Thread by @jasminericegirl

#fuckapple, a thread

I cofounded @fanhouseapp 8 months ago to empower creators to monetize their content. We pay creators 90% of earnings. Now, Apple is threatening to remove Fanhouse from the app store unless we give them 30% of creator earnings. This is theft and exploitation.

For context, Apple requires some apps to use in-app-purchases, in which Apple pockets 30% of EVERY transaction. This policy has always been absurd, even for big corporations like @EpicGames, and Apple is facing multiple charges of antitrust abuse for this insane take rate.

If this 30% is crazy enough to seriously hurt big companies, imagine what it does to a small startup. In our case, as a creator company only taking 10% of transactions, we don't even have 30% to give Apple. The money would come directly from creators' pockets.

In writing and over the phone, we explained to Apple that we could pay them 30% of our revenues (from our 10% take rate). It'll be harder to cover costs and build features as a startup, but at least it'd be coming from us. Apple insisted on taking 30% of creators' total earnings.

People who are relying on their creative income as a means to support themselves will now find themselves being taxed by Apple more than they would by their own government. Someone making $10,000 would now only make $6,000. For some people, that difference can be life or death.

We have creators who are unemployed from the pandemic. We have creators who need to pay rent, to pay tuition, to pay medical expenses, and they need their income to survive. Apple's 30% directly threatens their livelihoods.

I was the first creator on Fanhouse. I grew up on food stamps, my family has over six figures of debt, and we live paycheck to paycheck. I single-handedly provide for my family, and I rely on my Fanhouse as a crucial revenue source to do so.

To date, I've made over $20k as a Fanhouse creator. 30% of that is $6,000. That's months of rent. That's my mom's medical bills. That's my brother's tuition. When Apple insists on taking 30% of all transactions, they're taking it from the pockets of people who need it the most.

I told Apple this story, and how there are many more creators like me, some in even worse situations than I am in. They didn't care.

Of course, even creators in financially stable circumstances should never have 30% of their earnings taken from them by a single platform. We work hard to create content to support ourselves and our loved ones, but Apple is forcing our backs against the wall. Why?

Apple made $275 BILLION in revenue last year. $6,000 means nothing to Apple; they're fine with or without it. But for a lot of regular, working people, $6,000 is everything. We need it to survive. Apple is robbing people of their means of living, and they won't even feel it.

This policy doesn't just affect creators on Fanhouse, but creators across the board. It's why so many creators only get to see around 50% of their earnings across various platforms, including Twitch, Tiktok, Cameo, and soon Twitter as it rolls out monetization.

Creators put in all of the work to get back LESS THAN HALF of their earnings after taxes. How is this okay? By comparison, @stripe, which we use to process web payments, takes 3% of transactions. Apple is FORCING people to pay TEN times that. This is theft and exploitation.

We've also tried to ask for creative solutions to comply with Apple. Plenty of subscription apps are in the app store without using in-app-purchases subject to the 30% tax—many of which are billion-dollar corporations. Netflix and Spotify are two apps allowed payment exceptions.

Like Fanhouse, Patreon is a creator monetization app that doesn't pay Apple the 30%, yet is allowed to remain on the app store. It begs the question: why doesn't Apple take any cut from these platforms? Why do big corporations that can afford to pay get the biggest breaks?

And why do creators have to pay the price instead?

Apple claims to champion innovation, yet startups that have only existed for months are threatened to be removed unless they cough up 30% that they don't even have. This is not the best user experience. This is not innovative software and services. This is theft and exploitation.

I don't know what to do except make this thread as a cry for help. Again, this is not about Fanhouse being upset about making less profit. Apple can take 30% of our profits. Fuck it, they can take 50% of our profits. But we will NOT let them take money from hardworking creators.

Over 700 creators have made money on Fanhouse. We've paid out over $1 million to creators in the last 8 months, and I know that's nothing to Apple, but I am very proud of that. When creators share stories about how Fanhouse has changed their life or helped them in some way, I cry

Even though we've just started, I know what we're doing makes a difference. I am asking Apple to give startups a chance. I am asking Apple to give creators a chance. The creator economy can never grow for as long as Apple demands 30% from creators. @apple @pschiller @tim_cook

I hope the founders and leaders of other creator companies will stand with us. @shl @jackconte @Mr312 @kayvz @eshear @mosseri @gaganbiyani @devrimyasar @josephpalbanese, if we want to help creators, we should never accept a policy that hurts and exploits them so much.

Apple, take your heavy cut from our profits, or allow us payment exceptions like you do other platforms. But please, let creators have a place where they can earn a fair income for their content. These people deserve the lion's share of their earnings and nothing less.

In the meantime, I encourage everyone to download Fanhouse on the app store while you still can (you’ll continue to have the app even if it’s removed). We at Fanhouse will continue working to give users an enjoyable platform and defend creators’ income with everything we have.

thank you @TheVerge for the incredible coverage on this issue

.@apple I hope you read these stories about how your policy would hurt people in need. Do you care? Again, we ask that you take 30% of OUR revenues instead of total creator earnings, or grant us exemptions similar to Patreon and Netflix. Otherwise, you're exploiting people.

forbes.com/sites/johnkoet…

it's clear to note, again, that Fanhouse offers person-to-person services, which should qualify for an exemption as other apps do. Apple refuses to allow us to use web payments as we currently do (which takes 3%) and demands that we use their 30% IAP.

Maybe putting a face to these stories will help some empathize with what creators will face. There are real lives on the line. Apple isn't just taking the developer's profits (which we asked them to), they're taking it from the creators on Fanhouse who rely on this income. ⬇️⬇️⬇️