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Apple To Charge for Some iApps

randomErr writes "News.com has this story that according to sources familiar with the plans, Apple is expected to announce at the Macworld Expo in San Francisco Tuesday that consumers will have to pay for new versions of iDVD, iPhoto and iMovie. Previously, Apple had offered upgrades to its digital media, or 'i' applications, for free."

31 of 493 comments (clear)

  1. Just supporting its client base... by Dareth · · Score: 1, Insightful

    ... who already paid too damn much for their computers and are all too willing to pay more for their software.

    --

    I only look human.
    My mother is a halfling and my dad is an ogre, so that makes me an Ogreling
  2. 'tis true.... by Alcimedes · · Score: 5, Insightful

    i've been talking with someone who's had inside inf before, including the LCD iMac info, and the god awful flower power macs.

    this looks like it's true. as long as it's only upgrades you pay for, i don't see that it's that big of a deal. get a new machine and you get the new software for free anyway, that's pretty much how it is now.

    maybe if they can make money off it they'll update iMovie and iPhoto, both need it badly.

  3. Well, duh. by edbarrett · · Score: 1, Insightful

    Quicktime used to be free too. The company I was working for at the time Quicktime 3 came out bought me a license for it, but I just thought that was silly. It would be like MS making you buy Media Player.

  4. iAMSHOCKED by cioxx · · Score: 5, Insightful

    Seriously though. Apple is a corporation. Besides the "community/family" factor, they need to boost the stock prices.

    I'm not an avid Mac user, but I would rather pay for few small upgrades from Apple which would amount to $30 bucks, than to switch Office suite versions twice a year.

    1. Re:iAMSHOCKED by stratjakt · · Score: 2, Insightful

      If they were charging for the next version of the software, I'd agree. No bait and switch if iDVD 2.0 is free, and 3.0 with extra iFeatures isn't. (I have no idea what version what is, for all those to nitpick).

      I assumed the price of the iApps was part of the cost of the machine itself and not free at all.

      If they're charging for upgrades (read: bugfixes), then I'd call shenanigans on them.

      It reminds me of the old joke about the bartender serving free beer. A patron, elated at the deal, sat drinking for a couple of hours, and eventually had to urinate badly. He finds the bathroom door locked, and the bartender tells him "the key'll cost ya 100 bucks"

      --
      I don't need no instructions to know how to rock!!!!
    2. Re:iAMSHOCKED by IamTheRealMike · · Score: 4, Insightful
      I think what people are pissed off about here is that it's yet another case of bait and switch, they give something away for "free" bundled with the Mac, people look at it as an advantage of the Mac platform, and effectively buy into it. Then the upgrades suddenly cost a lot more than they were expecting, so they feel cheated.

      Now of course, it's entirely Apples perogative to start charging for their stuff. Nonetheless, if it's true considering that this is the second time now (third if you count 10.2) that they have suddenly introduced charges for stuff that people assumed would be free (.Mac anybody?), Jobs had better watch out - he'll get a reputation as somebody who pisses all over loyal customers time and time again.

      Oh, and I'm sure there'll be a lot of posts saying "It's only X dollars, for what you get that's a bargain". They said that with 10.2, with .Mac and so on. Of course, value is in the eye of the beholder, but it seems to me at least that people are paying more and more for the Apple brand. The iApps are nice, but not that nice.

    3. Re:iAMSHOCKED by Cyno · · Score: 3, Insightful

      new features like logging on file systems

      New features that Apple got for free from the OSS community. New features that have been in use in OSS systems for years. It is incompetence on Apple's part that they weren't in the initial release of 10.0.

      I don't care what other people think. If you're selling me a commercial product I expect it to be complete and finished. If it is not I would be willing to accept free updates until you complete and hope for a discount on the unfinished product. Apple lies and tells us their products are superior, when, in fact, they are not. But that's normal for any corporation, so it doesn't bother me. I just refuse to hand over my money to any business that expects it can run this way. Personally I prefer to give (sometimes thousands) to companies that contribute to the community for free and expect nothing for it. I support them because they are the reason I've been getting free updates for the last 5 years. My OS has supported every piece of hardware I have purchased even if the hardware manufacturer hasn't released any documentation to the community.

