Office 365 subscription fees that Apple is fighting for. With Microsoft Office for iOS expected to launch early next year, the app is only going to allow users to read documents. Those who want to be able to edit documents using the Office for iOS app will have to subscribe to Office 365 and Microsoft apparently expects a discount on the 30% cut that Apple normally asks for. Microsoft isn't in favor of the 70/30 revenue split and Apple won't budge.
Microsoft expects Apple to give it a discount for the privilege of letting Apple iPhone users use Office on its smartphone. Anyone who knows Apple can already figure out the Cupertino based firm's position on this. Apple has made an official statement on its feelings about revenue sharing on apps and if Microsoft responds, we will let you know.