Apple does not share user registration info with app vendors. What's the harm if they shared?
This issue has been a contentious sticking point between Apple and the app vendors (companies whose products were subscribed to by the user on Apple App Store). Who owns the subscription when users register on the Apple App Store to buy products from 3rd party vendors using the vendor's app? Apple owns it! But what's the harm if Apple shares the email and credit card info of the user?
ChatGPT:
If Shared
- Trust - when users register on the Apple App Store, they place their trust not on the vendor but on Apple. If Apple shares that info, it's a betrayal of trust. That trust is a curated user assurance
- Loss of control over user experience - if vendors get access to that information, they can establish a direct communication with that user, bypassing Apple. Apple loses its control over renewals, billing and subsequent subscriptions
- Spam and unwanted marketing - the vendor can resort to aggressive marketing or spamming the user. when that happens, Apple looks bad, not the vendor
- Security risks - the vendor may not have secure systems in place to protect that info. That info is now vulnrable to cyber hacks and identity theft. When that happens, Apple may be legally liable
- Revenue loss - vendors can directly make transactions with the user. Apple is removed from the picture and losses its 30% commission
If NOT Shared
- Differentiation - Apple competitors usually sell user information. Apple makes itself a cut above competition by not sharing
- Continued vendor reliance on Apple - for all transactions. Apple remains in control
- Streamlined payment for user - instead of doing multiple payment transaction with every vendor, the user only has to deal with Apple
- Vendor pushback - this frustrates the vendor and alienates them
- Pressure from regulators - regulators may look into anti-competitive practices. Apple's privacy policy does not make it legal
- Users are locked-in - since user's data and history are all in the Apple ecosystem, it would be difficult to migrate elsewhere