2.8 Billion. That is how much Epic Games made from Fortnite alone in 2018.. followed by 1.9b in 2019. CLEARLY not enough, it’s now Epic Games vs. Apple in a battle where a crying billions-in-profit company is complaining it has to pay fees to another company for hosting, securing and marketing their product.
Yea, free Fortnite is right.. free to prey on kids who beg Mom & Dad to buy BILLIONS in virtual crap – and do it rent-free, amiright?
Epic Games vs. Apple Is A Billionaire Trying To Get Rent For Free
Much like the fortune 500 companies that got the lions-share of COVID bailout money in the US, Epic is the absolute winey-little-bitch in this fight… I’m sorry for the expletives, but it’s the absolute truth.
Apple has faced many a developer complaining in the past while about their taking of 30% in revenue. This completely ignores that 30% is a standard industry-wide, Google and Amazon, other online ap shops all charge 30%. These fees are in place to keep the lights on. There are costs associated with hosting digital products like Fortnite. What about even keeping the computers in the data centers on? What about the work that is put in on ensuring those apps are secure? The distribution is safe and secure? And what about the free marketing those companies get for even being in the App Store? And does Apple not deserve to profit from Epic using their services in the first place?
Now, Apple is indeed approaching the 2 TRILLION DOLLAR in evaluation mark, they are a behemoth, and that is in part thanks to those 30% revenues. There is an argument certainly that perhaps they can certainly afford to make less of a profit margin, and I support that myself! Perhaps it is time that Apple restructure their App Store fees, but some rich ass-hat throwing a toddler level tantrum is not the way to do it.
Epics Well Orchestrated Attack
Don’t think for one second this is Epic standing up for you as the consumer, or standing up for small developers like some modern Robin Hood. This is nothing but a cash grab… even if they do succeed they will continue to make the same amount of revenue, and they sure the hell ain’t going to pass on any savings to you.. because there aren’t any! Epic, Electronic Arts and Activision have found a despicable new revenue structure that has made the modern game world a fetid money-first, entertainment 99th system. Storyline and quality have fallen far, far to the wayside in favour of a microtransaction system that goads players into spending billions on items that aren’t only lust-worthy but in plenty of cases, necessary to continue gameplay. To Apples’ credit, they have tried to break this system by first requiring microtransaction games to disclose the fact, and display odds of “loot boxes”, then finally launching Apple Arcade.. where quality is required and in-app purchases are banned.
This attack and of course the 30% Apple gets cuts into those companies’ profit margins. Epic decided to poke the bear by launching an update to its juggernaut Fortnite that allowed the purchase of V-bucks directly from Epic… circumventing Apple revenue cut and violating the App Store policy. Apple of course then removed Fortnite from the app store, hours later Epic showed the silly ass video above and announced that it was suing Apple… the timeline points to a well-planned event, and one has to wonder if Epic thinks it has an ace up its sleeve. Since that time, Epic has pulled the same move on Google, and Google responded in kind.
A Mess For Everyone
Funny enough, plenty of glasshouses have been throwing stones as well. Facebook came out and tried to show they are small business saviours (take it from me and the wife who advertise through Facebook and Instagram, that is some grade-A BULLSHIT), all the while being incredibly anti-competitive in their own right. Microsoft, who also takes a 30% cut, came out against Apples’ App Store policies.. forgetting about their own anti-competitive behaviour.
For Epic to launch this attack against Apple and Google while ignoring game console makers is self-serving. Game console makers such as Sony, Nintendo and Microsoft take closer to 50% revenue cut from games with an even more restrictive market have not received lawsuits from Epic.. perhaps it’s the fact Epic produces the Unreal Engine behind many of those platforms new game releases has something to do about it?
In aperient contradiction to Apple’s 30% for all policy, it came out that Apple extended a “deal” to Amazon to lure them to release Amazon Prime on iOS. In fact, though, it was a deal extended to plenty of others as well. Though the 30% cut is there for regular Apps, those who rent or sell videos can use their own payment system.
Though Epic is desperately trying to make it seem like they are playing Robin Hood, they are most certainly the Sheriff Of Nottingham, trying to make noise while conveniently ignoring others who take an even larger share. They saw blood in the water and trying to profit from it.
Perhaps Apple can extend some sort of deal to game developers for in-app purchases, similar to how video services work? But what is to stop game developers from taking advantage of that and making their systems even worse for consumers while they try to circumvent fairly paying Apple? This situation can go any one of many, many ways, I personally believe Epic will be on the losing end and damn rightfully so.
Fortnite is available on pretty much every platform, consumers have a massive choice as to where they play it. If they are so concerned about Apple’s take of revenue on their in-game currency, why not sell it in a gift card like-product like every other developer out there, a-la Roblox Ro-bucks that my kid constantly wants? Oh, wait…
YOU CAN
Apple, it is time to change App Store revenue structure, but Epic is incredibly self-serving here and the wrong company to spearhead this. Contact Us if you have an opinion!
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