The social network on Friday rolled out a paid events feature in 20 countries, offering businesses the ability to charge users for access to live video streams, like a yoga class or seminar. Facebook said that Apple didn’t agree to waive its usual 30% fee for all transactions that take place within apps on its devices, and won’t let Facebook process the payments using its own technology for iOS users.Bloomberg
Facebook claims that by collecting a 30% fee from in-app purchases made with Facebook’s built-in feature for paid events, Apple is hence hurting small businesses trying to survive the global pandemic. Facebook”s Fidji Simo, an executive in charge of Facebook’s app says they went through the proper channels to ask Apple to bypass its 30% fee for those businesses, but they declined.
“We went through our usual channels to suggest strongly to them to waive their fee or to let us use Facebook Pay — one of the two — and they declined,” Simo said about Apple in an interview. Simo called Apple an important partner, and said Facebook relies on Apple’s App Store to distribute its own apps, while noting that the company disagrees with Apple’s revenue structure.
“Helping small businesses recover from Covid is a critical thing that all tech companies should help with,” she said. “The reason we’re calling them out here is we hope they join us and end up waving their fees, so that’s really the goal here.”Bloomberg