Head to head with Apple and Google
The story began with the introduction of a new and alternative payment system developed by Epic for Fortnite, which allowed iOS and Android users to pay for the V-Bucks game money via a standard payment engine via credit card or PayPal, while also offering large 20% discounts for those who choose the payment method The new mobile. With the announcement of the new mobile payment option, the company stated that it is offering the discount as a “transfer of savings” to users, stinging Apple and Google on the way to charge a 30% commission on every in-app purchase currently in the two companies’ app stores.
“Today we present a new way to pay on iOS and Android: Epic Direct Payments. When you choose the direct payment method, you can save up to 20%, since Epic transfers the savings in its processing fees to you.“, Epic wrote in an announcement announcing the new payment service on its website. The company also provided a reference to the fees charged by it from Apple and Google for each in-game purchase of V-Bucks: “Currently, using the payment systems of Apple and Google, the two companies collect a commission of 30% of each purchase. […] If Apple or Google reduce fees for in-app payments in the future, Epic will pass that savings on to you. “.
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The new payment method actually bypassed payment through Apple and Google’s payment services, with users being able to see prices of $ 7.99 for the purchase of 1,000 game coins (V-Bucks), versus a cost of $ 9.99 in Apple and Google app stores.
The battle for a 30% commission
Apple was the first to identify the new payment method, which bypassed the one it is offering to developers for the Appstore app store. Epic’s payment method unequivocally violates Apple’s developer rules for its platform, these do not allow the use of a non-Apple payment service for in-app purchases or in-game games. In response – Apple was quick to remove the Fortnight game from the appstore.
Epic was ready to remove Fortnite from Appstore, and filed a lawsuit against Apple in record time, when alongside the filing of the statement of claim, the company presented a video that was produced ahead of time and stings Apple. In the video, which you can see below, Epic uses Apple’s old and iconic commercial from “1984” (which you can see here), the days of Steve Jobs.
In the lawsuit, Epic claims that Apple operates in a monopolistic manner that is unequal for all developers for Appstore, while the company emphasizes the uncompromising use of Apple’s payment service, for which it charges its developers a cost of 30% of each in-app purchase. According to Epic, these laws do not apply to all apps equally, with stores like Amazon, BestBay and others allowing their customers to purchase products through separate payment services, even though they offer to make the purchase through their apps available on Appstore, just like Epic’s Fortnight.
In a similar lawsuit against Google, filed after the removal of Fortnite for a similar violation of the Google Play Store rules for using an alternative payment service to that of Google, Epic presents a similar picture. As mentioned, the company previously tried to present an alternative to downloading the game Fortnite, not through the Play Store, and thus tried to save itself the fees of 30% (which is possible on Android, but not on Apple’s platform), but Epic failed and returned to display the game in the Google store , Under the existing laws of the company.
The battle that Epic is waging against Apple and Google comes in the days when the two companies are under the magnifying glass of the US Senate, which examines them along with other technology giants (Amazon, Facebook) in an attempt to figure out whether their size has led them to be defined as monopolistic companies. .
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