Conde Nast is slowing development of iPad magazine apps due to slow sales of its existing offerings like Wired and Vanity Fair, AppleInsider reports. The $5 price per issue can't be helping -- sales of Wired have dropped from 100,000 a month to just 23,000. Oh yeah, and Apple's iOS subscription rules don't work for established publishers.
Apple introduced recurring subscriptions for publications on its iOS App Store in February. But many publishers have not agreed to Apple's terms, in which the iPad maker keeps a 30 percent cut of all transactions. As a result, publications like Wired can only be purchased issue-by-issue at a much higher price than subscriptions typically offer.
-AppleInsider, April 22, 2011
Which is not to say that upstart publishers and newly-conceived magazines can't flourish.
UPDATE: The original Ad Age article is here complete with on-the-record non-denial denials.