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I don't see why Apple should get a commission for in-app purchases when they're not handling the payment transaction. Epic is right again. You may not like them, but some company or other needed to make these arguments in court and I'm glad they're doing it.
Apple IS handling the entire infrastructure that allows the apps to install and run on their platform.
I don't see why Apple should get a commission for in-app purchases when they're not handling the payment transaction. Epic is right again. You may not like them, but some company or other needed to make these arguments in court and I'm glad they're doing it.
Developers must pay Sony and Microsoft for a license to use their platforms - this is NO different!
 
Yes, but there is zero basis for tying this to app revenue. Apps also can’t make their prices proportional to the revenue of companies that use the apps. Or imagine Apple charging a fixed percentage of a company’s revenue because they are using Macs and couldn’t function without computers.
How do you think Nintendo and Sony make all their money on their game platforms?
They charge a licensing fee - this is NO different!
 
It's Apple's Store. Until the US does something to force Apple to add third party app stores like the EU did, they can effectively do what they want. All they did was removed the 3% charge they had with credit card companies.

Epic could collateralize payments with AMP and only pay a 0.5% fee.
 
I would LOVE to see another country jump onboard and ride the coattails of this EU situation

If that were to happen, Apple might finally just realize it is going to be an expensive, growing and never ending hassle to try and protect their overzealous revenue stealing much longer.

It's time for a new plan for the future Apple

It honestly might be time for a new CEO for this new era we are heading into

At the minimum, Phil Schiller needs to be replaced in this role.
No court in any civilized country is going to tell Apple they can’t charge for their IP. Won’t happen. No law or court has even tried. It’s a pretty big elephant in the room that everybody has been trying to ignore but isn’t going away.

Every law, including the DMA, only limits Apple’s ability to have an automatic mechanism to collect these fees. They do not indemnify developers from license fees, nor should they. Apple is subject to paying license fees for some of the very tech they put in their SDK for developers and companies all over the world have rightly sued Apple and won the right to be paid fees for Apple's use of their IP. I don’t see Epic or anyone else winning this.
 
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...if game developers don't like Epic's game store terms, they can leave Epic and start their own store and sell directly to gamers, or partner up with someone else. There are other ways for them to reach gamers besides the Epic Game Store.
Could the same be said for Epic? They can leave Apple and start their own mobile phone platform and sell directly to gamers, or partner up with someone else. There are other ways for them to reach gamers besides the App Store.
 
But Apple NEVER jsutified the 15-30% fee as being to cover payment processing.
We all know banks and card companies charge fees.
Depends upon the size of the business what rate they charge. 1-5%.
Sometimes customers get charged the fee (many businesses pass it along for American Express here).

So Epic go what they wanted: the fee for payment removed.

The remaining commission is for all the infrastructure, tools, marketing that Apple provide to bring app users along. ;)
 
They could charge $10,000 per developer for the kind of service they are providing. Microsoft is charging $1,000 per developer for their Windows development package. But Apple charges $100 for an entire company.

Because of Apple's business model, startups got off the ground much faster at a much lower cost. They could also easily focus on a high quality customers base, simply by releasing a quality app on the Apple App Store. The entire modern startup ecosystem is based on this.

This is the way Apple wants to charge for their tech. Don't want it, don't use it. Use the open standards.
Maybe it’s time for Apple to up their pricing for Xcode SDK. $100 for an enterprise company seems silly, especially if their other revenue streams are being regulated out of business. I realize they made it this price so that even the indie developer could afford it, so just make it a per-user/seat-per-year fee, which is what Microsoft does with Visual Studio subscriptions and everything else they sell these days.
 
I don't know if they do or not. However, if game developers don't like Epic's game store terms, they can leave Epic and start their own store and sell directly to gamers, or partner up with someone else. There are other ways for them to reach gamers besides the Epic Game Store.

Now compare that to how Apple's App Store operates where Apple controls everything. Even when they're not hosting the content (e.g. games, movies, music) or paying for the infrastructure or payment processing (infrastructure costs for EU alternative app stores are handled by the developer), Apple still thinks it's entitled to a Core Tech Fee.

Apple is not the lonely gaming opportunity. This isn’t a good argument.
 
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Of course. And that fee is collected when developers join Apple's Developer Program.

Join the Apple Developer Program to reach customers around the world on the App Store for iPhone, iPad, Mac, Apple Watch, and Apple TV. Membership includes all the tools, resources, and support you need to develop and distribute apps, including access to beta software, app services, testing tools, app analytics, and more.



What products and services from Apple is Epic using that the Apple Developer Program fee doesn't cover?

The payment processing? Nope. Game server and other hosting costs? Nope.

What is there?


