Microsoft to increase cut from app revenues to 95pc for developers

8 May 2018232 Views

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Microsoft Store on a Surface device. Image: ymgerman/Shutterstock

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A new move from Microsoft is calculated to increase the number of apps being made for the Windows platform.

Microsoft is to increase the revenue share with third-party app developers for non-gaming apps in the Microsoft Store from the current 70pc rate to 95pc.

The move, which leaves Microsoft with just 5pc, will prove tantalising for developers and will encourage them to build more apps for the platform.

It will also make the revenue split comparable with the Google Chrome Web Store. Comparatively, Apple’s App Store and the Google Play Store let developers keep 70pc of revenue.

The announcement was made during Microsoft’s annual developer shindig, Build, in Seattle.

Build it and they will bill

There is a slight hitch in that Microsoft will increase its cut to 15pc of the revenue as a commission if the app is sold proactively through Microsoft, by including it in a collection or featuring it as a Spotlight app.

“Starting later this year, consumer applications (not including games) sold in Microsoft Store will deliver to developers 95pc of the revenue earned from the purchase of your application or any in-app products in your application, when a customer uses a deep link to get to and purchase your application.

“When Microsoft delivers you a customer through any other method, such as in a collection on Microsoft Store or any other owned Microsoft properties, and purchases your application, you will receive 85pc of the revenue earned from the purchase of your application or any in-app products in your application.

“The new fee structure is applicable to purchases made on Windows 10 PCs, Windows Mixed Reality, Windows Phone and Surface Hub devices, and excludes purchases on Xbox consoles,” the software giant said in its developer blog.

Microsoft Store on a Surface device. Image: ymgerman/Shutterstock

Editor John Kennedy is an award-winning technology journalist.

editorial@siliconrepublic.com