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Nokia announces mobile store; 70% revenue share to publishers (ovi.com)
18 points by brkumar on Feb 16, 2009 | hide | past | favorite | 3 comments



No, the revenue share is not 70%:

'Nokia shall pay You seventy percent (70%) of the Net Revenue[...]For purchases made by credit card, "Net Revenue" shall mean the purchase price paid[...]less all applicable taxes[...]. For purchases made via operator billing, "Net Revenue" shall mean the purchase price paid [...] less all applicable taxes[...], charges and fixed aggregate billing charges as determined solely by Nokia.'

"charges and aggregate billing charges" are likely to be a very high percentage as these will ultimately be determined by the greediness of the operators. Plus, apps sold in the EU (where most of the customers are) will undoubtedly be subject to VAT which is over 10%. Normally, a non-European business doesn't have to collect VAT (EU law says we do but you don't have to follow European laws outside of the EU).

That means developers are likely to get less than 70% of 70% of 90%; that is, less than 50% and maybe as low as 33%.

Also note that Nokia hasn't negotiated terms with the operators yet. That isn't a good sign since Nokia hasn't been able to convince AT&T to even carry their phones.


Apple already charges sales tax/VAT world-wide so there is no difference here.

The operator deal is very different, yes. Hopefully EU operators are not as stubborn as US operators and Nokia should have bigger influence on them, too.


Some more details. From the faq, Store to include applications for both S60(Symbian) and Series 40 devices, including: Java, Flash applications, widgets, ringtones etc.. Store to go live on March 2nd. Supports both pay via credit card and operator billing (discussion on with individual operators)

Source: https://publish.ovi.com/#FAQ http://www.allaboutsymbian.com/live/




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