Meta hits out at 30% ‘App Store tax’ by charging 47.5% • The Register

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Meta intends to charge content creators up to 47.5% of revenue from the sale of digital assets that hits its Meta Quest Store and its Horizon Worlds virtual reality service, more even than the “30 % on the Apple App Store” that the company’s Facebook subsidiary decried.

The ad company turned virtual reality provider announced this week that it was testing a way for content creators to make money selling virtual items and experiences in the adults-only 3D space Horizon Worlds. company, in which the avatars can’t buy anything below the waist for love or money.

“As part of our ongoing commitment to supporting Creators, we are beginning to test several new tools that will allow Creators to experiment with different ways to monetize what they build in Horizon Worlds,” Meta said in a statement. blog postnoting that someone could for example “make and sell removable accessories for a fashion world or offer paid access to a new part of a world”.

NFT sales – for those who believe in the sustainability of hosted receipts and deny digital rot – have also been considered.

Meta presents its vision of second life the metaverse as a place that “will bring a new level of creativity and open up new opportunities for the next generation of creators and businesses to pursue their passions and build livelihoods”.

“Creators and entrepreneurs will have more freedom to find a business model that works for them,” the company said.

Pot, meet the kettle

Meta and its former Facebook ad targeting operation have expressed frequent concerns about how Apple iOS limitations on ads are hurting small businesses and have objected to Apple’s “App Store tax”. CEO Mark Zuckerberg railed against how Apple uses its gatekeeper position load monopoly rents.

Yet Meta’s response to this kind of behavior turns out to impose even higher rent on those trying to sell a notion of pixel ownership in its torso-only digital environments.

Meta has yet to release documentation on its pricing structure, but a spokesperson for the US giant has confirmed the details.

“Creators will earn revenue from purchases people make in their world, subject to all relevant hardware platform fees and Horizon platform fees which are 25% of the remainder,” the spokesperson said. of the society. The register in an email. “For example, if a creator sells an item for $1.00, the Meta Quest store fee would be $0.30 and the Horizon platform fee would be $0.17, leaving $0.53 to the creator before any applicable taxes.”

For what it’s worth, the item’s revenue of $1.00, minus the Meta Quest hardware platform fee of $0.30, is $0.70, and Horizon’s 25% fee Worlds amount to $0.175. That leaves $0.525. So if Meta is rounding up to $0.53 in favor of VR sellers selling $1.00 items, keep in mind that such generosity may not be obvious for large sums where payouts may be more precise.

Meta’s spokesperson said the company intends to bring Horizon Worlds to third-party hardware platforms run by other companies, which will set their own hardware platform fees — for better or for worse. the worst. However, Meta would still take 25% of whatever remains as owner of Horizon Worlds.

In February, Meta’s Horizon Worlds had around 300,000 users, for lack of a better term. Now Meta only has to solve the problem of content moderation. ®

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