      There are better alternatives. Yes, like OSS. I manage 300+ GB of data with a Linux based network that cost me a couple thousand dollars. It would cost me $10,000 to setup anything comparable with Apple hardware and I'd still be waiting to pay for the "features"/updates to make use of about half my content.

      Don't get me wrong, I love OSX and recommend that above all else for corporate desktop use, but I'm not willing to be Apple's bitch while they try to figure out how to make money with OSS software. RedHat has been doing it for years and I hear no financial excuses from them why they should charge for the #1 Linux distro. RedHat is a commercial entity too, last time I checked, so what's Apple's excuse? Maybe they just don't play nicely enough with the community to get the developement support they need. Which is why their customers are paying for it. Hell, even Mandrake does that to some extent. Its not a bad thing, really, its just not right.

  5. Shareware model? by BWJones · · Score: 5, Insightful

    Gee, is anyone really surprised Apple is starting to use the shareware model? These iApps require significant investments of time and money and they have to recoup their investment somehow. Apple is a publically traded company you know...

    Besides the consumer application of many of these iApps, I also know lots of folks (including myself) that are using them for scientific and business purposes and then upgrading to the more expensive Pro apps when needs outstrip the consumer products. So, by getting these application "free" when you purchase a new computer and then paying to get the latest versions combined with using them as a portal to the Pro stuff, it seems to be a pretty good business model. If the iApps don't cost too much, are helping me to be more productive and are well written, more power to them.

    --
    Visit Jonesblog and say hello.
  6. Licencing fees by dhovis · · Score: 4, Insightful
    In the case of iDVD, I know Apple is in something of a bind. They have to pay a licencing fee for every copy. That is why you can only get it preinstallled on Macs with the internal DVD-R drive, and full downloads are not available.

    As far as iDVD goes, I could see them charging for upgrades, or if you want to use it with a non-OEM/External DVD-R drive. That would actually be an improvement over the current situation.

    --

    --
    The internet is the greatest source of biased information in the history of mankind.

  7. Re:That will spell the end by Unregistered · · Score: 5, Insightful

    While I do have a few gripes w/ Apple, this is a perfectly decent strategy. Every machine will come with the iApps included, and if you don't need upgrades, don't pay for them.

  8. Re:Rip-off by Alyeska · · Score: 5, Insightful
    Why is it a ripoff? There's nothing misleading here. They bought their Macs (as I did) with the promised software on board. Later, Apple upgrades the software and charges for the upgrade. They (as I) can accept that or decline and continue to use our current version if we're satisfied with the features.

    I don't remember anything in my purchase that said upgrades to all software would be free forever....

  9. Wanna be switcher here... by Anonymous Coward · · Score: 4, Insightful

    As someone who is waiting for a compelling reason to buy a new mac I agree that compared to Wintel hardware mac hardware is overpriced.

    Ive tried several of the iApps and think they are pretty nice applications and I used to think a good reason for switching was the *FREE* .Mac. Now I definately will not be switching if the big annoucement at the expo is to charge for the Iapps. These apps along with .mac should be free to encourage people to switch.

    My big problem with Apple is they dont really seem to care about getting new customers as much as they just want to take advantage of the existing loyal customers. These people arent going to hang around forever. With the charging 129 for an upgrade that finally brought performance to the level originally promised, taking away the formerly free .mac and now this a lot of people are going to see the light finally.

  10. They already charge for these apps. by 42 · · Score: 2, Insightful

    Apple already charges for these applications (iMovie - $49.00). Although theses applications are still bundled if you have bought a new Macintosh, or bought Mac OS X.

    I don't see this as an issue at all. There will not be an uproar since Apple is already doing this today.

  11. Re:That will spell the end by stratjakt · · Score: 2, Insightful

    The handwriting is on the wall, and Steve Jobs is standing there holding a magic marker.

    Nothing says 'this market is saturated' better than when a company turns to nickel and diming its existing customer base.

    Apparently the switch campaign isn't convincing all the 'sheep' like me to plunk down 2Gs in droves.

    "And then my computer went beep beep beep and lost my movie and it was a really good movie and the upgrade cost me 50 bucks. It was kind of... a bummer"

    --
    I don't need no instructions to know how to rock!!!!
  12. Re:That will spell the end by Theaetetus · · Score: 5, Insightful
    No, they attracted you with a free product. Then they gave you the free product. Then you used the free product.
    Oh, and the next version is for a fee.

