Epic CEO: “No Relief for Customers” from Inflation on “Apple Tax” Due to App Store Changes

Epic Games CEO Tim Sweeney says Apple’s 2021 pricing changes are great for indie developers, but rarely fix the core of his dissatisfaction with the App Store’s Apple Tax. ..

With this change announced this morning, Apple has reduced its regular 30% share of total App Store revenue to just 15% since 2021, which means App Store publishers earned 1 million in the previous fiscal year. Only if it was less than a dollar.

Apple says the App Store Small Business Program benefits the “majority” of developers, but Sweeney claims on Twitter that it doesn’t.

Apple’s 30% share of App Store revenue is one of the few complaints at the heart of Epic Games’ proceedings against Apple. Low rates for small developers appear to address some of the issues raised in Epic’s proceedings, but Sweeney says most in-app purchases come from high-margin publishers. Claims to be.

As a result, publishers continue to raise the price of in-app purchases, offsetting what he calls Apple Tax, and ultimately passing on the additional cost of Apple’s share to players.

“It’s great that Apple is offering better deals to indie developers.” Tweet Sweeney In response to criticism on Twitter. “But this doesn’t provide relief to consumers who are paying high prices for their items, as 95% of in-app purchases are made in larger apps that Apple is still taxing at 30%. . “

Use epic Fortnite In-app purchases have a unique payment processing service that bypasses Apple Fortnite On mobile, we offer low-cost in-app purchases only through that option.

Its addition by Epic and removal as a result of Apple Fortnite From the App Store, the current legal battle between the two companies has begun. Epic Games, among other things, argues that iOS should be a more open platform, enabling other storefronts and payment processing services that don’t go through Apple.

Throughout the resulting proceedings, Epic has maintained that the proceedings are not against Apple’s view of mistreating the larger development community, nor are they filling their pockets. .. He calls Apple’s recent decision “a positive step towards a better approach,” Tweet, His comments show that Epic isn’t happy with just that one change.

“We’re not fighting for lower fees. Epic is fighting for fair competition between mobile platform companies, stores and payment processors. iOS opens the door to competing payments and stores. That way, even Apple’s own payment service will be happy to come back. We’re still charged 30%. ” Another series of replies on Twitter.. “Apple’s 30% commission isn’t illegal, it’s just a bad deal. What’s illegal is that Apple blocks competing stores and payment processors so they can’t offer developers any good deals. “

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