In-app purchases are purchases made from within a mobile application. Users typically make an in-app purchase in order to access special content or features in an app such as power-ups, restricted levels, virtual money, special characters, boosts, etc. The purchasing process is completed directly from within the app and is seamless to the user in most cases, with the mobile platform provider facilitating the purchase and taking a share of the money spent (usually in the range of 30% or so), with the rest going to the app developer.
In-app purchases first became available in Apple's App Store with the release of iOS 3.0 in October 2009. The BlackBerry App World added support for in-app purchases in September 2010, and in March 2011 Google added its version of in-app purchases called in-app billing for Android users.
Apple currently offers four different types of in-app purchases: non-replenishable, replenishable, subscription-based and auto-renewing subscriptions. In-app purchases can apply to premium apps as well as free apps, which are also known as freemium apps.
In-app purchases initially created some controversy due to users not always realizing they were spending actual money on apps, and as a result Apple updated its in-app purchasing as of iOS 4.3, requiring users to first enter their password before being able to make an in-app purchase. The ability to make in-app purchases can also be disabled in most cases, which is particularly recommended when the smartphone is shared with another person or frequently accessed by a child or teenager.
Tape clearly is on the decline. But remember, legacy systems can hang for a shockingly long time. Read More »Apple Pay Promises to Strengthen Payment Security
Experts believe that Apple Pay and other competitive payment systems will be far more secure than cards, even cards equipped with EMV chips. Read More »Internet of Things Shaping IT's Future
To make the IoT both work and pay off, IT is juggling upgrading and building app-centric networks, mapping out new data center architectures and... Read More »
The trend for the past two years has been for shoppers to spend more online during the holiday season. How do you typically shop for holiday... Read More »How to Create a Desktop Shortcut to a Website
This Webopedia guide will show you how to create a desktop shortcut to a website using Firefox, Chrome or Internet Explorer (IE). Read More »Flash Data Storage Vendor Trends
Although it is almost impossible to keep up with the pace of ongoing product releases, here are three recent highlights in the flash data storage... Read More »
Stay up to date on the latest developments in Internet terminology with a free weekly newsletter from Webopedia. Join to subscribe now.
- Watch Datamation's editor James Maguire moderate roundtable discussions with tech experts from companies such as Accenture, Dell, Blue Jeans Network, Microsoft and more »