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Bandcamp says it can’t afford Google Play billing, Epic files injunction [Updated]

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Bandcamp says it can’t afford Google Play billing, Epic files injunction [Updated]

Music stores and apps stores are the same thing, really —

Epic bought Bandcamp last month. Now Bandcamp is a weapon against app store owners.


Coins rain on a piggy bank labeled Epic Games.

Epic and Google are gearing up for another legal battle. You might recall that Google has an in-app billing crackdown coming to the Play Store soon. The new rules require all apps selling digital goods to use Google Play Billing by March 31, so Google gets a cut of the sales. Any app in non-compliance has been unable to ship updates since March 31, but the real deadline is June 1, when these apps will be removed from the Play Store. Epic Games bought the popular independent music site Bandcamp in March, and it’s already taking Google to court over its newest acquisition. Bandcamp isn’t in compliance with the billing rules, so it’s due for a ban in June. As part of its antitrust case against Google, Epic is filing a motion for a preliminary injunction to block Bandcamp’s de-listing from the Play Store.

Epic has attacked Google and Apple over their app store rules and what Epic says are excessive fees. In March, there were a lot of questions surrounding why the creator of Fortnite and the Unreal Engine would buy an independent music site. One line of commentary from Music Business Worldwide founder Tim Ingham seems to have nailed Epic’s strategy. Ingham notes that Epic failed to get Apple to reduce its 30 percent app store cut, in part because the alternative model Epic could demonstrate to the court, the Epic Games Store and its 12 percent fee, wasn’t profitable. Apple’s lawyers argued the unprofitability of Epic’s Games Store justified Apple’s 30 percent fees.

Bandcamp is a profitable digital content business, though. Bandcamp has a searchable content store, and it hosts and delivers the content by charging artists a 10 to 15 percent commission. Ingham predicted Epic would hold up Bandcamp’s business model as a viable alternative to Apple and Google’s app store fees, and that Epic would use its new acquisition to attack app store owners. It looks like we’re seeing the first actions of that plan.

Bandcamp says its business is incompatible with Google Play Billing

Epic’s court filing argues that “Google has a monopoly over Android app distribution, and uses its monopoly power to illegally tie its payment product—Google Play Billing—to its app distribution product—Google Play.” Bandcamp is used as an example of what harm this billing system will cause, arguing that Bandcamp’s business model is mostly incompatible with Google Play Billing.

Epic raises several issues with Google’s billing system. First, that Bandcamp’s payment system is “custom-built to maximize efficiency and minimize costs, allowing artists to be paid within 24 to 48 hours of a sale.” Google Play takes 15 to 45 days to pay out, and Bandcamp’s speedy system is meant to help independent artists pay monthly bills on time.

Second, Epic says Bandcamp’s ability to give artists 82 percent of revenue would be harmed if Google takes a 30 percent cut. Epic also notes that Google offered the company a sweetheart deal of 10 percent commission after Epic complained. Google keeps offering huge companies special discounts on its Play Store fees. Spotify has another special arrangement that allows it to run its own payments system alongside Google Play. Epic turned down the 10 percent deal, too, saying Bandcamp currently has a 7 percent profit margin on its 13 percent cut, so it can’t afford it.

One of the more interesting complaints is that Google Play Billing just isn’t compatible with the type of store Bandcamp runs. The first is that Bandcamp is a mix of digital and physical content. That makes sense for a music company—you can buy a digital download, a physical CD or vinyl record, and some band merch like a T-shirt, all in one store. Google Play Billing, which was meant for in-app purchases, isn’t built for this and doesn’t support physical sales. Bandcamp would have to support two different payment systems, and it would have to run two checkout systems. Bandcamp’s second compatibility issue is that it’s an open marketplace, with thousands of artists selling goods. Google Play supports paying a single developer entity, not playing middle-man to thousands of sellers.

