Epic Games Store approved by Apple for EU – heralding a new era for iOS game distribution

In a landmark move, Apple has approved the Epic Games Store for the European Union, allowing the Fortnite developer to launch its alternative app marketplace on iOS devices across EU countries. This decision marks a significant milestone in the contentious history between Apple and Epic Games, characterized by years of legal battles and public relations campaigns.

Epic CEO’s Vision

Tim Sweeney, CEO of Epic Games, has long aspired to establish an alternative game store on Apple’s closed platform. This approval represents a major step toward that goal, opening new avenues for game distribution and competition within the iOS ecosystem.

Compliance with the Digital Markets Act

Apple’s decision aligns with its plans to comply with the EU’s Digital Markets Act (DMA), which aims to make digital platforms more open and competitive. The DMA mandates that dominant tech companies allow third-party app stores on their platforms, a significant shift for Apple’s traditionally closed iOS environment.

Policy Caveats and Initial Rejections

While Apple’s new policies comply with the DMA, they come with significant caveats for app developers. The approval of the Epic Games Store did not come easy. Initially, Apple rejected the Epic Games Store app twice, citing issues with button designs and text within the app that closely resembled Apple’s own.

Epic Games accused Apple of arbitrary and obstructive behavior, arguing that it had adhered to Apple’s design conventions and had used the disputed text in its store on other platforms without issue. Despite these disagreements, Apple eventually approved the app but stipulated that future updates must include changes to the button designs and text, a requirement Epic plans to contest.

Launch Imminent

The Epic Games Store is set to reach iPhone and iPad users in the EU by the end of 2024. However, Epic still needs to develop key components like its mobile payment system before the store can be fully operational. Once launched, the store will offer a new option for iOS game distribution in Europe, providing developers with an alternative to Apple’s App Store.

Impact on the Industry

The introduction of the Epic Games Store on iOS is poised to disrupt the status quo in several ways:

• New Distribution Option: European iOS users will have a new app store option with the launch of the Epic Games Store. This store, known for its favorable terms to developers, takes only a 12% revenue cut compared to Apple’s 30%.
• Competitive Advantage: With 3,000 titles, the Epic Games Store may appear less extensive than Apple’s 1 million+ titles. However, the lower fees and reduced competition could make it an attractive option for game developers. It could also be more lucrative to players if developers use some of the money they’re saving to create incredible deals.
• Market Dynamics: Epic has access to between 200-600 million users globally, compared to Apple’s 1B+ global users. If a significant number of users and developers shift to the Epic Games Store, Apple might be pressured to reconsider its app store fees.
• Future Developments: This move could also influence the broader mobile app market. Epic Games plans to launch a mobile games store on Android by the end of 2024, potentially further shaking up the industry.

Further Analysis

The approval of the Epic Games Store follows a prolonged struggle marked by accusations of anti-competitive behavior and unfair revenue practices. Apple’s compliance, albeit grudging, highlights the growing influence of regulatory frameworks like the DMA in promoting a more competitive digital marketplace.

The approval of the Epic Games Store for the EU marks a significant development in the ongoing battle for app store dominance. As the Epic Games Store prepares to launch on iOS in Europe, it presents a new opportunity for developers and users, potentially reshaping the landscape of mobile game distribution. The next few months will be critical in determining how this new option will impact Apple’s market stronghold and the broader app ecosystem.

For developers and marketers, incorporating the Epic Games Store into European distribution strategies is now a viable and potentially lucrative option. As the landscape evolves, staying informed and adaptable will be key to leveraging these new opportunities.