Apple Might Have To Loosen Its Grip Over App Store Commission And External Payments Links As Several Tech Giants Join Epic

Some of the world’s most popular tech giants—Meta Platforms, Microsoft, X (formerly known as Twitter), and Match Group—have joined Epic Games against the Cupertino-based tech giant Apple. These companies have unified in their statement, saying that the iPhone maker was in clear violation of the September 2021 injunction by making it difficult for developers to redirect customers outside the App Store or any other cheaper means to pay.

Apple Says That The Company Has Fully Complies With The 2021 Injunction

While Apple didn’t comment specifically on the allegation, it referred to a statement from January 16, 2024, stating that the company had fully complied with the injunction while also mentioning that it would protect consumers. The injunction that all the companies are referring to requires Apple to allow links and buttons to alternative payment methods instead of restricting the consumers to pay for digital services on the App Store, where the company charges a hefty commission.

Epic Games, Along With Several Other Companies, Thinks Otherwise

According to a report by Reuters, Epic demanded that Apple be held in contempt of the injunction, stating that the new App Store rules and 27 percent fee on developers make the external payment links useless. In another filing made yesterday, all the companies mentioned above came together to state that Apple’s conduct overlooks anti-steering rules that were declared illegal. Since all the tech giants have to distribute their apps to iOS devices via the App Store, they highlight Apple’s excessive commissions.

The filing states that the current structure is harming both consumers and developers. Further, the filing adds that the barriers to how developers can interact with consumers and provide them with payment options “create significant barriers to competition and artificially inflate prices.” For Apple, this could be a potential roadblock to exercising its control on the App Store, through which the platform ensures the quality and safety of consumers.

However, on the flip side, with several tech giants arguing that the practices harm developers and consumers alike, the court might hold Apple in contempt of the injunction and ask the company to loosen the policies a bit.

Epic Games Store To Arrive On iOS And Android Devices Later This Year

In a related development, the Fortnite maker recently announced that their Epic Games Store is making its way to iOS and Android devices later this year. On Android devices, the Games Store will charge a 12 percent cut, while developers can keep 88 percent of their game’s revenue, significantly lower than the Google Play Store. However, Epic has yet to announce a commission rate. It is important to mention that the Epic Games Store will only arrive on iOS devices in the European Union (for now).

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