Netflix Discontinuing Apple Billing for Legacy Subscribers – Implications and Background
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Netflix Discontinuing Apple Billing for Legacy Subscribers – Implications and Background

Netflix recently confirmed ending its partnership with Apple’s billing platform for certain legacy members, transitioning them to direct payment methods. As reported earlier by The Streamable, this move affects individuals utilizing Apple’s iTunes billing since joining Netflix prior to the company discontinuing in-app subscriptions via Apple’s App Store in late 2018.

Confirmed by Netflix spokesperson Momo Zhao, all “basic plan members who were using an iTunes method of payment” must switch to paying Netflix directly using a credit card or debit card. This decision marks the conclusion of a decade-long saga where Netflix initially refused to comply with Apple’s 30% commission rate when the latter introduced in-app purchases in 2010.

 

Netflix Discontinuing Apple Billing for Legacy Subscribers – Implications and Background

 

Despite Apple offering in-app subscription options in 2015, Netflix opted out due to the fee structure, only reintroducing these features four years later after deciding against continuing to pay Apple altogether.

For those affected, this means facing a significant increase in monthly fees (more than $5) unless they choose to downgrade to a cheaper tier with advertisements. Alternatively, consumers may decide to reassess their overall spending habits regarding streaming services, which appear to continually rise in price.

With Netflix no longer supporting Apple’s billing platform for legacy subscribers, the company aims to streamline its operations and potentially boost revenue. While this shift might cause short-term inconvenience for some users, it highlights the ongoing challenges faced by companies navigating the complex landscape of digital commerce platforms and their associated costs.