When attorneys clash, legal events transpire.
A series of developments occurred on Wednesday between Apple and several of its largest App Store opponents. First, in a new amicus brief filed in the United States today, Meta, Microsoft, X, and Match Group have teamed up to oppose Apple’s proposed anti-steering changes in the United States.
Following up on its own series of lawsuits against Apple, Epig Games announced additional details about the company’s plan to launch its own app marketplace for iPhone in the European Union. The company says it will take a 12 percent commission from sales…
Over in the United States, as a result of the years-long legal conflict with Epic Games, Apple was forced to relax its anti-steering rules that previously prohibited developers from linking to alternative payment systems in their apps.
Apple has stated that it would still charge a commission on purchases made through alternative payment platforms. This commission is 12 percent for developers who are members of the App Store Small Business Program and 27 percent for other apps. Epic Games has already voiced its opposition to Apple’s implementation of the anti-steering changes, calling for the court to hold Apple in contempt.
Meta, Microsoft, X, and Match Group on Wednesday filed an amicus brief stating the coalition doesn’t believe Apple is complying with the order.
Per The Verge:
“The amici say that Apple’s 12 to 27 percent fee on external purchases defeats the purpose of the new requirement since it’s only a few percentage points below what developers would otherwise be required to pay for in-app purchases. The external purchase fee could make it unrealistic for developers to even set up an external payments system, given that other transaction costs they might incur through that route could eliminate any of the 3 percent gains they’d get from moving away from Apple’s system. Plus, customers are unlikely to choose the external option if it’s the same price or higher.”
Over in the European Union at the Game Developers Conference, Epic Games revealed that it hopes to launch its Epic Games Store for iPhone and Android in the EU by the end of the year.
The company stated that the terms for developers will be the same as the Epic Games Store on mobile as they are on the Epic Games Store on PC. As such, the company will take a 12 percent commission on all sales through the Epic Games Store. The revenue share is 100 percent for the developer during the first six months on the Epic Games Store.
The forthcoming Epic Games Store will feature Epic’s content, including Fortnite, alongside a selection of third-party partners. The company says it will share additional details in the lead-up to the launch later this year.
Apple also announced a reduced commission structure in January. For developers that opt in to the new terms, they will pay 17 percent plus 3 percent if the apps are using Apple’s In-App Purchase system. Small business program developers will pay a commission of 10 percent, plus 3 percent, down from 15percent.
There is also the Core Technology Fee, which charges €0.50 per annual install, for apps that are popular enough to shift more than one million units per year. Apple estimates less than 1% of developers will pay the CTF.
EU-based developers can also choose to go with either the existing App Store terms, which charge a 30 percent commission for larger developers, or 15 percent for developers making under $1 million per year.
Stay tuned for additional details as they become available.