Apple recently confirmed that they will be taking a 30% cut of all Microsoft Office 365 subscriptions that are made on the new Office for iPad app. The app launched at a special event recently. Microsoft revealed that it is using the “freemium” sales model with the suite of productivity apps at the Office for iPad debut. When it comes to Microsoft Office, users can download the software for free but will need to pay the $99 per year fee for an Office 365 subscription to have the ability to edit documents.
Since Apple does not earn any profit from customers who have an existing subscription or those who buy a new subscription from Microsoft’s website, they confirmed to Re/code that they would be taking the usual 30% cut of all Office 365 subscriptions bought from any Office for iPad app. Apple’s charge for all in-app sales was said to be one of the biggest issues that Microsoft had to deal with to launch Office for iPad.
The Office productivity suite with custom-built versions of PowerPoint, Word and Excel was recently released by Microsoft.
Source: Re/code
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