Paul Graham: Apple's Mistake

I think people are grossly a) misunderstanding Apple’s “model” for the App Store, and b) overstating how harmful it is. For there is another market that has operated this way for 30 years and made billions of dollars for software and hardware makers:

The game console market.

Want to develop games for Wii? Guess what? You need to be a Nintendo licensed partner. Your content needs to be approved by Nintendo. Sold 10 copies of your game today? Fork over your Nintendo license fees.

It hasn’t hurt console gaming, gamers, or software makers. In fact, this system has made the video game market what it is today: a multi-billion dollar industry. Stability and safety of the platforms involved exchanges a bit of freedom on the part of developers for a “captive audience” of consumers who own (and are loyal to) each console.

In fact, the first console in history that was ever bought en masse for the console itself was the Nintendo Wii. This was because it promised a radically new input system that was much more accessible to a broader group of friends and family members. But the Wii is the exception that proves the rule.

I am one voice that does not think the App Store is harmful. I think it’s good. I think we can have different App Stores from different phone vendors and there can be open apps and web apps and an entire ecosystem of software development around phones, smart phones, and net books. In fact, this has the potential to make a lot of money for a lot of people, while driving innovation and quality to new heights.

So everybody, stop bitching about the App Store. This model hasn’t killed console gaming and it won’t kill smart phones, either.

iomegadrive: