offered by the developer will be reduced. Instead of the usual 30 percent, Amazon only retains 20 percent. The developer will get 80 percent of the sale of the app instead of 70 percent as before.
The classification as a participant in the App Store Small Business Accelerator Program depends on the earnings of the previous calendar year. As soon as a developer earns more than $1 million a year, he is counted as a normal developer, and Amazon's commission on app revenue increases to 30 percent. A switch to the Small Business Accelerator Program will then only be possible again in the next calendar year, according to the AFTVnews report.
Amazon has also promised participants in the App Store Small Business Accelerator Program credit for the use of AWS amounting to 10 percent of the developer's revenue. However, these AWS credits are not yet available. They are slated to go live sometime in 2022. It is not known exactly when that will happen. Amazon will notify authorized developers by email when it starts.