The growing pains of Apple’s subscription addiction – TechCrunch

Hello friends, and welcome back Week of review!!

Last week we talked about how YouTube was able to skate while Facebook was overwhelmed by platform liability concerns. This week we’re seeing another slippery slope where Apple is dancing on the edge.

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Big thing

After first reaching its sweet trillion dollar valuation and then exceeding $ 2 trillion, Apple has a long way to go to become the first $ 4 trillion company, and some to get there. You will be well aware that you have to make controversial choices. Joking aside, Apple’s business is actually changing quite a bit as it reaches the megascale, and Apple flirts with growth tactics that can be considered bold, aggressive, or just above the line. ..

Apple’s diversifying business has become a bit more aggressive than before as it shifts from simply forcing consumers to buy a new iPhone to buying an Apple device and pinning it to the subscription software service for that device. I’m starting.

this week, Tim Sweeney, CEO of Epic Games, called on Apple to place an ad in the Settings app for its own service., Begins criticism that Apple isn’t playing with its own rules. His complaint was probably intended to focus on claiming Apple’s anti-competitiveness, but my first takeaway after seeing an ad for a free trial of Apple Music within the Settings app was ” Damn, isn’t Apple a little Gauche? “

For a $ 2 trillion company, encouraging consumers to buy something within the section of apps they normally access when trying to fix something seems like a pretty embarrassing growth hack. Sure, it’s just one ad slot and one slip-up, but the lack of spam and clapware has long been a hallmark of the Apple device ecosystem. Sure, you might not like pre-installing standard calculators and stock apps for years, but it wasn’t too much of a hassle, but Apple has a variety of music, News +, and more. As we started pushing paid subscriptions after paid subscriptions with Apple services, we start to wonder where this leads to tv +, Fitness +, Arcade, iCloud +, etc.

Apple is also starting to build more complex subscriber products that lie outside of a single app. The iCloud + service now blends Safari’s more sophisticated privacy features and backups, which are only available to paid customers. Different levels of Apple One membership bundle these services at discounted prices that you can share with your family. And certainly, at Sweeney’s point, this would all be very frustrating for developers trying to compete with products that have a permanent home-court advantage, but it also just wants a device to bring. They lead to less-welcome platforms for consumers who are more objective to the wider Web and all its stakeholders and services.

As a full disclaimer, Apple has been highly criticized for its seemingly trivial things. Because Apple generally does a pretty solid job of streamlining the positive consumer experience on devices, and consumers are accustomed to seeing other companies snowball these little things. Because. A misguided incentive to slowly erode the product. As a result, when you launch your new device, you’ll get some warning signs if you see some promotional push notifications than you would with regular or misplaced ads, or too many referral offers.

It’s certainly not a crime for Apple to turn into a services business, but it’s important to recognize that in order to do so, we need to change what fundamentally our relationships with consumers look like. We are just beginning to taste some of these changes today, but they may become even more prominent in the future.

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We’ll be experimenting with this section a bit in the coming weeks, so there’s less cold summaries and more context … let us know on Twitter if this is your jam or if you want more headlines and less flashiness: )

Twitch Hack Spells Future Problems With Game Streaming Kingpin
Amazon’s game-centric streaming service was a pretty bad week as hackers released a ton of source code and creator payment data. This is a pretty big competitive loss for Twitch, leaving a spreadsheet of data on Facebook Gaming and YouTube Gaming to pouch an exclusive streamer to the platform.Probably that too Demoralize On a streamer basis, streamers can now time how much more of their competitors are pulling in from what was paid by streaming giants.

Twitch’s oversized lead in the Game Streamer War is slowly shrinking as a result of YouTube and Facebook’s efforts to attract viewers. Twitch is still the default of choice for many early career streamers, and YouTube and Facebook are a few miles behind in this category. Their success mainly comes from spending money on paid partner programs to involve popular content creators. So the data that was just leaked is pretty valuable to them.

Facebook / Instagram / WhatsApp God-Terrible Week
Facebook has had a pretty rough week, but the past week has simply been brutal.While the company is in a PR war Whistleblower, The service suffered that Probably the cruelest outage in the last 10 yearsIn the meantime, it shuts down all global services of the company and destroys internal tools. Everything went down for a few hours. This represents a lot of confusion and frustration, especially for users who rely heavily on WhatsApp for business and social life.

As I wrote last week, Facebook is probably not the only internet media platform that is universally abandoned, but despite the wrath of many people, company executives say they are mistreated by them. I feel they are, and they are not even trying to reflect on themselves. The Facebook brand is in a fairly persistent decline at this point, but the idea that it could spread to subsidiaries like Instagram is too important for leadership and shareholders to make a meaningful neglect. It should cause recognition.

Pay real money for fake stocks of real startups
This isn’t as influential as the two bits above, but we recommend that you don’t rehash the saga we covered this week. This feels like an indication of where we are in this bull market. Visionrare, an NFT platform for “fantasy startup investments,” was born earlier this week, and I covered its launch with considerable skepticism. It was essentially a pitch to treat venture capital investment like a fantasy sport and compete people to build their own portfolio full of startup synthetic NFT stocks.

After my launch post, many investors and entrepreneurs called out and elaborated on all the possible ways to be sued. The founders seem to have listened. Within a day of entering the public beta They closed the market, We promise a final return with a free playable version. Filled with weird money like the NFT market (and often), the founders of many top NFT projects hash lawyers and mechanics in advance so they don’t bother with these difficult choices after launch. I’m spending a very long time on it.Speaking of interesting money, this Generative art Sold for $ 6.9 million this week Toad I bought it for 420 ETH ($ 1.5 million). Enjoy the weekend.

Illustration of raining money

Image credit: Bryce Durbin / TechCrunch

What was added

Some of my favorite reads from the newly renamed ones TechCrunch + This Week’s Subscription Service:

Global start-ups raised $ 158 billion in the third quarter
“… Since the second half of 2020 began and the world of venture capital and startups discovered that COVID and its associated economic impact were set to overlook emerging technology markets, investors have been around. Busy to pack more cash into new companies than ever before. The world. Accelerating capital expansion is more unicorns, more megarounds, and more simply than ever in startup history. Has generated a lot of available dollars … “

Understand the details correctly on the pitch deck
“… All the mess, we host a session called Pitch Deck Teardown. This is a hilarious workshop where the founders of the audience send me decks. I slide the decks slide by slide. Walk live through a carefully selected set in front of the extraordinary VC panel that criticizes. TechCrunch Disrupt 2021Maren Bannon, co-founder and managing partner of, participated. January ventureVanessa Larco, partner NEABenlin, Founder and General Partner Bling capital“”

Top VCs Consider How to Raise Your First Fund
“… Index Ventures partner Nina Achadijan started by encouraging the founders to first consider whether they really need to raise venture capital.“ Early entrepreneurship. It’s a tremendous time to be home. We have more capital than ever before and are motivated to embrace technology from consumers and businesses, “she said. “And frankly, there are a lot of very exciting platform shifts for early-stage entrepreneurs, but the first thing you need to do is ask yourself: you really raise venture capital. Need? There are lots of great businesses you can build that don’t really require VC funding. “

Thanks for reading, and if you’re also reading this on the TechCrunch site, you’ll get this in your inbox Newsletter page, And follow my tweet @lucasmtny

Lucas Matney

The growing pains of Apple’s subscription addiction – TechCrunch Source link The growing pains of Apple’s subscription addiction – TechCrunch

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