Elon Musk and his newly acquired Twitter have seen fluctuations in the intensity of chaos. Since the acquisition, the revamp process is pacing, but the company has been embroiled in constant chaos due to the extreme visions of the new CEO. Musk has taken some radical steps to give a makeover to the microblogging platform. But, these steps have proved fatal for the finances of the company.
Since he has become the new CEO, he is creating some new revenue streams. He introduced a subscription for $7.99 under the ‘blue tick’ feature. But, it led to further confusion due to the impersonators taking over the platform. Therefore, he halted the process. But, he has also lost major advertisers at Twitter since his takeover due to growing hate speech. Now, Apple, a major distributor, has allegedly threatened to take Twitter off its Apple store.
Apple Is Not Telling Elon Musk Why Will It Withhold Twitter
In another blow, Twitter may be withheld on Apple Stores for the app review moderation. On Monday, Musk tweeted about Apple’s step to get the app off their platform. The App store is the only platform where users can access and download applications. In a tweet, he wrote, “Apple has also threatened to withhold Twitter from its App Store, but won’t tell us why”. Musk also called the App Store’s fees a “secret 30% tax”.
Apple has also threatened to withhold Twitter from its App Store, but won’t tell us why
— Elon Musk (@elonmusk) November 28, 2022
Did you know Apple puts a secret 30% tax on everything you buy through their App Store? https://t.co/LGkPZ4EYcz
— Elon Musk (@elonmusk) November 28, 2022
The CEO also alleged that the company has stopped advertising on Twitter. He tweeted, “Apple has mostly stopped advertising on Twitter. Do they hate free speech in America?”. A new report from Media Matters in America suggested that more than half of the top 100 advertisers have stopped advertising on the platform since Musk took over the platform. The top 50 advertisers have spent $750 million on advertising in 2022. More than seven advertisers pulled out on November 21st, 2022, who have spent $118 million advertising.
What’s going on here @tim_cook?
— Elon Musk (@elonmusk) November 28, 2022
The 30% tax that Elon is talking about has been a point of contention for various developers. This 15-30% of additional tax customers have to pay for the purchase of digital goods. The company stated that the amount collected from the tax is paid to the app reviewers, who help the customers protect their privacy and prevent any fraudulent behavior. Epic Games responsible for Fortnite tried to get away with it which led to the app store banning it from their platform and after a long legal battle, it restored the game.
Also Read: How Many Billions Has Elon Musk Lost In 2022?
Why Apple May Withhold Twitter?
The company’s App store has reviewers who keep an eye on all the apps that go on the store. After scrutinizing, they send their responses to the developers. So, after Musk’s takeover, there can be possible reasons why the company may withhold the app. Firstly, there has to be proper content moderation in place to survive the scrutiny.
Currently, Musk does not have it in place. He promised to employ a content moderation council but canceled the plan after activists pressured the advertisers leading to a fall in revenue.
Also, the reinstatement of certain personalities like Donald Trump, who has flouted the rules in the past. Secondly, the 15%-30% fee that the app store charges for the digital purchase. Like Epic Games, if Twitter tried to evade that, there is a high chance that the app will be booted away from one of the largest distributors of Twitter.
Also Read: Elon Musk Responds To Allegation That He Stole Tesla From Original Founders