    How is this any sort of bait and switch? It's a lot like shareware software that gives you a trial version with no expiration, but if you pay you can unlock the full features... which is what Apple has been doing with Quicktime vs. Quicktime Pro for years.

    And as for Microsoft not ever pulling this, what about Word 95, Word 96, Word 97, Word 98, Word 99, Word ME, Word 2000, Word 2001, Word XP, etc. You complain about things getting EOL'd with every major upgrade, but you forget the primary Apple business model - they make money on hardware, not software. Most users get a Mac and stick with the operating system on it and never upgrade. When they buy a new machine, that's when they upgrade to a new OS. Very few Mac people ever upgrade their OS independantly of the hardware.

    Additionally, the incremental upgrades of Mac OS are free - they only charge when it's a major change.

    For instance, 7.0 to 7.1 was free. 7.5 to 7.6 was free. 8.0 to 8.1 was free. 8.5 to 8.6 was free. 9.0 to 9.1 to 9.2 was free. X to X.1 was free. Windows has done the same thing - patches and service packs are (usually) free, but major changes - 95 to 98 to ME to XP cost money.

    Stop bitching 'cause you don't understand the business and think you should be given everything.

    -T

  13. Re:DVD drives and software? by Theaetetus · · Score: 5, Insightful
    Wasn't there an article awhile back about not being able to use Apple DVD software without buying their DVD-ROM, or something similar? Now, what happens when I have to buy their software, which came with the DVD-ROM, to allow me to actually use their product.

    No, if you bought the computer with the DVD-ROM, then it comes with iDVD for free.

    The reason you can't crack the player to run on other hardware is that Apple wasn't concerned about protecting their player - rather they didn't want to have to deal with thousands of different models of DVD-ROMs requiring thousands of different drivers. With an Apple DVD-ROM, you know that it will work perfectly, no need for drivers or any sort of configuration.

    -T

  14. Re:Rip-off by furballphat · · Score: 3, Insightful

    Yes, but when 10.3 appears all this software will get some mysterious 'incompatibility' with the new OS. Guess what fixes that?

  15. no biggie... by Anonymous Coward · · Score: 1, Insightful

    "iTools went from free to $100/year... nice jump there."

    iTools didn't have much in common with .Mac from a value standpoint.

    10MB vs. 100MB is in its self a big change. .Mac also added a decent software bundle (for people who don't get site licenses like I do :-) ...over the wire backup and on line file synchronization, free offers and discounts.
    Personally, i just ordered $40 worth of free Kodak prints from iPhoto through .Mac. Very easy, very quick.

    So far, I'm not too disappointed with .Mac.. especially since I got my ID right after iTools was announced so my subscription was only $50 per year (around $8 per month isn't all that much to me for the value I've gotten).

    I was a bit bummed about this story at first, but after being reminded that Apple has already done this with other iApps, I don't see it as a big deal. It didn't bother me too much then, doesn't bother me much now... and I am a mac user.

  16. Just another reason to go linux full time. by grantb · · Score: 2, Insightful

    I have been using OSX since the public bata, and have been impressed with the system as a whole. But the only justification to paying for the hardware (which is the real reason I use Macintosh) was that some of the OS X apps came free. Of late I have been dual booting between OS X and Debian. But if apple is going to start charging for some of thse iApps, it might be time to make the full switch to Debian. I think if apple is not careful they will see a whole new breed of 'switcher'.

  17. The hardware becomes useless? by sfgoth · · Score: 4, Insightful

    If the software is EOL'd every 6 months the hardware becomes useless.

    What, your machine just turns into a lump of inert plastic? What ever happened to buying a piece of technology that does what you want and using it until what you want something better?

    There are millions of Mac users with ancient machines running exactly the same software they set them up with years ago. The machine worked fine for them then, and works the same way now.

    There's no one holding a gun to your head forcing you to "upgrade".

    More likely, what's happening is that you want to upgrade, because the new software or hardware does something your old system doesn't. Guess what, time to pay for something new. It's not a $1500 lifetime membership to everything Apple will ever invent.

