In other words, Epic thinks that iPhones should be more like Windows 10 PCs, where you don't have to use the Microsoft Store to buy or sell software if you don't want to. And according to Epic, Apple's rules for third-party iOS apps aren't just unfair: they're anti-competitive and illegal.Įpic wants Apple to let users install apps that aren't distributed on the App Store, and for it to let developers use their own in-app payment processing, bypassing Apple's fee. iOS apps also have to use Apple's payment processing for in-app purchases of digital items (Fortnite V-bucks, for example), and Apple takes a cut of that, too.Įpic says that iOS is an unavoidable operating system for mobile devs-most people either have an iPhone or an Android phone-and so it's not fair that Apple forces everyone to play by its "oppressive" rules. Software developers who want to release iPhone apps must do so through the iOS App Store, where Apple takes a cut of each sale. In the trial, Epic will reference "antitrust laws," which are laws against anti-competitive behavior. The term "antitrust" is similar, but refers to efforts to counter monopolies. There are nearly two million apps available to iOS users, and because they have to go through an approval process, Apple can ensure that people are getting a vetted experience.Epic says that what Apple is doing is "anti-competitive" and that it has "monopoly power," which both mean that Epic thinks Apple has too much control over a market. This has led some companies to directly skip putting their apps on the App Store, like Xbox Game Pass.Īpple, on the other hand, is going to position the App Store, and the security oversight that comes with the App store, as crucial. Or, to quote the Eagles, you can never leave once you’re in it. On the first day of the trial, Epic’s lawyers referred to Apple’s ecosystem as a walled garden. “Apple imposes unreasonable and unlawful restraints to completely monopolize both markets and prevent software developers from reaching the over one billion users of its mobile devices unless they go through a single store controlled by Apple, the App Store, where Apple exacts an oppressive 30% tax on the sale of every app,” Epic said at the time in its lawsuit.ĭespite it being the same cut imposed by other companies, including Microsoft, Sony, and Nintendo, Epic is arguing that customers on iPhones and iPad devices should have alternative payment options on the hardware they use. This includes signing up for a streaming service like HBO Max as well as microtransactions or cosmetic items in games.īefore Epic Games circumvented Apple’s policies by giving players in-game the choice of how to pay for things like V-Bucks (a move that Epic Games knew would get the app removed from the store for violating policies), the company was also forced to give Apple a cut of the profit. ![]() The trial, which kicked off today with testimony from Epic Games CEO Tim Sweeney, will try to answer one question: do Apple’s in-app purchase policies violate antitrust law? Back when Epic Games filed a lawsuit against Apple for “anti-competitive restraints and monopolistic practices” - as stated in the original lawsuit - the Fortnite developer alleged that Apple’s policies were unfair to both Epic and millions of other developers.Īpple takes 30% of every in-app purchase made through apps available in its App Store. The trial proceedings should be wrapped up by 3:15pm PT.Įpic Games and Apple are locked in a trial over alleged antitrust practices by the iPhone maker that could see the entire App Store ecosystem change depending on the outcome. (a yoga app developer) CEO Benjamin Simon, Nvidia director of product management Aashish Patel, and Xbox business development VP Lori Wright over the course of the day. Once Sweeney finishes today, we will also hear testimony from Yoga Buddhi Co.
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