Expensive Apps Will Ruin Microsoft's Windows Marketplace
News Analyis: Microsoft is saying that its Windows Marketplace for Mobile store should feature applications that are more expensive than those offered in competing stores. That's a problem both for the software giant and developers. Developers might like the idea of making more money from their mobile applications, However, the Apple App Store has already set the price point with its 99 cent applications. It's hard to see how Microsoft's plan to sell applications for $5 or $10 is a formula for success.Microsoft's mobile app store, Windows Marketplace for Mobile, hasn't even offered a single application for mobile phones and already it's causing a stir. Even worse, it's making Microsoft look foolish.
At a conference with developers this week, Microsoft told those on-hand that the 99-cent application shouldn't find its way to its store. The software giant believes that developers are selling their apps too cheaply simply because some other stores (yes, that means Apple's App Store) have created a culture that dictates low prices.
"We would definitely want to promote that you make more money selling applications than selling your application in a dollar store," Loke Uei, senior technical product manager for Microsoft's Mobile Developer Experience Team, told mobile application developers earlier this week. "I know, 99 cents is interesting-yes, consumers like to pay 99 cents for applications.
"But 99 cents, come on, I think your app is worth more than that."