    IMHO, software companies created this brain damaged thought process when they beat it into people's heads that it was a license instead of a purchase. Maybe if they started making it clear that we're buying a physical product, people wouldn't feel such entitlement to every future iteration. Honda doesn't send you the latest model every year for any less than the full price, why should Apple?

    -pmb

  18. I dont trust News.com by HongPong · · Score: 4, Insightful
    CNet has always seemed to hate Apple... the way this article is spun confirms it, I say... As for charging for iApps, I'm sure they won't have serial numbers or anything... it's just another DMG to snag from Carracho... no serious hassle but it sucks.

    I've heard they were putting a lot of work into properly Cocoaizing iPhoto for the next release, a serious upgrade. You can tell with the 10.2.3 update that it, along with iTunes, aren't really properly Cocoaized because the stoplight buttons don't look right anymore.

  19. Re:Rip-off by sfgoth · · Score: 5, Insightful

    Yes, but when 10.3 appears all this software will get some mysterious 'incompatibility' with the new OS. Guess what fixes that?

    The fact that those iApps probably will ship with 10.3, if 10.3 is a pay-for upgrade?

    Apple doesn't intentionally break software with new OS versions.

    And if those iApps do break in 10.3, and do not ship as new versions in 10.3, perhaps your friends will choose not to upgrade to 10.3.

    Or maybe 10.3 will be so amazing they they will want to pay for both 10.3, and the updated iApps. They do pay for software they find useful, right?

    No one is forcing people to upgrade. More likely, you're a power user who never considered the idea that you don't have to be running the latest and greatest software of the given moment, and it's psychologically traumatizing to consider the possibility of not upgrading.

    -pmb

  20. Re:$50 for all three by sg3000 · · Score: 4, Insightful

    > $50 for iDVD, iMovie, and iPhoto together

    I don't mind Apple charging for software that is worth it ; iTunes and iPhoto (maybe) are worth the money.

    However, Apple has two problems:

    1. Software for money is held to a higher standard than free software. iTunes is incredible: it's fast, has plenty of features, and works great. iPhoto on the other hand is slow, very slow, and extremely slow. Plus you can't combine photo albums, and it doesn't perform well when you have thousands of pictures. So if Apple is going to start charging for software it should perform to a higher standard. Unfortunately, when Apple dumped the for-free iTools for the $99/year .Mac, the service didn't get any better; I still have problems getting my email. In short, they'd better make iPhoto a helluva lot better if they want my money.

    2. Bundling! It will be really annoying if Apple makes you buy iDVD, iMovie, and iPhoto together. Like .Mac, Apple built their value proposition on a number of factors, like someone buying a virus checker every year (without upgrading), buying web space, buying email, etc. The problem is if you only want one or two of these items, their value proposition falls apart. For example, there aren't any Mac OS X viruses, so what's the point of Virux? I see the same problem with the proposed 3 app bundle. I am only interested in iPhoto (and see #1 for limitations on that), but I have no need for iMovie (I have no DV camera) or iDVD (I don't have a DVD burner in my PowerBook). If they bundle the three together, it may help their, "but you get 3 applications for only $79 (or whatever)", but the point is the other two are basically shovelware if you don't have the entry hardware.

    Somebody at Apple is playing a dangerous game where they believe that Apple purchasers have an inflexible view towards price. That is, Apple purchasers will pay anywhere from $0 to a premium price because it's from Apple. While it's true that Apple users will pay more for Apple products because they're generally of higher quality, Apple users aren't stupid when it comes to value propositions. Exhibit A is .Mac. Apparently fewer than 200,000 people signed up for the service, which is likely a 5-10% take rate. That take rate doesn't bode well for Apple's model to make .Mac a heavy source of revenue.

    What Apple needs to do is figure out what their goals are: is it to gain more short term revenue (charge for .Mac, charge for iPhoto, iDVD, iMovie, and who knows what else?) and a recuring revenue stream? Or is it to grow adoption of Mac OS X and gain overall market share? I'm not sure they can do both at the same time since the former means milking their installed base, while the latter means actually growing their business.

