Microsoft details app store plans
Microsoft on Wednesday is offering up more details on its would-be rival to the iPhone's app store. — The software maker said it will charge developers $99 a year, plus $99 for each application they submit to get an app into the Windows Marketplace store.
Context & Ripple Effects
Microsoft is setting the commercial rules for Windows Marketplace as part of its developer strategy for Windows Mobile 6.5. By pairing an annual developer charge with a per-submission fee, it is defining access to a Microsoft-controlled distribution channel rather than leaving mobile software distribution to developers alone.
The service is explicitly positioned against the iPhone's app store model, making developer economics and marketplace participation part of Microsoft’s mobile-platform competition.
First-order effects
- Mobile developers seeking Windows Marketplace distribution face a $99 annual fee plus a $99 charge for each application submitted, adding a direct cost to publishing on Microsoft’s channel.
- Microsoft gains a formal gatekeeping and revenue mechanism for applications distributed through Windows Marketplace.
Second-order effects
- Developers must weigh Microsoft’s submission costs against the revenue opportunity it says the marketplace will create, which may shape which applications they prioritize for Windows Mobile 6.5.
- The iPhone app store faces a named rival marketplace for developer attention, shifting competition beyond handset software to the terms of application distribution.
Third-order effects
- If major mobile platforms continue to centralize application distribution in owned stores, developer access, review rules, and platform fees become durable levers of ecosystem control.
- Mobile software competition is moving toward platform-mediated marketplaces, where the store operator sets both the route to users and the cost of participation.
The trend: Mobile platforms are turning application stores into strategic control points for developer access, software distribution, and ecosystem revenue.