Yeah! An App Store war has begun. It’s between apple and Epic Games.
Epic games deliberately violated the app stores’ terms of services by adding a direct payment system to the world’s #1 game Fortnite. In the retaliated move, Apple has deleted Fortnite from their app store.
It looks like shots are fired from both sides. Let’s get to know about this clash in detail –
Epic Games Launched “Mega Drop” in Fortnite
The conflict between apple and epic games first started when epic games announced Fortnite “Mega Drop” to its smartphone users. In case you don’t know, it’s like an in-game package that gives a permanent discount on V-bucks (Fortnite’s in-game currency).
That’s not it. You get up to 20% additional in-game cash purchases. With this “Mega Drop”, Epic Games also introduced a new direct-payment option. Here, the pricing of V-Bucks is the same as through the Google Play Store or Apple App Store.
Yup! No changes. The only difference between in-game app store purchase and epic games direct payment option is additionally included discounts.
When it comes to the battle between the gaming giant and tech giant, there’s a lot at stake. As per the Measurement firm Sensor Tower, in the last month, Fortnite had approximately 2.4 million installs and all-in-all generated $43.4 million via in-app purchases globally. On the app store alone, to date, Fortnite has reached 133.2 million installs and seen $1.2 billion as an in-app purchase.
The Fortnite Mega Drop lands today! Get up to 20% in savings on V-Bucks using select payment methods. This isn’t a short term sale…these are our new prices!
Reason Behind Introducing a New Direct Payment Option?
In a detailed explanation, Epic Games stated Google and Apple collect “excessive 30% fee on all payments.” In any way, they aren’t ready to lower their fees. All Epic wanted was to pass on the saving to the Fortnite players. Epic Games CEO Tim Sweeney went on to say that Google and Apple need to end their “monopolistic practices” that’s going on for months. Further, he feels that this 30% tax is unfair for all the developers.
Epic Games Files a Lawsuit against Apple
After this incident, Apple was quick in removing Fortnite from the app store. This attitude of Apple didn’t go well with Epic games executives and decided to file a lawsuit against Apple. In their complaint, epic games have mentioned injunctive relief, monopolization in the distribution market, and in-app payment market. Further, the lawsuit reads that the behavior of Apple anticompetitive.
Apple Official Statement:
“Today, Epic Games took the unfortunate step of violating the App Store guidelines that are applied equally to every developer and designed to keep the store safe for our users.”
“As a result, their Fortnite app has been removed from the store. Epic enabled a feature in its app which was not reviewed or approved by Apple, and they did so with the express intent of violating App Store guidelines regarding in-app payments that apply to every developer who sells digital goods or services.”
“Epic has had apps on the App Store for a decade, and have benefited from the App Store ecosystem — including its tools, testing, and distribution that Apple provides to all developers. Tgey agreed to the App Store terms and guidelines freely and we’re glad they’ve built such a successful business on the App Store.”
“The fact that their business interests now lead them to push for a special arrangement does not change the fact that these guidelines create a level playing field for all developers and make the store safe for all users. We will make every effort to work with Epic to resolve these violations so they can return Fortnite to the App Store.”
Back in Feb 2020, Sweeney, the CEO of Epic even called “fake open system” to Google’s Android. That was in response to what Google did at the initial stages of Fortnite Mobile. If you ask me, I believe Sweeny’s intention behind giving relief to their developers from the high fees. And btw, when it comes down to the sales on Epic Games Store, Epic charges a total of 12% on a sale.
That’s 18% less than the actual values of Google and Apple. That’s me. What about you? What do you think of all this mess between the two giants? Who is right, Who is wrong? Should Google and Apple reduce its fees? Let me know your thoughts via the comments section given below.