Disney and Apple Are Splitting Over App Store Fees

If you want to sign up for a subscription to Hulu or Disney+, don't bother taking out your iPhone. Disney is now telling would-be customers to pay for subscriptions on Disney's own site, instead of on Apple's App Store -- though people who've already started paying for either service via Apple can keep doing that. From a report: The two companies are still working together on some projects. But the App Store split does represent a rift between two longtime partners, so it's definitely worth noting.

Disney's rationale is clear here: When customers sign up for Disney subscription services via Apple, Apple takes up to 15% of the monthly fees those services generate. And Disney CEO Bob Iger has made it clear that he doesn't want to pay that anymore. 'We have to look at the way we're distributing,' Iger said at an investor conference in May. 'Unlike Netflix, we distribute largely through third-party app stores. There's obviously an advantage to that to some extent, but there's a cost to that, too. And we're looking at that.'

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