Nora: Five percent. That's Apple's generous new commission… for apps that don't even use their store.
Dex: This is Dex.
Nora: And I'm Nora.
Dex: And this is Build or Bust. It's Wednesday, August 19th, and we've got a packed show for you.
Dex: Apple's changing its EU rules again. Is the walled garden finally getting some windows?
Nora: Meanwhile, the DOJ is poking around Andreessen Horowitz, and the entire VC world is baffled.
Dex: And a popular AI coding tool is making a run at GitHub. A very bold move.
Dex: Alright, let's start with Apple. They're overhauling their EU App Store fees again, supposedly to comply with the Digital Markets Act.
Nora: Comply is a... generous way to put it. More like 'maliciously complying'. They're finally dropping that hated 'Core Technology Fee'—the one that could bankrupt any free app that went viral.
Dex: And that's a huge win! But there's a catch. They're replacing it with a five percent commission for apps on alternative stores.
Nora: Five percent for... what, exactly? For the privilege of existing on an iPhone? It's better than before, I guess, but it's still just a tax for nothing.
Dex: But Nora, this is what makes alternative app stores actually viable. Before, a marketplace like Setapp could literally be bankrupted if a free app went viral. That insane risk is finally off the table.
Nora: The risk is just different. You still have to get notarized by Apple, you're still in their ecosystem. They've just found a less obviously evil way to take their cut. It’s not freedom, it’s a slightly longer leash.
Dex: But for founders, this means you can actually launch in Europe outside the App Store! It's a real crack in the wall. You can build a business without that 30% tax from day one.
Nora: What this really means is you have to hire a lawyer to read the new 80-page terms of service. It's just a different kind of cage.
Dex: I'll take it. A crack is a crack. It’s a start.
Nora: Alright, next up: the venture world is officially freaking out. The DOJ has opened an investigation into Andreessen Horowitz—a16z—for putting its partners on the boards of multiple companies.
Dex: And VCs are just… baffled. This is the business model. You invest, you take a board seat to help the company grow. That's the whole game.
Nora: Well, the DOJ's problem is when a16z has board members at two companies that could compete. They're worried it's a conflict of interest that stifles real competition.
Dex: But that's impossible to avoid! Startups pivot constantly. A payments company becomes a SaaS tool. A social app adds shopping. VCs say it's just part of having a broad portfolio.
Nora: Or... is it an arrangement that lets a powerful firm subtly guide its portfolio companies away from direct conflict, keeping markets nice and tidy, and ultimately hurting consumers by limiting true competition?
Dex: That assumes VCs don't want the best outcome for each company! They want home runs, not a bunch of bunts. You don't get a 100x return by telling your star founder to 'play nice' with another one of your investments.
Nora: What this means for founders is that your choice of VC might suddenly get more complicated. If you're building something that even rhymes with an existing a16z company, they might pass on you now to avoid the headache.
Dex: This feels like a huge government overreach. Like they just don't get how venture capital works. The chilling effect on investment could be massive.
Nora: Maybe. Or maybe the industry needs a little chilling.
Dex: Alright, our last story: someone is taking a real shot at the king. Cursor, the AI-first code editor, is launching its own hosting platform to go head-to-head with GitHub.
Nora: Ah, yes. The classic 'let's go up against a beloved, free, Microsoft-owned monopoly' strategy. A startup classic.
Dex: Hey, there's an opening! Devs have been complaining for years that GitHub has gotten bloated and slow since Microsoft bought it. The frustration is real.
Nora: Is it real frustration, or just the usual grumbling developers do about every tool? Migrating your company's entire codebase is a massive undertaking.
Dex: But Cursor's pitch is solid. People already love their AI editor. Now they're saying, 'Let us host your code, too, and make it all seamless.' One integrated, AI-powered platform from writing to shipping.
Nora: Which also sounds like massive vendor lock-in. What happens when Cursor gets acquired by Amazon and you're stuck on their platform?
Dex: You are relentless! But look, for developers, this is pure upside. It's real competition. Even if you don't switch, it might force GitHub to finally fix the stuff everyone complains about.
Nora: I'll believe it when I see it. It's a graveyard of 'GitHub killers' out there.
Dex: This time feels different. The AI angle is a powerful wedge.
Nora: Alright, let's recap.
Dex: Apple is loosening its iron grip on the EU App Store... by a few millimeters.
Nora: The DOJ is investigating a16z for… basically being a VC, sending Silicon Valley into a panic.
Dex: And AI code editor Cursor thinks it can replace GitHub as the home for your code.
Nora: Alright, before we go... Dex, are we really in an era where VCs need to hire personal meme creators?
Dex: Yes! I saw a startup raising a seed round to be 'Canva for VC Twitter'. The pitch is that your deal flow is only as good as your meme game.
Nora: This is why the DOJ is investigating you people.
Dex: And that's our show. We'll be back tomorrow to see what else is building... or busting.
Nora: Until then, work on your meme game. Apparently your job depends on it.
This show is made with AI: the hosts’ voices are synthetic and the scripts are AI-assisted. Every story links to its original source.