According to Skimble Inc. co-founder Maria Ly, a physical fitness programs company, Amazon is piloting a service similar to Apple and Google that will allow tablet users to make in-app purchases. Ly suggested her company has been taking part in testing for about a month.
Amazon’s service will reportedly allow users to make both subscription and individual item purchases within the app, which in turn should generate more revenue for both developers and companies — in-app purchases are expected to garner $5.6 billion in revenue in 2015, Bloomberg said, citing the research firm IHS.
Ly claims Amazon plans to charge a 30 percent commission to clients for the new service, which is expected to position the company as a more competitive destination for developers. Brian Blair, analyst at Wedge Partners Corp, believes it will be an important step for Amazon.
“Amazon needs to be positioned to capitalize on this,” Blair told Bloomberg. “It’s a smart model. Some of the best new apps in Apple’s app store are free so users can easily download and see the application, but to get any meaningful use, in-app purchases are required.”
Amazon declined to comment on its system, when asked by Bloomberg, though Ly said the service is still in early stages. We’ll be on the lookout for more info once it hits. Could the service be in preparation for new models of Amazon’s popular Kindle Fire?