On Bandcamp’s blog, CEO Ethan Diamond said, “If Google’s policy changes stand, beginning on June 1st, we would have to either pass Google’s fees on to consumers (making Android a less attractive platform for music fans), pass fees on to artists (which we would never do), permanently run our Android business at a loss, or turn off digital sales in the Android app.” Removing purchases due to Google’s new billing rules is the option Amazon and Barnes & Noble took earlier this month. Poor Barnes & Noble is also an Android manufacturer, and now it can’t sell digital books on its own hardware!

Epic’s antitrust case against Google is set for April 2023, while non-compliant apps will get booted off the Play Store in a month. We’ll be on the lookout for more developments.

4:18 pm ET update: Google sent a statement:

This is yet another meritless claim by Epic, which is now using its newly acquired app Bandcamp to continue its effort to avoid paying for the value that Google Play provides. We’ve been transparent about Play’s Payment policy for more than 18 months and, as Epic knows, Bandcamp is eligible for a service fee of just 10% through Play’s Media Experience Program—far less than the fees they charge on their own platforms. Despite their claims, Android’s openness means that Bandcamp has multiple ways of distributing their app to Android users, including through other app stores, directly to users via their website or as a consumption-only app as they do on iOS.

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AMD CEO says 5-nm Zen 4 processors coming this fall

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Did you miss a session from GamesBeat Summit 2022? All sessions are available to stream now. Watch now.


Advanced Micro Devices revealed its 5-nanometer Zen 4 processor architecture today at the Computex 2022 event in Taiwan.

The new AMD Ryzen 7000 Series desktop processors with Zen 4 cores will be coming this fall, said Lisa Su, CEO of AMD, in a keynote speech.

Su said the new processors with Zen 4 architecture will deliver a significant increase in performance upon their launch in the fall of 2022. Additionally, Su highlighted the strong growth and momentum for AMD in the mobile market as 70 of the more than 200 expected ultrathin, gaming and commercial notebook designs powered by Ryzen 6000 Series processors have been launched or announced to-date.

In addition, other AMD executives announced the newest addition to the Ryzen Mobile lineup, “Mendocino;” the newest AMD smart technology, SmartAccess Storage; and more details of the new AM5 platform, including support from leading motherboard manufacturers.

“At Computex 2022 we highlighted growing adoption of AMD in ultrathin, gaming, and commercial notebooks from the leading PC providers based on the leadership performance and battery life of our Ryzen 6000 series mobile processors,” said Su. “With our upcoming AMD Ryzen 7000 Series desktop processors, we will bring even more leadership to the desktop market with our next-generation 5-nm Zen 4 architecture and provide an unparalleled, high-

performance computing experience for gamers and creators.”

AMD Ryzen 7000 Series desktop processors

The new Ryzen 7000 Series desktop processors will double the amount of L2 cache per core, feature higher clock speeds, and are projected to provide greater than 15% uplift in single-thread performance versus the prior generation, for a better desktop PC experience.

During the keynote, a pre-production Ryzen 7000 Series desktop processor was demonstrated running at 5.5 GHz clock speed throughout AAA game play. The same processor was also demonstrated performing more than 30% faster than an Intel Core i9 12900K in a Blender multi-threaded rendering workload.

In addition to new “Zen 4” compute dies, the Ryzen 7000 series features an all-new 6nm I/O die. The new I/O die includes AMD RDNA 2-based graphics engine, a new low-power architecture adopted from AMD Ryzen mobile processors, support for the latest memory and connectivity technologies like DDR5 and PCI Express 5.0, and support for up to four displays.

AMD Socket AM5 Platform

The new AMD Socket AM5 platform provides advanced connectivity for our most demanding enthusiasts. This new socket features a 1718-pin LGA design with support for up to 170W TDP processors, dual-channel DDR5 memory, and new SVI3 power infrastructure for leading all-core performance with our Ryzen 7000 Series processors. AMD Socket AM5 features the most PCIe 5.0 lanes in the industry with up to 24 lanes, making it our fastest, largest, and most expansive desktop platform with support for the next-generation and beyond class of storage and graphics cards.

And AMD said the “Mendocino” processors will offer great everyday performance and are expected to be priced from $400 to $700.

Featuring “Zen 2” cores and RDNA 2 architecture-based graphics, the processors are designed to deliver the best battery life and performance in the price band so users can get the most out of their laptop at an attractive price.