    --
    Insert simplistic political, ideological, or personal proselytization here.
  21. Acting like it's a fact by snitty · · Score: 2, Insightful

    Deal, however, was critical of the new fees, noting that Apple's campaign to lure Windows PC users to the Mac did little to offset weaker-than-usual holiday sales. The "iApps will be Apple's attempt to staunch the flow of bleeding revenue from its lagging sales initiatives."



    This is truely bad reporting. Apple has made no announcement, so it is now merely a rumors and they are reporting it here like a fact. Crazy.

    --
    Modular Redundancy--Because 4 out of 5 Nodes agree
  22. All-righty then... by Salubri · · Score: 5, Insightful

    Lets sit back and ONCE AGAIN remind everyone that rumors are, at best, rumors. Now that we've done this, let's just look at the prices involved...

    If the rumors are true, Apple wants to charge users $50.00 to update three pieces of software: iPhoto, iDVD, and iMovie. The rumor article even doesn't coroborate if Apple is even considering of doing something similar with it's other applications, just speculating that if the rumor is true it might be the first move toward that.

    Now, let's assume the first rumor is true. That the three apps named - iPhoto, iMovie, and iDVD - are going to charge for updates. It goes on to state that iPhoto manages your digital photos, where iMovie and iDVD allow you to edit digital videos and burn them to DVD. Now, having worked the retail sector before, this seems like a very good price for this. However, just to be certain, lets look at the prices of a few competitors...

    After searching around on CompUSA's website, this is what I found. First, Pinnacle Studio version 8. After checking what software I could find that would actually burn MOVIES onto DVD, I ran across this particular title. This does the job (I'm speculating here, give or take a few features) of iMovie and iDVD. As for Photos, lets just go with Ulead PhotoExplorer Pro 7.0, again with the same disclaimer: based on speculation from knowing the basics of what the applications do, give or take some features.

    Now let's compare the prices.

    the Mac iBundle
    iMovie, iPhoto, iDVD: $50.00
    TOTAL: $50.00 + applicable tax

    Ulead + Pinnacle Studio
    Pinnacle: $99.99
    Ulead: $24.99
    TOTAL: $124.98 + applicable tax

    All in all paying $50.00 for all three apps would not be a horrible fate by any means. Slightly annoying in that it used to be free, but not ripping anyone off either.

    --
    ----- I want my LART.
  23. Just a few thoughts on shareware (a little OT) by Nogami_Saeko · · Score: 5, Insightful

    A lot of shareware authors, particularly those with programs that are fairly popular have been switching to a new registration scheme that this Apple upgrade policy reminds me of.

    Shareware authors tend to call it something like "upgrade protection". Basically when you register the software, you get any updates for some period of time (usually a year) afterwards. If you want to upgrade again after that, you must purchase the upgrade protection fee.

    I know all the arguments why they do it, how they need the money, etc.

    But it makes me mad, and I refuse to play that game.

    I registered a certain shareware internet application a couple years ago that had always been "free upgrades" ever since version 1.0 (it was version 3.x when I purchased it). The version AFTER I got mine, the author decided to start this upgrade protection nonsense. No continuing free versions for previous customers, we all get to play the protection racket game.

    Needless to say, I immediately went looking for a keygen and made myself a valid key for the new versions.

    I know everyone on their moral highground will defend the author and probably give me a hard time. So be it, I can accept that.

    Had I known about this policy before making my purchase, I would've chosen another product to spend my money on. My _trust_ was violated, regardless of the legality of his actions.

    In the marketing world, perception is everything - Apple's decision may make sense on budgetary, ethical, and legal footings, but if it annoys people as much as this shareware author's new policy annoyed me, Apple will get some negative PR.

    Not strong, not particularly mean and nasty PR, but a lot of "Apple just isn't quite as good a company as I thought it was". And that cooling of the warm and fuzzy feelings on which Apple so bases their marketing and promotional campaigns, could be very dangerous indeed.

    N.

    --
    "Nothing strengthens authority so much as silence." - Charles de Gaulle
  24. Why the apple bashing? by bluepinstripe · · Score: 2, Insightful

    A lot of people here seem to be either bashing Apple or asking why others are bashing Apple, and then complaining about the bashing.

    I believe the reason for the bashing is fairly simple: people who buy Apple hardware and software want to believe they are buying these products from a company that is different, from a company that has always said it was different, and therefore from a different kind of company.

