Epic Games charges a 12% commission for selling apps on an alternative iPhone store

Julie Clover

In February, Epic Games said it would launch the Epic Games Store for iPhone in the European Union, and today the company held an event at the Game Developers Conference (GDC) to provide more information about the upcoming store. debut and the fees it will charge for apps distributed through its marketplace (via 9to5Mac).

For games distributed through ‌Epic Games‌ Store, Epic will receive a 12 percent revenue share, which is the same amount it charges for Windows and Mac computers. Apps will receive 100 percent of the revenue they earn in the first six months, with no cuts from Epic, and no fees for apps that offer in-app purchases and use their own payment processing method.

Game sold by ‌Epic Games‌ The store will have to pay both Epic's 12 percent fee and Apple's €0.50 core technology fee (CTF) for each “first year” install after one million installs. Apps distributed through the App Store under Apple's updated terms of business in the EU will pay CTF and fees of 10 to 17 percent, compared to the standard 15 to 30 percent cut Apple takes.

‌App Store‌ apps making less than $1 million a year will pay 10 percent under the ‌App Store‌ The program is for small businesses, and this is also the fee Apple charges for subscriptions that customers keep for more than a year. More successful apps that have earned more than $1 million and new subscriptions are subject to a 17 percent commission. Note that Apple also charges an additional three percent fee for using the in-app purchase system, so developers distributing apps through the ‌App Store‌ and for using in-app purchases you will have to pay from 13 to 20 percent.

For example, an application that has been downloaded less than a million times and is distributed through the ‌App Store‌ under the new terms of business will pay a CTF and a 10 percent fee, which is ultimately lower than the CTF + 12 percent fee that ‌Epic Games‌ The store will collect. From ‌Epic Games‌:

“Epic Games Store revenue is split 88/12 to developers who distribute paid apps to PC and Mac, and will continue to do so. mobile platforms. Developers pay Epic nothing to distribute free apps. If developers offer in-app purchases, they can choose to either use our payment processing system for an 88/12 revenue share, or use a third-party payment processor and keep 100% of that revenue, just like today.”

‌Epic Games‌ CEO Tim Sweeney called Apple's EU changes and fees “an insidious new example of malicious compliance” and promised that ‌Epic Games‌ will continue to “prove to the courts and regulators that Apple is breaking the law” even as it prepares to launch ‌Epic Games‌ Shop.

‌Epic Games‌ Store coming soon to ‌iPhone‌ in the European Union until the end of 2024. It will not be available in the US or other countries.

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