Quick Takeaways
TL;DR: Key Highlights from Epic Games Announcement
- Epic Games will not charge developers for the first $1,000,000 in revenue per app per year, revisiting the typical 88%/12% revenue split after that threshold.
- The company is launching webshops for developers to facilitate cost-effective out-of-app purchases, enabling them to avoid high fees from app stores.
- Players will earn 5% in Epic Rewards on all purchases made through these new webshops, potentially leading to lower prices.
- Following a court ruling against Apple’s anticompetitive practices, Epic’s changes aim to attract more developers to its store, especially on mobile platforms.
Epic Games Takes a Jab at Apple with Developer-Friendly Announcements
Epic Games celebrated a significant victory over Apple, following a court ruling that found Apple in willful violation of anticompetitive practices. In a bold move, Epic announced it will not charge developers for the first $1 million in revenue per app each year. This new policy, effective June, promises to change the revenue landscape drastically.
Moreover, Epic plans to introduce webshops for in-app purchases. This feature allows developers to offer a cost-effective alternative to standard app store transactions, which often come with hefty fees. Notably, Tim Sweeney, CEO of Epic Games, pointed out that while Apple takes 15% from the first million, that rate jumps to 30%. Google’s fees mirror this structure.
With webshops launching on multiple platforms—including iOS in the EU and the U.S.—Epic emphasizes the accessibility of these features. Developers can now sidestep the conventional service fees associated with in-app purchases. This strategy not only benefits developers but also gamers. Players will receive 5% Epic Rewards on purchases made through these webshops, potentially lowering game costs in the long run.
Finally, with the court’s decision and these innovative changes, Epic Games could attract more developers to its store. Overall, these announcements signal a push for a more competitive gaming environment, prioritizing both developer success and player satisfaction. The tech world watches closely as Epic Games reshapes the narrative around app store economics.
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