For the first time in years, Netflix is no longer the top grossing, non-game mobile app. Instead, that title now goes to dating app Tinder. The change in position is not surprising, given Netflix’s decision in December to stop paying the so-called “Apple tax.” That is, it no longer allows new users to sign up and subscribe to its service through its iOS application.
The change was said to cost Apple hundreds of millions in lost revenue per year, given that Netflix’s app had been the world’s top-earning, non-game app since Q4 2016. Now, instead of giving up its 15 to 30 percent cut of subscription revenue, new users have to sign up through Netflix’s website before they can use the app on mobile devices, including both iOS and Android. (Netflix had dropped in-app subscriptions on Android earlier.)
App store intelligence firm Sensor Tower estimated Netflix had earned $853 million in 2018 on the iOS App Store. A 30 percent cut would have been around $256 million. However, after the first year, subscription apps only have to pay out 15 percent to Apple. But Netflix had a special deal,