If accurate, the move is likely being made to encourage the development community for the iPhone as well as alternative business models that differ from services such as Handango, which often limit their downloads to paid content alone.
This system will change substantially for paid apps, however. In addition to a previously rumored review process and the necessity of sales through iTunes, Apple will reportedly take a portion of the cost of each app. The approach is similar both to its practices with the iTunes Store as well as to conventional mobile application services, many of which collect a share of the sales price as part of their core business models.
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