Apple launches new subscription service for digital media

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Apple has today launched a new subscription service for newspaper, magazine, music and video purchases through its App Store.

Under the new service, Apple will take 30 per cent of the subscription charge, with publishers able to set the prices and length of subscription.

The San Francisco-based technology firm has also confirmed that publishers will be allowed to sell app subscriptions through their own websites, bypassing Apple's 30 per cent stake, but will also have to offer subscriptions through Apple from within the app for the same price or less. Journalism.co.uk reported earlier this month that Apple had contacted newspaper groups informing them that that from 1 April they would have to use the 'in-app' payment mechanism.

The technology firm has also ruled that publishers are no longer allowed to provide links within the app to a website which allows the customer to purchase content or subscriptions outside of the app.

"Our philosophy is simple—when Apple brings a new subscriber to the app, Apple earns a 30 percent share; when the publisher brings an existing or new subscriber to the app, the publisher keeps 100 percent and Apple earns nothing," Apple CEO Steve Jobs says in the release.

"All we require is that, if a publisher is making a subscription offer outside of the app, the same (or better) offer be made inside the app, so that customers can easily subscribe with one-click right in the app. We believe that this innovative subscription service will provide publishers with a brand new opportunity to expand digital access to their content onto the iPad, iPod touch and iPhone, delighting both new and existing subscribers."

As part of the new service customers purchasing a subscription through the App Store will be given the option of providing the publisher with details such as their name and email address when they subscribe, while publishers can also seek additional information from App Store customers "provided those customers are given a clear choice", the release added.

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