Yes, but just because an agreement has been signed doesn't mean it's legal.

Take non-compete agreements as an example.
Chicken and egg. The fees are this low (99€) because they monetize their platform via IAP commission.

If they stop doing that, they‘ll probably jack up prices a few hundred percent (they essentially lightweight do this via their Core Tech Fee).

I get both sides but Apple is ultimately the one who can set the price to use their tools, they‘re just incredibly dumb about marketing it and try to skate things like the DMA with extra clauses to further stiffle competitors (peak Apple: „can only sideload from the web if you got 2 mil installs, are good bro of us and during leap years when there is a full moon!“ what a joke, they‘ll get wrecked for this in a few weeks).
 
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a) Because Apple has a right to charge a fee for its SDKs. Same as Epic does with Unreal Engine.

b) Many companies over the years have brought up these arguments in court. They all fail because it's completely legal to charge a fee for people to use your products and services.

c) At no point is anyone forcing Epic to develop for iOS and at no point did anyone force them to sign the agreement between themselves and Apple.
a) It is not about SDK. If it was about SDK, anyone would have to pay independent of going through App Stor or not! Don't mix things up.

b) The "people" are forced to use Apple's services. Why is that so complicated to understand?

c) Smartphones or tablets are like computers in the meantime. Do you remember the Apple's commercial ad? Many people don't buy any computers anymore, and stick to their tablets and smartphone (=computers) for years. It is ok to sell your system as a "computer", but it is not ok to get a cut from the software suppliers who had enough additional costs to port their software also to your platform (edit: it is not all about Epic, also I have a software company and had to port our software to iOS because customers use iPads instead of Windows notbooks). You can't just steal from other people's efforts.
 
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All this distraction means we're going to get another lousy update for the iPhone lineup.
maybe check your tagline: iPhone SE 2022 ... i'm doubting any new whizz bang iPhone is coming your way in 2024.

more seriously, with all the employees at Apple I think we can say the hardware and software people aren't doing the lawyering on this process...
 
Colossal mistake caving to public/EU/MacRumors-forums pressure and letting Epic back onto the App Store. Days after Epic begged Apple to “trust us” they are pulling more nonsense. When will Apple learn?
Apple can take the high ground they let them back in twice now.
And no one is forcing them to stay or release apps.

It's like the Apple Genie gave Epic three wishes but they didnt word them correctly and arent happy with what they received... let's face it, the EU specs on deliverables were vague at best. Apple has chosen to interpret them one way. :)
 
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Apple sets that fee
If they think it's too low, they should raise it!

Because their annual dev fee is so low justification for Apple to incorrectly insert themselves in all revenue streams
It is their justification and any developer is free to not develop on apples platform if they consider those terms unacceptable. If these terms are so, so horrible, then why are there so many developers still flocking to the platform?
 
Your second sentence (in bold) is all conjecture and hypothesizing

You're also completely ignoring how much 3rd party Apps DRIVE iPhone sales
No 3rd party Apps? .... I got news for ya ... iPhone becomes a nothing burger
I totally enjoy my "nothing burger" ;)
in 15 years with iPhone I have paid $10 for apps, and I would never buy a smartphone because of an app ...

but I assume "3rd party Apps DRIVE iPhone sales" means the Facebook, instagram,tiktok, X etc apps of the world that people are using day in day out ...
 
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Funny how this comment has 20 26
thumbs up so far, with people probably thinking it's a rhetorical question pointing out Epic's hypocrisy.

But the answer is yes. Does that at all change your attitude about Epic?

No it doesn’t. My attitude toward epic is my attitude toward the fool running it. He is an epic a$$.
 
a) It is not about SDK. If it was about SDK, anyone would have to pay independent of going through App Stor or not! Don't mix things up.

b) The "people" are forced to use Apple's services. Why is that so complicated to understand?

c) Smartphones or tablets are like computers in the meantime. Do you remember the Apple's commercial ad? Many people don't buy any computers anymore, and stick to their tablets and smartphone (=computers) for years. It is ok to sell your system as a "computer", but it is not ok to get a cut from the software suppliers who had enough additional costs to port their software also to your platform (edit: it is not all about Epic, also I have a software company and had to port our software to iOS because customers use iPads instead of Windows notbooks). You can't just steal from other people's efforts.
just because your users use iPads and not Windows notebooks isnt Apple's problem.

no one forced you to code for iOS unless there was identified demand there.

no one is forced to use Apple's services. They willing bought their phone or were given one. it works as advertised.
given the volume sold, many were happy to use it within limits.

Apple took the payment processing part of their 15-30% off the IAP fee. 3%. And passed the rest along to those insisting on alt payments.

Epic were never going to be happy. Nor Spotify.
 
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