Epic Games and Apple Clash on Pricing

Epic Games and Apple Clash on Pricing
Epic Games

Apple removed popular game Fornite from its App Store this week, after Epic Games introduced a discounted direct payment option for iOS and Android. The move is in violation of Apple and Google’s marketplace policies.

Epic Games noted in a blog post that Apple and Google collect a 30% fee on purchases made through their app marketplaces, but by offering a direct payment option said they're able to pass along the savings to players. Fortnite creator offered a 20% discount on the price of games sold through Google and Apple’s marketplaces.

Explaining the removal in a statement to The Verge, Apple called Epic Games’ move unfortunate and stated it will work with the company to find the solution. Epic Games responded with a lawsuit, accusing Apple of maintaining a stranglehold on the iOS ecosystem and asking a judge to stop the company from imposing unreasonable restraints to preserve a monopoly over iOS in-app payments.

Google and Apple mandate the use of in-app rather than third-party payment systems. But Epic Games argues that thousands of apps on the App Store approved by Apple accept direct payments, including Amazon and Grubhub. The company added they think all developers should be free to support direct payments in all apps. The gaming company is just one of several calling for a review of app store practices.