The first systems featuring the new “Mendocino” processors will be available from computer partners in Q4 2022.

GamesBeat’s creed when covering the game industry is “where passion meets business.” What does this mean? We want to tell you how the news matters to you — not just as a decision-maker at a game studio, but also as a fan of games. Whether you read our articles, listen to our podcasts, or watch our videos, GamesBeat will help you learn about the industry and enjoy engaging with it. Learn more about membership.

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AMD’s Ryzen 7000 desktop chips are coming this fall with 5nm Zen 4 cores

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AMD’s Ryzen 7000 desktop chips are coming this fall with 5nm Zen 4 cores

AMD’s upcoming Ryzen 7000 chips will mark another major milestone for the company: they’ll be the first desktop processors running 5 nanometer cores. During her Computex keynote presentation today, AMD CEO Lisa Su confirmed that Ryzen 7000 chips will launch this fall. Under the hood, they’ll feature dual 5nm Zen 4 cores, as well as a redesigned 6nm I/O core (which includes RDNA2 graphics, DDR5 and PCIe 5.0 controllers and a low-power architecture). Earlier this month, the company teased its plans for high-end “Dragon Range” Ryzen 7000 laptop chips, which are expected to launch in 2023.

Since this is just a Computex glimpse, AMD isn’t giving us many other details about the Ryzen 7000 yet. The company says it will offer a 15 percent performance jump in Cinebench’s single-threaded benchmark compared to the Ryzen 5950X. Still, it’d be more interesting to hear about multi-threaded performance, especially given the progress Intel has made with its 12th-gen CPUs. You can expect 1MB of L2 cache per core, as well as maximum boost speeds beyond 5GHz and better hardware acceleration for AI tasks.

AMD is also debuting Socket AM5 motherboards alongside its new flagship processor. The company is moving towards a 1718-pin LGA socket, but it will still support AM4 coolers. That’s a big deal if you’ve already invested a ton into your cooling setup. The new motherboards will offer up to 24 channels of PCIe 5.0 split across storage and graphics, up to 14 USB SuperSpeed ports running at 20 Gbps, and up to 4 HDMI 2.1 and DisplayPort 2 ports. You’ll find them in three different flavors: B650 for mainstream systems, X650 for enthusiasts who want PCIe 5.0 for storage and graphics and X650 Extreme for the most demanding folks.

Given that Intel still won’t have a 7nm desktop chip until next year (barring any additional delays), AMD seems poised to once again take the performance lead for another generation. But given just how well Intel’s hybrid process for its 12th-gen chips has worked out, it’ll be interesting to see how it plans to respond. If anything, it sure is nice to see genuine competition in the CPU space again.

While Ryzen 7000 will be AMD’s main focus for the rest of the year, the company is also throwing a bone to mainstream laptops in the fourth quarter with its upcoming 6nm “Mendocino” CPUs. They’ll sport four 6nm Zen 2 cores, as well as RDNA 2 graphics, making them ideal for systems priced between $399 and $699. Sure, that’s not much to get excited about, but even basic machines like Lenovo’s Ideapad 1 deserve decent performance. And for many office drones, it could mean having work-issued machines that finally don’t stink.

All products recommended by Engadget are selected by our editorial team, independent of our parent company. Some of our stories include affiliate links. If you buy something through one of these links, we may earn an affiliate commission.

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Disney’s Disney+ ad pitch reflects how streaming ad prices set to rise in this year’s upfront

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Disney’s Disney+ ad pitch reflects how streaming ad prices set to rise in this year’s upfront

With Disney+, Disney is looking to set a new high-water mark for ad prices among the major ad-supported streamers. The pricey pitch is representative of a broader rising tide in streaming ad pricing in this year’s TV advertising upfront market, as Disney-owned Hulu, Amazon and even Fox’s Tubi are looking to press upfront advertisers to pay up.

