Jobs was a greedy bastard like all the other CEOs. The difference is that he also had mostly good taste as far as products go.
If you sold software over the internet, you had PayPal, which had a flat fee of $0.35 + 1.7% or so and if your shareware was $30, the transaction fee essentially was ~$1. Stripe had roughly the same fee when they launched. You had more traditional credit card merchants and when I inquired one in Germany back in 2010, it was more or less in the same ballpark (~10%).
In Europe, you could also just get money wired, which cost you something like 0-10 cents.
30% for payment processing were always extremely high.
Edit: The only thing where you had no other options was when you tried to sell stuff on the internet for $1, because the flat fee part of credit card processors would eat up all of that. Apple indeed helped here a little bit, because it was always 30% and no fixed part.
Steam comes to mind. They take 30% (and I think 5% for credit card or whatever).
So I do not think that "outrageously wrong" is characterizing my remarks adequately.
Your phone is general purpose, steam is focused on a narrow band of market
The iOS store adds nothing but cost to the purchasing process, with hilariously terrible discoverability and sorting, steam makes navigating and discoverability breezy and easy
Your phone is arguably not an optional part of your life, whereas nobody ever missed an important call because they weren't on steam
Steam does not take any money from apps or companies for transactions it was not involved in. Here, and in other cases, the costs of doing business with apple extend to people who have no relationship with apple at all
If you think you can make any money selling software on the internet and paying nothing other than $0.35 + 1.7%, think again.
- Developers helped to make Apple the platform it is today.
- Apple had their 30% fee when the App Store was MUCH smaller. It's not like that fee came only after they had the audience.
- Apple will do zero marketing for you unless you are already successful.
- Apple doesn't earn money with the most popular free apps, but still hosts them. They could charge by traffic, by downloads, whatever, but they won't.
- Apple will charge you if you make money in the app. They will force you to use their payment processor if you want to make money.
So, it is 100% a processing fee and everything else either came later or isn't congruent with what they actually charge money for.
PayPal also offered a "micropayments" rate (that I used in Cydia), wherein they charged $0.05+5% (which is much better for payments under $12).