Airbnb shares concerns with MPs after App Store standoff

As antitrust builds pressure against Apple’s App Store policies, new York Times In recent weeks holiday rental company AirBnB and fitness class service ClassPass have reported about the policies. Reportedly, the two companies began offering virtual services as a result of the COVID-19 epidemic, only to contact Apple to request 30 percent of sales made through their iOS app.

Times It also reports that AirBnB met with MPs from the Antitrust Panel of the House Judiciary, who will be responsible for questioning Tim Cook about iOS policies at the upcoming hearing.

The report initially claimed that Classpass had also met with legalists, but Classpass has since rectified the meeting.

ClassPass said it closed the classes because honoring the commission would “require a price increase that would dramatically reduce the demand for these classes.” After the decision was made, Apple offered to waive the in-app purchase requirement, but the company decided not to resume the project.

The news came a day before Apple CEO Tim Cook was to testify in front of the antitrust panel of Amazon, the CEO of Google and Facebook, as well as the House Judiciary Committee. Apple’s policy of charging 30 percent of the fees paid through the App Store is expected to be discussed during the hearing, with critics alleging that the fee makes it harder to compete with Apple’s first-party services. Apple, however, does not offer services that compete with Airbnb or ClassPass.

The committee has collected at least 1.3 million documents during its investigation, conducted five hearings, and spent hundreds of hours conducting interviews as it investigates large tech companies.

The European Union opened an antitrust investigation of its own into Apple’s App Store and Apple Pay’s policies earlier this year.

According to NYT The report, Airbnb, started offering “online experiences” in response to the epidemic, like cooking classes and meditation sessions. It is an extension of the experiences that began to feature in 2016 with their traditional holiday rentals. new York Times There are reports that Airbnb is still negotiating with Apple.

Airbnb and ClassPass will not be the first companies to complain about Apple’s App Store policies. A high-profile example came earlier this year when BassCamp got embroiled in a bitter battle with Apple with a 30 percent commission policy after launching its Hey email service. Apple initially stopped its iOS app from receiving updates because there was no way to sign up to the app. It eventually allows the app on its store when Hey said it will provide email addresses for free that expire after 14 days.

Amidst these complaints, the money that Apple is making from the services is booming. In its second quarter earnings in April, Cook reported an “all-time record” for the amount of revenue generated by Apple’s services division, which rose to $ 13.3 billion from $ 11.5 billion a year earlier.

“To ensure that every developer can build and grow a successful business, Apple maintains a clear, consistent set of guidelines that apply equally to everyone” new York Times in a statement. It said that its app guidelines are back by 2010.

Updated July 28, 1:17 PM ET: The report was updated with ClassPass’s response, including the company’s refusal, in which it spoke with MPs.

Updated July 28, 1:49 PM ET: Updated to reflect NYT reform.

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