Apple and Tencent continue talks on app revenue sharing: learn more about this collaboration that could be a game-changer in the tech industry!
Apple greenlights new version of WeChat for iPhone 16
According to reliable sources, Apple has given its approval for a new version of WeChat, Tencent’s flagship application, in view of adapting it to the iPhone 16. However, discussions between the two tech giants are continuing regarding a potential revenue sharing agreement and the integration of links to external payment services within the application’s mini-games.
The tug of war over in-app fees
Bloomberg revealed that Apple wants Tencent to block local developers from using WeChat’s in-game messaging to direct players to other payment gateways, and thus avoid paying Apple a 30% commission. The Apple firm also wants to disable in-game messaging, a proposal that the Chinese giant has rejected.
Despite these points of disagreement, Apple quickly approved the new version of WeChat for iOS, without reaching a revenue-sharing agreement. This approval came shortly after Tencent submitted the update earlier in the week, according to the news agency.
Discussions underway for revenue sharing
At a financial results conference last month, Tencent Chief Strategy Officer James Mitchell confirmed that talks were underway with Apple about sharing revenue from in-app transactions for Mini Games on iOS. He expressed a desire to make the opportunity available “on terms that we believe are economically viable and also fair.”
Apple’s market share in China declines
It is worth noting that Apple’s market share in China declined, as the American firm dropped out of the top 5 smartphone manufacturer rankings in the second quarter. Its market share fell to 14%, down 2 points from the second quarter of 2023.
Separately, Tencent’s second-quarter results showed a 30% increase in gross revenue for Mini Games, with more than 140 games each topping CNY10 million ($1.4 million).
