The Vergecast Basecamp CTO David Heinemeier Hansson and Rep. David Cicilline on Apple's monopolistic app store fees
Jun 18, 2020
David Heinemeier Hansson, the CTO of Basecamp, opens up about the rejection of their email app, Hey, by Apple, citing monopolistic practices. He discusses the absurdity of having to give a 30% cut to Apple for in-app sign-ups. Joining him is Rep. David Cicilline, who leads the House Antitrust Committee, discussing the urgent need for regulatory reform to curb Apple's dominance. They explore how stringent App Store policies stifle competition and innovation, urging for a fairer environment for developers and accountability for tech giants.
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Hey App Rejection
- Apple rejected Hey's app update for not using in-app purchases, despite prior approval.
- Apple threatened removal unless Hey paid 30% of its revenue, impacting its business.
Apple as Gatekeeper
- Apple's gatekeeper status creates a power imbalance, forcing developers into unfavorable terms.
- Many developers are afraid to speak out against Apple due to fear of retaliation.
Monopolistic Behavior
- Apple's practices mirror historical monopolies, like railroads and telecom, exploiting their power.
- This economic coercion stifles small developers and limits consumer choice.