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Essentially, rights to such content are sold separately for different geographical areas. So companies like Apple can't necessarily rely on the rights they have secured from a US publisher to sell that piece of content to an Australian customer (or vice versa). Even if the rights are obtained for each territory are held, they aren't interchangeable and sales must be accounted for separately.
The easiest way to do this is to limit Australian users to the Australian iTunes Store, US users to the US store, and so on.
But it is unusual for software developers to award exclusive rights to retailers or distributors in particular territories. Even when a vendor entered into an exclusive distribution agreement, there's normally nothing to stop end-users (or even retailers) obtaining the products through alternative channels other than directly to
In the case of iPhone (etc) apps, there is only one reseller, and that's Apple. The iPhone developer agreement states "You hereby appoint Apple and Apple Subsidiaries (collectively "Apple") as Your worldwide agent for the delivery of the Licensed Applications to end-users, during the Delivery Period." Although the agreement also states that Apple gains a non-exclusive agency, that's really just a polite fiction as there is no provision for distribution through any other channel apart from directly to "devices owned or controlled by You, or owned by individuals who are affiliated with You, that You have specifically registered with Apple".
So why does Apple limit the use of the Australian App Store to users inside the country? Please read on.
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The answer seems to be that the developer agreement allows developers to specify where their apps may be sold: "the countries You designate, in which You wish Apple to allow end-users to download those Licensed Applications".
That's fair enough. If developers don't want to do business with a particular country, Apple (or any other intermediary) shouldn't be able to force them to do so.
But it doesn't make sense to force customers to use only their 'home' App Store and only allow them to use it when they are in that country. A more relaxed approach allowing the purchase (or upgrading) of apps providing the particular items are available in the customer's home App Store and the Store operating in the country where the transaction actually occurs would be consistent with Apple's responsibilities to developers.
The workaround for users appears to be to rely on iTunes Gift Cards purchased in the country where they happen to be. The separate agreement with each Apple subsidiary would then apply.
Managing multiple accounts would be a chore (although a fair number of people already cope!), and updating previous purchases would be problematic.
Whose interests are best served by this arrangement? See page 3.
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Could it have anything to do with potential mismatches between prevailing exchange rates and prices in different App Stores?
A $US0.99 app sells for $A1.19. At the time of writing, the exchange rate is $US1 equals $A1.08. Add 10% GST, and you get $1.19. So at the moment, the App Store exchange rate is just about spot on.
But this time last year, the exchange rate was approximately $US1 to $A1.40.
If the Aussie returns to that sort of level against the greenback, US customers might be tempted to access the Australian App Store in order to save money. (Why didn't they do that before? Possibly because of the logistics - it's arguably easier for an Australian to find a source of US gift cards than vice versa - but otherwise that's a good question.) And the increased number of national App Stores means there are more opportunities for this sort of thing to happen.
Maybe I'm just being cynical. It wouldn't be the first time.
Anyway, if you're travelling overseas, it might be safest to think about what apps you might want while you're away, and to make sure your existing collection is up to date (or at least as up to date as you wish) before you leave.
