Apple to raise UK app prices by 25 percent after post-Brexit fall in pound

Editor 178 replies
Found 17th Jan
Apple is raising the prices of apps in the UK by 25 per cent after recent falls in the value of the pound in the wake of the Brexit vote.

http://i.imgur.com/hz080cg.jpg?1

The change means that an app or in-app purchase that previously cost 79p will now sell for 99p.

The move brings the pound to effective parity with the US dollar when it comes to buying apps, with a 99p app in Britain costing 99 cents in America, although the latter does not include VAT.

It follows higher prices for iPhones, iPads and Mac computers introduced in the second half of last year. The price changes for software do not affect the price of songs, films and TV shows in the iTunes Store.

An Apple spokesman said: "Price tiers on the App Store are set internationally on the basis of several factors, including currency exchange rates, business practices, taxes, and the cost of doing business. These factors vary from region to region and over time."

Although the 20p difference may not seem significant, it means that in-app purchases such as the full game of Super Mario Run will rise from £7.99 to £9.99.

Apple, Microsoft and Tesla have all increased the cost of certain products in response to the falling pound. Apple’s new iPhone 7 starts at £599, against £539 for the previous model, while the prices of some laptops were increased by 20 per cent.

Microsoft has raised the price of cloud computing and enterprise software for UK businesses, while Tesla has increased prices by 5pc.

Thoughts? Seems unfair to pass rising costs to the consumer when Apple paid £12.9M ($17M) in UK corporation tax despite making an estimated £2B ($2.6B) profit last year.

178 Comments

your last paragraph sums it up nicely, it's only down to pure greed. but folk will complain and pay it lol

STRICKIBHOY

your last paragraph sums it up nicely, it's only down to pure greed. but … your last paragraph sums it up nicely, it's only down to pure greed. but folk will complain and pay it lol



Seems common sense to me. They sell something for $5, it just costs us more because of the weak exchange. I didn't see anyone complaining back when the £ was worth $2, or saying it was unfair.

Was expected and we may see a lot more things priced 1:1 with the dollar.

Will happen across the board over the next 12-24 months.

Thats natural. Pound is falling and will be 1:1 with euro in few months time. And not only Apple will rise prices-food will cost same 20% more by the end of 2017; look at bananas-1kg now £ 0.72 instead of £0.68 -already nearly 10% rise...

That's not to say I'm happy about it, but this is the way global markets work. Everything will go up in price, but you can't say we weren't warned.

Thoughts? Seems unfair to pass rising costs to the consumer when Apple … Thoughts? Seems unfair to pass rising costs to the consumer when Apple paid £12.9M ($17M) in UK corporation tax despite making an estimated £2B ($2.6B) profit last year.


It's many of those consumers who created those rising costs, so why should Apple take responsibility for them?

Rimi

Thats natural. Pound is falling and will be 1:1 with euro in few months … Thats natural. Pound is falling and will be 1:1 with euro in few months time. And not only Apple will rise prices-food will cost same 20% more by the end of 2017; look at bananas-1kg now £ 0.72 instead of £0.68 -already nearly 10% rise...



​Yes and Milk 85p to 99p butter 79p to 99p yoghurt up aswell potatoes cheapest 2kg use to be around 40p and know 69p

Perfect time for a company such as Xiaomi to take some market share?

Mikey_b

Seems common sense to me. They sell something for $5, it just costs us … Seems common sense to me. They sell something for $5, it just costs us more because of the weak exchange. I didn't see anyone complaining back when the £ was worth $2, or saying it was unfair.



​well not really never see people complain about fuel prices when they were so low less than 35 dollars a barrel. and petrol prices around 1 quid barrel 150 dollars petrol 1.50 litre. if you complain then ur doom and if u don't u still are.

davewave

Perfect time for a company such as Xiaomi to take some market share?



Really????
You pay same 25% more as they trade in dollars.

Well, this is what the Great British Public voted for. By the end of the year all of our food/clothes/etc will cost at least 25% more. Welcome to Brexit-Britain.

muddassarsardar

​well not really never see people complain about fuel prices when they w … ​well not really never see people complain about fuel prices when they were so low less than 35 dollars a barrel. and petrol prices around 1 quid barrel 150 dollars petrol 1.50 litre. if you complain then ur doom and if u don't u still are.



You've missed the point. He's saying that it's dependent on the strength of the pound in relation to international trading - which is correct. If we wish to moan that's it's unfair because the pound is weak, then we should also have complained when it was strong because that also was unfair on others.

muddassarsardar

​well not really never see people complain about fuel prices when they w … ​well not really never see people complain about fuel prices when they were so low less than 35 dollars a barrel. and petrol prices around 1 quid barrel 150 dollars petrol 1.50 litre. if you complain then ur doom and if u don't u still are.



You've missed the point. He's saying that it's dependent on the strength of the pound in relation to international trading - which is correct. If we wish to moan that's it's unfair because the pound is weak, then we should also have complained when it was strong because that also was unfair on others.

