In a recent interview, Instagram’s CEO revealed plans for circumventing Apple’s 30% cut on Appstore – by using offline means!

Adam Mosseri said they’re finding a way to connect the brands with content creators other than through Appstore, which generally takes a part of their earnings. So by avoiding this, they’d be left with more earnings, thus growth.

A New Way to Make Payments

With more social platforms emerging daily, the need for luring popular content creators towards them is rising too. As content creators are the biggest assets of a platform who lure in followers and brands ultimately, they are now considered the need of the hour.

Thus, providing tools to help them have a smooth experience on the platform is essential if they wanted to retain them. In this case, a 30% revenue cut on creators’ earnings is a significant dent that needs to be addressed – like Apple’s case.

Apple takes a sharp 30% cut on whatever the payments are processed on its Appstore platform to the unknown. While everyone got adjusted to it, Epic Games started arguing against since last year and been advocating against Appstore policies.

While Apple doesn’t seem to lose, many developers are trying new ways to circumvent this step and keep the full earnings to themselves. One among them is Instagram, where its CEO Adam Mosseri revealed possible plans for ditching Appstore policies for content creators.

In an interview with CNBC’s Squawk box, Mosseri said,

If we could help brands and creators vet each other and find each other, they could make those transactions happen offline. For affiliate marketing, it’s real goods, not digital goods. So we’re going to try and lean into the places creators can actually make a stable living.”

Further, “If we’re going to be the best home for creators online, we’re going to have to offer a suite of these types of monetization products because there’s a lot of competition and it’s heating up fast.”


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