    I think the irritation comes from wanting to believe so much that Apple is different, but time and time again having them prove that the only things that make them different is people wanting to believe they are different, and their inablility to actually be different.

    For my two cents, I bought an Apple because I could try a new OS and, if I wanted to, I could install Linux if I didn't like the new OS. The Apple apps are nice, and they work well, but they are by no means anything amazing. Their are FS/OSS equivalents to all the Apple applications that are just as good as the Apple applications. So, if Apples strategy is to expect me to pay ~$150/year to upgrade various pieces of software, then I'll just go back to Linux, and will have been a nice six months of OS X usage.

    1. Re:Why the apple bashing? by Salubri · · Score: 3, Insightful
      "So, if Apples strategy is to expect me to pay ~$150/year to upgrade various pieces of software..."
      They're not talking $150.00 for the software, they're talking about $50.00. That's $100.00 difference.

      And, regardless of what people want to believe or not on Apple being different, they have been time and time again. They've expiremented with various designs of computers and computing devices (both iMac designs, the cube, the iBook, the All-in-One systems dating back to the origional macs and going through the performa and powerPC's and the precursor to the origional iMacs, using PowerPC chips at a time when everyone was going with intel or other x86 designs, the Apple Newton which helped pave the way for modern PDA's, etc...). I've watched through the years as features Apple introduced seeped it's way into the PC world.

      They are different in the way that they've done most things. However they are still a company that has employees and bills that need to be paid. You can't forget this.

      Do people think that Apple is different? Yes. Is that the only thing that makes them different? No. Does being different always benefit them? Of course not. However, them charging for updates hardly makes them the same as every other company out there.

      --
      ----- I want my LART.
  25. CNet Spin Machine by awhite · · Score: 2, Insightful

    This story is all about spin. Major upgrades to the iApps mentioned by CNet were never free. You had to pay to upgrade to iMovie2, and you had to pay to upgrade to iDVD2 (and iPhoto has never had a major upgrade, so there's no track record there).

    So in the future, you'll continue to get the latest iApps with the OS, and you'll continue to pay for major iApp upgrades if you want them. The only thing that's new is that Apple is bundling the upgrades together and formalizing the price. Whoopdeedoo. But spin it the way CNet did, and all of a sudden you get hundreds of Slashdot posters frothing at the mouth about Apple's lack of ethics.

    Here's what I don't get: even if the CNet story were true, and Apple had never charged for upgrades before, what would the big deal be? What software comes with a free-upgrades-for-life guarantee? You buy a Mac, you get a certain software bundle. If you want to upgrade applications, you pay. That's no different from any other platform. You're not forced to upgrade. You're not promised one thing and given another. I'm absolutely floored by the rabid response this story is getting.

  26. Re:Rip-off by byolinux · · Score: 3, Insightful

    iPhoto is free, iMovie and iDVD have always required payment for new versions.

    This is NOT news.

  27. get a grip people! by wtmcgee · · Score: 2, Insightful

    f they do this the right way, i think not too many feathers will be ruffled.

    if the more casual iApps like iTunes, iCal, iChat, iSync stay free, and programs like iPhoto, iMovie and iDVD come at a price, i think that would be acceptable. hopefully there would be some sort of option to buy just the programs you want, since iPhoto is kind of neat, but i don't have a DV cam as of yet, so i have no use for iMovie or iDVD.

    but the people saying they'll sell their macs if apple does this, you gotta be kidding me. granted, i can see the 'bait and switch' argument... but if you don't feel as if the programs are worth your money, or feel as if they aren't worth paying to upgrade, do one of two things:

    1) dont upgrade (yea, thats right... you dont HAVE to upgrade last time i checked.)

    2) find a suitable replacement. don't like iTunes? there's a couple of great mp3 player programs out there, some free, some you have to pay for. there's fire, adium, proteus for you iChat people. if you don't like iCal or iSync, use the palm desktop software that comes with your palm. i haven't looked around, but i'm sure there's a suitable replacement for every iApp they could possibly charge you for.

    i guess we'll all know next week, eh? i suppose most of this is rather redundant, but i just can't believe there are mac users out there that really want to ditch their computer because some iApp will cost them a couple bucks....

    --
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