Painterz1

Well, this is what the Great British Public voted for. By the end of the … Well, this is what the Great British Public voted for. By the end of the year all of our food/clothes/etc will cost at least 25% more. Welcome to Brexit-Britain.



Almost certainly true and that will lead to reduced spending and in turn job losses.

Unless everyone is getting inflation matching pay rises in the post-Brexit utopia....that's happening still right? X)

peeej1978

You've missed the point. He's saying that it's dependent on the strength … You've missed the point. He's saying that it's dependent on the strength of the pound in relation to international trading - which is correct. If we wish to moan that's it's unfair because the pound is weak, then we should also have complained when it was strong because that also was unfair on others.



​I think u missed it aswell we should have complained but didn't he says we do wen we don't do u get me. lol. e.g pound was high and they only dropped the prices slightly on things not by a a lot so why not just raise them slightly being the main point I'm trying put across. anyway will apple know pay there uk staff 25% more as the pounds worth less I think not so they are being greedy or some disagree with that aswell.

[email protected]

What was the cause of the prices to go up in India & … What was the cause of the prices to go up in India & Turkey?http://www.bbc.co.uk/news/technology-38650296



India introduced a service tax of 14% last December.

Rimi

Really????You pay same 25% more as they trade in dollars.



​opportunity costs.

Justifies having a jailbroken device even more. Thanks apple!

118luke

Justifies having a jailbroken device even more. Thanks apple!



The price goes up so theft is justified?

Not sure what industry you work in lad but I'm sure you wouldn't apply the same principle to it would you?

Software price increases do not worry me in the slightest. It will cost no more to me than it does now lol.

#Longlivethepiratebay

HotEnglishAndWelshDeals

The price goes up so theft is justified?Not sure what industry you work … The price goes up so theft is justified?Not sure what industry you work in lad but I'm sure you wouldn't apply the same principle to it would you?



Its the only thing we have against a software corporation monopoly. The cost of programming hasnt increased as a result of brexit, yet we are expected to pay more - simply to fill Apple's pockets? Spare me the Brexit excuse bull...

no thanks - pull the other one would you?

118luke

Software price increases do not worry me in the slightest. It will cost … Software price increases do not worry me in the slightest. It will cost no more to me than it does now lol.#Longlivethepiratebay



Theft then? Will you apply the same 'logic' to other products and will you extend the same opportunities to people buying from you?

Also the cost of the phone you intend to jailbreak will go up in price too.

#longlivethebritisheducationsystembutpleaseinvestmoretoraisestandards

when the pound goes up will apple lower the cost?

118luke

Its the only thing we have against a software corporation monopoly. The … Its the only thing we have against a software corporation monopoly. The cost of programming hasnt increased as a result of brexit, yet we are expected to pay more - simply to fill Apple's pockets? Spare me the Brexit excuse bull...no thanks - pull the other one would you?



Firstly you don't seem to understand this is a currency issue. The money you use to buy apps is worth less than it was seven months ago. This is very basic knowledge, why don't you understand it?

Secondly theft isn't the only thing against a software monopoly because apple isn't the only choice. There is competition in the market with android.

Don't try and justify piracy and if you must, try and produce a better argument.

welder299

when the pound goes up will apple lower the cost?



Nope because why would they? They've got a great excuse to raise prices and by he time the Pound strengthens (if it does) then people will have gotten use to the 99p price point.

118luke

The cost of programming hasnt increased as a result of brexit



It has if the company works in USD and you are paying in GBP as is the case here...

HotEnglishAndWelshDeals

Theft then? Will you apply the same 'logic' to other products and will … Theft then? Will you apply the same 'logic' to other products and will you extend the same opportunities to people buying from you?Also the cost of the phone you intend to jailbreak will go up in price too.#longlivethebritisheducationsystembutpleaseinvestmoretoraisestandards



So your morale high ground against me for obtaining software cheaply (software is probably the fastest depreciating asset you can purchase) - yet you don't condemn apple for increasing prices when the manufacturing base cost (for virtual software) hasn't increased?

Just because its legal doing what they do, doesn't mean its morally right to do so.

A bit rich when Apple paid just £12m in tax on a £2billion profit a couple of years ago . This won't effect the craving for I products, by the 10 to 16 year olds who's life would be at an end without them.
I assume that when the dollar was almost 50p British companies raised prices across the board on exports , to compensate for a weak dollar ?
Edited by: "plodging" 17th Jan

118luke

So your morale high ground against me for obtaining software cheaply … So your morale high ground against me for obtaining software cheaply (software is probably the fastest depreciating asset you can purchase) - yet you don't condemn apple for increasing prices when the manufacturing base cost (for virtual software) hasn't increased?Just because its legal doing what they do, doesn't mean its morally right to do so.



Luke, you don't seem to have a basic understanding of currency exchange rates. That's not necessarily your fault because basic economics isn't mandatory at school but I don't quite understand why you'd continue to venture an opinion when it's been made clear that there's a huge hole in your knowledge of the subject.

