Xunlian Tech Loses 118 Million Revenue After Store Compliance Failure, 2025 Sales Down 14%

SinoLink Technology announced today that it has ceased offering downloads on the Apple platform effective immediately, as certain multimedia and video software products failed to meet Apple Inc.’s latest compliance standards on the App Store. According to the company’s announcement, the incident is expected to impact its 2025 revenue by approximately 14.69%, representing a significant loss for product lines that have relied heavily on the iOS market. SinoLink has formally filed an appeal with Apple and stated that it will further assess the actual impact on its financial operations while seeking alternative sales channels to mitigate the losses.

Founded in 2006, SinoLink has long focused on video editing, post-production, and cloud storage services as its core products, achieving a notable market share in Taiwan and Southeast Asia. However, following the major revision of the “App Store Review Guidelines” by Apple in 2024, regulations regarding user privacy, data encryption, subscription mechanisms, and third-party content distribution have become stricter. Two of SinoLink’s flagship video creation software products, “VisionPro” and “SoundWave,” were forced to be removed from the store because their data transmission and storage methods did not pass Apple’s review. This removal has not only affected existing customers’ ability to download and upgrade the software but also reduced the company’s brand visibility on the iOS platform.

From an industry perspective, the ban on Apple’s platform has dealt a double blow to SinoLink’s revenue structure. Over the past three years, iOS sales accounted for approximately 18% of SinoLink’s total revenue, with “VisionPro” contributing roughly 20% of revenue between 2019 and 2023. Based on projected 2025 revenue of approximately NT$800 million, the 14.69% loss equates to roughly NT$118 million, which is sufficient to affect the company’s short-term profit margins and return on investment. Furthermore, SinoLink has partnered with Apple in multiple countries to promote its products; the ban may weaken trust in these international collaborations and potentially prompt partners to seek other suppliers.

SinoLink stated that it has initiated several measures to mitigate the impact of this incident. First, the company is accelerating the development of new versions that comply with Apple’s specifications and aims to complete the re-review process in the short term to restore iOS downloads as soon as possible. Second, it will expand its market share on Android and Windows platforms and strengthen the promotion of its cloud services to diversify the risk of relying on a single platform. Finally, the company will engage in deeper dialogue with Apple to seek mutually acceptable solutions in terms of technical and commercial conditions. Although a timeline for re-listing has not yet been determined, SinoLink has assured investors that it will continue to monitor market trends and adjust its strategies accordingly.

For investors and users, this incident highlights the importance of sensitivity to platform policies and compliance for technology companies operating in a rapidly changing digital environment. As one of the world’s largest application stores, Apple’s adjustments to its review standards can have a profound impact on vendors’ operations. SinoLink’s case also underscores the risks associated with relying on a single platform in a multi-platform business strategy. If the company can strike a balance between compliance and innovation, it may be able to re-establish its competitive advantage in the video software market in the future.

(Source: CNA)