Apple embraces in-app tipping—as long as you give it a 30 percent cut

Apple is changing course in how it treats tips collected within apps in what may end up being a mixed bag for developers and digital creators.

The company just updated its App Store terms so that tipping with in-app currencies now falls under the same category as in-app purchases, of which Apple takes a 30 percent cut. Some apps give users the option of buying digital goods that can then be given to other users, who can then redeem the goods for cash.

This kind of tipping has emerged as a popular way to sidestep platforms that take a cut of revenue, which usually comes in the form of ads. It's particularly popular on some of China's biggest video platforms, which have embraced the feature with built in tools for stars to pull in extra donations or charge for specific types of performances.

Up until now, it's remained somewhat of a gray area. Apple made its views on the matter clear last month when it reportedly threatened to remove WeChat and some of the country's other most popular social platforms if they didn't nix their tipping features or start paying the fees.

The move infuriated some app developers and risked inciting a standoff in one of Apple's biggest app markets.

It may sound like a minor policy point, but tipping has become a huge moneymaker in the country. Around a tenth of WeChat's 889 million users say they have used it, and of that group, a little less than half say they contribute five to ten yuan ($.72-$1.45) per month.

One Chinese blogger who writes about psychology and sexuality on WeChat said she made 1,000 yuan ($145) per day through donations, according to Quartz.

Rather than back down, Apple is now formalizing that policy for the first time.

Despite the heavy charge, though, the move might not end up being all bad for creators.

Apple's sanction gives the practice a seal of legitimacy that could push platforms that might have been otherwise hesitant to start allowing them (cough, Uber, cough).

In the United States, where tipping hasn't caught on widely, creators tend to have few options for making money through platforms. Facebook recently started allowing video creators to monetize their content with ads, but the social giant still takes a cut of nearly half. Instagram and Snapchat still don't share ad revenue.

Apple is clearly on a push to make it easier for developers to make money within apps. As part of an app store redesign announced at its World Wide Developer Conference this week, the company also rolled out blog-style description pages in which app makers can list every purchase available within the app up front.