Grant Cardone, a prominent real estate investor, entrepreneur, and business educator, has publicly questioned the legitimacy of Apple’s (AAPL) long-standing 30% commission on in-app purchases, describing it as “insane” and suggesting it is only possible for companies with monopolistic power.
“The fact Apple charges developers 30% on in-app purchases is insane. No company should be able to make 30% of gross fees charged,” Cardone wrote on X in July. He continued, “There’s no justification for it & it cost the end user. Only a monopoly can pull that off.”
Cardone’s perspective is based on his extensive experience as both an entrepreneur and outspoken advocate for small businesses. Having built a multi-billion-dollar real estate portfolio and a portfolio of media and education businesses, Cardone frequently touts competitive openness and strategies to empower individuals and organizations in markets often dominated by major players. His business philosophy revolves around challenging industry norms and questioning practices that disadvantage smaller participants, as reflected in his criticism of Apple’s fee structure.
For more than a decade, Apple enforced a 30% commission on all revenue generated through in-app purchases on its App Store, a model that became a significant source of revenue for the company and an industry benchmark. Apple defended the fee as necessary to support platform maintenance, security, and distribution, yet many developers and business leaders argued it stifled competition, limited consumer choice, and cut deeply into the already narrow margins of app makers.
Notably, Cardone’s assertion that “only a monopoly can pull that off” resonates with findings from recent regulatory battles. Criticism of Apple’s approach has not only come from business figures like Cardone, but also from regulators in the United States and Europe. These authorities have found Apple’s rules in violation of antitrust standards and, in some regions, forced the company to reduce its fee or permit alternative payment methods.
A recent landmark federal court decision concluded that Apple must allow app developers to direct users to alternative payment systems outside of Apple’s commission structure. The court criticized Apple’s persistent efforts to shield its revenue even after initial legal interventions, highlighting how integral the fee had become to Apple’s business model and how resistant the company was to outside scrutiny. The wide-reaching implications of these decisions support Cardone’s view that such a sizable fee is unsustainable in a truly competitive environment.
