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Thursday, April 5, 2012
The Interesting Part About Amazon?s In-App Payments Beta Is That Developers Have Pricing Control
The most interesting part of Amazon's move to provide an in-app payments flow is that they're ceding pricing control to mobile developers. Amazon has been testing a new in-app payments system with several top-tier mobile developers for several months. It's a big deal because there has been a huge shift over the last 18 months toward giving away apps for free instead of selling them for a dollar or more. This move would bring Amazon's Android appstore closer to parity with Google and Apple's stores for developers. But the part worth noting isn't that Amazon will offer an in-app purchases flow. It's obvious that they would do that, given their experience in online payments and commerce and need to compete with Google's app store. The part worth pointing out is that Amazon is letting developers set their own prices for virtual currency and digital content. That's a departure from the strategy the e-commerce giant tried to pursue last year with mobile developers.
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