Twitter has briefed some of its employees on the new pricing of the Twitter Blue plan, says a report from The Information. Twitter Blue tick rollout was delayed by Musk recently while the company charged $7.99 for a subscription.
This is due to Apple’s change in policy regarding subscriptions; with their new implementation, Apple will charge a 30% fee for the first year of subscription to the developers, dropping to 15% after the second year.
According to the report, after the Twitter Blue plan relaunches, subscriptions will cost $11 for those that buy it directly from the App Store. Still, those that pay through the web will pay $7 for the same services.
In essence, Twitter aims to offset the 30% cut Apple takes from in-app purchases by increasing the price from $7 to $11 for those that buy it through the iOS store.
Elon Musk’s Bad History With Apple
The Twitter Blue pricing change comes right after a recent dispute between Elon Musk and Apple. Twitter’s new owner Elon Musk criticized Apple in late November, saying that the company:
Musk had commented on Apple’s fees earlier, calling it a “de facto global tax on the internet” in support of Epic Games during their antitrust dispute with Apple in 2021.
Elon’s claim that Apple has stopped advertising on Twitter could be another part of the issue. Out of Twitter’s $5,1 billion in total 2021 revenue, $4,5 billion came from advertising.
Apple wouldn’t be alone in pulling back ads on Twitter. Companies like General Motors, Volkswagen, and Eli Lilly have either slowed down their advertising on the platform or stopped altogether after Musk’s chaotic takeover.
During the most recent development, Musk said that Apple plans to withhold Twitter from its App Store. Musk met Tim Cook soon after that and claimed they resolved all misunderstandings regarding the rumored removal from the App Store.
Twitter will have to pay the fees imposed by Apple on its App Store if it wants to charge for subscriptions through iOS devices.
Other large companies had to agree to the policy to ensure that their services remain available to over a billion active iOS devices. For example — the record label conglomerate Warner Music agreed to pay Apple’s 30% tax.