In its initial pitch to advertisers and their agencies, Disney is seeking CPMs for Disney+ around $50, according to agency executives. That price point applies to broad-based targeting dubbed “P2+,” which refers to an audience of any viewer who is two years old or older (though Disney has told agency executives that programming aimed at viewers seven years old and younger will be excluded from carrying ads). In other words, more narrowly targeted ads are expected to cost more based on the level of targeting. A Disney spokesperson declined to comment.

At a $50 CPM, Disney+ is surpassing the prices that NBCUniversal’s Peacock  and Warner Bros. Discovery’s HBO Max sought in last year’s upfront market and that gave ad buyers sticker shock. The former sought CPMs in the $30 to $40 range, while the latter sought $40+ CPMs. By comparison, other major ad-supported streamers like Hulu, Discovery+ and Paramount+ were charging low-to-mid $20 CPMs that major ad-supported streamers charge. As a result, Peacock’s and HBO Max’s asks ended up being price prohibitive, with some advertisers limiting the amount of money they spent with the streamers because of their higher rates.

Unsurprisingly, agency executives are balking at Disney+’s price point. “They’re citing pricing that no longer exists, meaning Peacock and HBO Max recognized they came out too high and they’re reducing it. Disney+ is using earmuffs to pretend that second part didn’t happen,” said one agency executive.

However, Disney+ isn’t the only streamer seeking to raise the rates that ad buyers are accustomed to paying. Hulu is also seeking to increase its prices in this year’s upfront, with P2+ pricing going from a $20-$25 CPM average to averaging in the $25-$30 CPM range, according to agency executives. And during a call with reporters on May 16, Fox advertising sales president Marianne Gambelli said that the company will seek higher prices for its free, ad-supported streaming TV service Tubi in this year’s upfront market. It’s unclear what Tubi’s current rates are, but FAST services’ CPMS are typically in the low to mid teens, said the agency executives.

“We have to get the value for Tubi. Tubi has grown to a point — it’s doubled, tripled in size over the past couple of years. So we are going to obviously make that a priority and look for not only more volume but price,” Gambelli said.

Meanwhile, in pitching its Thursday Night Football package that will be streamed on Amazon Prime Video and Twitch, Amazon has been pressing for a premium on what Fox charged advertisers last year, according to agency executives. The e-commerce giant will be handling the games’ ad placements like traditional TV, meaning that it will run the same ad in each ad slot for every viewer as opposed to dynamically inserting targeted ads. “It’s streaming broadcast,” said a second agency executive.

An Amazon spokesperson declined to comment on pricing but did provide a general statement. “Thursday Night Football on Prime Video and Twitch is a purely digital broadcast, and we’re excited to bring fans a new viewing experience. There are 80MM active Prime Video households in the U.S. and, in a survey of our 2021 TNF audience, 38% reported they don’t have a pay-TV service – meaning TNF on Prime Video and Twitch enables brands to connect with cord-cutters and cord-nevers. Brands can also reach these viewers beyond TNF. Our first-party insights enable them to reengage TNF audiences across Amazon, such as in Freevee content.”

One of the agency executives that Digiday spoke to said the latest ask is for a plus-10% increase on Fox’s rates, though what Fox’s rates were are unclear and other agency executives said the premium that Amazon is asking for varies. Ad Age reported in February that Amazon was seeking up to 20% higher prices than Fox’s rates. “I don’t know if it is consistently plus-10, but it is definitely more. Which is crazy because Fox couldn’t make money on it, which is why they gave it up for this fall,” said a second agency executive.

“Someone was eating way too many gummies before they put the pricing together,” said a second agency executive of Amazon’s Thursday Night Football pitch.

Ad-supported streaming service owners also see an opportunity to push for higher prices as advertisers to adopt more advanced targeting with their streaming campaigns, such as by using the media companies’ and/or advertisers’ first-party data to aim their ads on the streamers. 

Said one TV network executive, “You’ll see premiums, especially as it relates to advertisers that really want to hook into [their company’s streaming service] and buy those targeted audiences across the platform and either use [the TV network’s] first-party data or bring their own data to the table. That’s the biggest business we’re in, and that’s where we see great growth from a pricing standpoint.”

https://digiday.com/?p=448869

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