The reason why Apple charges 20$ for iPhone apps

Discussion in 'iPod touch January App Pack (iPhone Apps)' started by Trax, Jan 23, 2008.

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  1. Trax

    Trax New Member

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    Here is why Apple charges 20$ for upgrade: http://www.macrumors.com/2008/01/23/skyhoo...one-ipod-touch/

    USAToday profiles Skyhook Wireless who helps provide some of the technology behind Apple's new GPS-like location features in the iPhone and iPod Touch's Google Maps application.

    Skyhook Wireless was formed in 2003 and uses a database of Wi-Fi hotspots to determine your geographic location. The process is explained:

    "Every Wi-Fi access point, whether public or private, sends out a signal every second or so, like a lighthouse. We pick up those signals and use our technology to calculate your exact location."

    While Wi-Fi hotspots are detected based on these signals, no direct connection is made to them. To seed the system with data, Skyhook sent teams of drives around the US and Canada to map out hotspots. They say they have 70% of North America covered, and are currently adding Europe and Asia. Unlike GPS, Skyhook's system works better indoors and in urban settings.

    Of interest, Skyhook generally receives a payment per device sold with the technology, and this fee may be built into the fee Apple is charging for the iPod touch software update. For the iPhone, Apple starts with Skyhook's Wifi database first, and if unable to find a hotspot, it then falls back to using less-precise cellular tower information provided by Google.

    A company called Navizon had provided very similar technology for iPhone users as an unofficial 3rd party application.
  2. TSOnTheDrums8892

    TSOnTheDrums8892 New Member

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    Ohhh that makes sense... but i guess i paid $20 for just the apps themselves and not this service, cause it doesnt work for me!
  3. An0nG

    An0nG New Member

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    same here, when i wanna locate myself, it doesnt work :S
  4. Manic Nimrod

    Manic Nimrod Well-Known Member

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    i think it is only avaible in the US right now(not sure tho)
  5. Fen1x

    Fen1x New Member

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    For Services? Well if that makes sense, then Apple should release the new iPod Touch without any new apps. And then charge them $20 extra if they want the new apps just like those who bought it before Chrismas. Or Apple should sell the new iPod Touch with new apps as a different edition which is $20 more than the one without. Or Apple should sell the new iPod Touch with the new apps at a price that's $20 more than what they were selling before. But that wasn't the case. Nor did Apple say the new iPod Touch is a iPod Touch R2, or iPod Touch+, or anything. It is still the iPod Touch. But now for the people bought it before Christmas, you have to pay $20 extra to get the same thing. Not to mention the app packs are now DRM keyed so that it is tied to your iTune account now while the people bought it new is not DRM keyed and they are free to use any iTune account if they ever needs to factory reset the iPod.

    I don't have a problem with $20. But don't tell me there's a reason for Apple to do so other than to get the revenue. It should be $0.05 if there's a reason for them to charge money.
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