The 79p is worth less in $ now so you have to give more pennies to get an equivalent rate.

As for 'obtaining software cheaply' you do whatever fits your moral code. You were raised to believe what you believe and that's largely not your fault either.

HotEnglishAndWelshDeals

Firstly you don't seem to understand this is a currency issue. The money … Firstly you don't seem to understand this is a currency issue. The money you use to buy apps is worth less than it was seven months ago. This is very basic knowledge, why don't you understand it?Secondly theft isn't the only thing against a software monopoly because apple isn't the only choice. There is competition in the market with android. Don't try and justify piracy and if you must, try and produce a better argument.



But the cost of creating the apps in the first place hasnt changed - don't you understand that? Why should they pass on a "false" cost to the consumer. With the phones costing as much as they do in the first place, its not like they cant afford to make a bit less money on a currency conversion. I cannot understand why you are so supportive of Apple profiteering at the expense of the average consumer.

And, i highly doubt that once the pound returns to normal (which is highly likely once brexit has settled down) that they will reduce the price again! Greed and monopoly mate, nothing more.

ah blame brexit, VAT and FX changes were blamed for the increase to 79p, wonder what happened back in the day when it was $2 to the £

118luke

But the cost of creating the apps in the first place hasnt changed - … But the cost of creating the apps in the first place hasnt changed - don't you understand that? Why should they pass on a "false" cost to the consumer. With the phones costing as much as they do in the first place, its not like they cant afford to make a bit less money on a currency conversion. I cannot understand why you are so supportive of Apple profiteering at the expense of the average consumer.And, i highly doubt that once the pound returns to normal (which is highly likely once brexit has settled down) that they will reduce the price again! Greed and monopoly mate, nothing more.


imagine they are selling their product in dollars - now you need to buy dollars with your pound
...
you're welcome

Do people really buy Apps anyway ..? 99.99% are garbage .

118luke

But the cost of creating the apps in the first place hasnt changed - … But the cost of creating the apps in the first place hasnt changed - don't you understand that? Why should they pass on a "false" cost to the consumer. With the phones costing as much as they do in the first place, its not like they cant afford to make a bit less money on a currency conversion. I cannot understand why you are so supportive of Apple profiteering at the expense of the average consumer.And, i highly doubt that once the pound returns to normal (which is highly likely once brexit has settled down) that they will reduce the price again! Greed and monopoly mate, nothing more.



Are you being serious ? X)

Do you understand that the US and UK have different currencies? Let's start there.

HotEnglishAndWelshDeals

Luke, you don't seem to have a basic understanding of currency exchange … Luke, you don't seem to have a basic understanding of currency exchange rates. That's not necessarily your fault because basic economics isn't mandatory at school but I don't quite understand why you'd continue to venture an opinion when it's been made clear that there's a huge hole in your knowledge of the subject.The 79p is worth less in $ now so you have to give more pennies to get an equivalent rate. As for 'obtaining software cheaply' you do whatever fits your moral code. You were raised to believe what you believe and that's largely not your fault either.



Aye - ill stick to my software principles and you stick to yours. Just means that Brexit will have a greater cost impact to you than it will do to me.
Your morale will stay intact, and Apples bank balance will be higher and yours will be lower. Meanwhile i will be getting software for the same price, Apple will still be raking in millions every day and even more so now that they have raised prices, and my morale and bank balance will stay the same. Win-Win situation, i believe.

118luke

Aye - ill stick to my software principles and you stick to yours. Just … Aye - ill stick to my software principles and you stick to yours. Just means that Brexit will have a greater cost impact to you than it will do to me. Your morale will stay intact, and Apples bank balance will be higher and yours will be lower. Meanwhile i will be getting software for the same price, Apple will still be raking in millions every day and even more so now that they have raised prices, and my morale and bank balance will stay the same. Win-Win situation, i believe.



Clearly the price of apps is a big thing in your budget so you can justify it to yourself, a bit like Aladdin in the Disney film.

Please use those savings to by a gcse economics textbook.

HotEnglishAndWelshDeals

Clearly the price of apps is a big thing in your budget so you can … Clearly the price of apps is a big thing in your budget so you can justify it to yourself, a bit like Aladdin in the Disney film. Please use those savings to by a gcse economics textbook.



lol, and you should buy some steps to come down from that almighty morale high horse of yours. X)

HotEnglishAndWelshDeals

Clearly the price of apps is a big thing in your budget so you can … Clearly the price of apps is a big thing in your budget so you can justify it to yourself, a bit like Aladdin in the Disney film. Please use those savings to by a gcse economics textbook.




Or an English dictionary.

HotEnglishAndWelshDeals

Clearly the price of apps is a big thing in your budget so you can … Clearly the price of apps is a big thing in your budget so you can justify it to yourself, a bit like Aladdin in the Disney film. Please use those savings to by a gcse economics textbook.



​and possibly you could BUY some spell check software or a dictionary.
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