At Build 2018 Microsoft announced an incentive to encourage developers to create apps for Windows 10. A new fee structure will enable devs to keep 95 percent of revenue earned from certain apps. It excludes games, where the 70 percent share will still apply.

The increased share of revenue includes the purchase of applications or any in-app products when a customer uses a deep link to make purchases in the Microsoft store.

While this sounds like a really good offer, it is limited in its scope.

According to the Windows Dev Center the 95% revenue share applies to:

• Any consumer non-gaming app published to Microsoft Store on PC, Windows Mixed Reality, Windows Phone or Surface Hub. 

If the purchase of an app that would otherwise qualify (i.e. not a game) is made on an Xbox console, then the developer won't receive the augmented share, the existing fee will apply instead. 

To further restrict its applicability, the new fee structure only applies to individual purchases. If your app is offered through organizational licensing in Microsoft Store for Business and/or Microsoft Store for Education, the current fee will continue to apply.

Another way in which you get less, 85% rather than 95%, is when Microsoft helps you to acquire a customer through any method, such as in a collection on Microsoft Store.

Regarding in-app purchases and subscriptions:

• The new fee structure will apply to non-game, consumer app subscriptions and add-ons (in-app purchases).  The fee applied to these purchases will be determined by how the user originally acquired the application.  The new default 5% Microsoft Store fee will apply for all transactions using Microsoft’s commerce platform and, if your customer uses a deep link to acquire your application, that’s all you’ll owe. The extra 10% customer acquisition cost will apply when Microsoft delivers you the customer through any other method, such as via a Microsoft Store collection or a Microsoft Store spotlight. 

There's no firm date for the new fee structure to come into effect. The FAQs state:

• Later this year, we’ll prompt you to accept a new version of the App Developer Agreement that outlines the Microsoft Store fee structure in detail. The new fee structure will apply to purchases made after the date listed in the App Developer Agreement. 

The announcement also includes a disclaimer:

Final details subject to change

Is the prospect of getting a 95% share from productivity, lifestyle, informational and other non-gaming apps sufficient encouragement to get devs to create new apps or port existing ones to Windows 10?

If you are still wavering, the size of the potential market may help sway your decision. At Build 2018, Microsoft announced that there are now nearly 700 million active Windows 10 devices.

More Information

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