Apple iTunes store rejects Times Warner apps selling subscription for magazines

Last week, Apple app store rejected an app from Times Warner that tries to sell subscription for digital versions of magazines. In other words, customers will not pay Times Warner directly for weekly or monthly iPad version magazine instead of buying each version as an app on iTunes app store. This is common for magazine industry. People like to pay for a 6 months or one year subscription for magazine to get a discounted price rather than buy each magazine from local store. Apple did not give a specific reason but it's obvious to me and many others that Apple does not want to lose the 30% fee that they will get for each app sold on their iTunes store.

Times Warner executives apparently were not happy with this decision and made a lot of noise on this. They pointed out several other companies, two famous ones are Netflix and Amazon, are allowed to sell subscription services on their iPhone and iPad apps. Apple has no comment directly on the fact that Time Warner pointed out. Though I think Times Warner ground is valid, Apple and as some like to say Steve Job, is well known for their controversial decision. It may end up Times Warner will have to cut a deal to share the subscription profit with Apple. I bet Netflix did the same.

So for now, if you want to read your favorite magazines on iPad, you will still need iTunes gift card code to pay for each magazine app separately.