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Epic Games CEO criticizes Apple's App Store policies in interview

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Epic Games CEO Tim Sweeney in an interview Friday censured both Apple and Google for their respective app store policies, claiming the companies' tactics stunt innovation.

Sweeney, who appeared on CNBC's Squawk Alley, called Apple's App Store an "absolute monopoly," pointing to the tech giant's 30% cut of in-app purchases and transactions. The publisher's current hit, Fortnite, generates massive amounts of cash and is consistently a top performer on both the App Store and Google Play store.

"Apple has locked down and crippled the ecosystem by inventing an absolute monopoly on the distribution of software, on the monetization of software," Sweeney said. He later added, "If every developer could accept their own payments and avoid the 30% tax by Apple and Google we could pass the savings along to all our consumers and players would get a better deal on items. And you'd have economic competition."

The CEO further took issue with Apple's decision to bar third-party app stores, including the Epic Games Store, from iOS.

Epic's platform launched in 2018 on macOS and Windows as a cost-effective alternative to dominant app stores. Unlike the App Store, the Epic Games Store commands a 12% slice of sales, making it a more attractive option for developers.

"They are preventing an entire category of businesses and applications from being engulfed in their ecosystem by virtue of excluding competitors from each aspect of their business that they're protecting," Sweeney said of Apple.

Epic is forging ahead with plans to bring its store to Android, but Sweeney also dinged Google for erecting barriers similar to those employed by Apple.

"Google essentially intentionally stifles competing stores by having user interface barriers and obstruction," he said.

Sweeney has long bemoaned App Store fees. In 2017, the executive called app store business models "pretty unfair" and claimed companies like Apple are "pocketing a huge amount of profit from your order - and they aren't really doing much to help [developers] anymore."

Sweeney is one of many developers to present criticisms of App Store policies in recent weeks. Apple's app business is the target of multiple international probes, including a U.S. House antitrust investigation into big tech that also involves Amazon, Facebook and Google. CEOs from each company were slated to offer testimony at a hearing on Monday, though the inquiry has been rescheduled.



104 Comments

DAalseth 6 Years · 3067 comments

"If every developer could accept their own payments and avoid the 30% tax by Apple and Google we could pass the savings along to all our consumers and players would get a better deal on items."

A: This ignores the cost to the developers of setting up and running their own stores.
B: No they wouldn't "pass the savings along". they'd pocket it. 

This is  totally self serving and disingenuous statement by Sweeney.

TheNubi 5 Years · 18 comments

DAalseth said:
"If every developer could accept their own payments and avoid the 30% tax by Apple and Google we could pass the savings along to all our consumers and players would get a better deal on items."

A: This ignores the cost to the developers of setting up and running their own stores.
B: No they wouldn't "pass the savings along". they'd pocket it. 

This is  totally self serving and disingenuous statement by Sweeney.

A. Those that don’t want to incur the cost can still use Apple’s infrastructure and pay the fees. As it is now there is no choice. 

B. You don’t know that. No one has had an opportunity to see if it would happen or not. Even if they pocket the difference it won’t make much difference to the user. 

sflocal 16 Years · 6138 comments

Developers that whine about this policies really chaff my backside.  Absolute the most selfish, greedy, entitled people around.  Apple does all the work creating a groundbreaking new product, getting a loyal - and profitable - user base, and created an ecosystem that allows anyone to develop software and have access to hundreds of millions of users at MINIMAL cost.

Those users are Apple's users, not yours.  It's Apple's product, and their ecosystem.  Not yours.  You obviously were too young (or ignorant) about how us developers had to develop/market/sell/charge for software back in the pre-iPhone days.  Otherwise, you'd be thanking Apple for taking "only" 30%.  

The reality is, Android is a mess, piracy and IP theft is rampant, and security is non-existent, and these blowholes want to force Apple to adopt such a system?  Good luck.

swineone 5 Years · 66 comments

sflocal said:
Developers that whine about this policies really chaff my backside.  Absolute the most selfish, greedy, entitled people around.  Apple does all the work creating a groundbreaking new product, getting a loyal - and profitable - user base, and created an ecosystem that allows anyone to develop software and have access to hundreds of millions of users at MINIMAL cost.
Those users are Apple's users, not yours.  It's Apple's product, and their ecosystem.  Not yours.  You obviously were too young (or ignorant) about how us developers had to develop/market/sell/charge for software back in the pre-iPhone days.  Otherwise, you'd be thanking Apple for taking "only" 30%.  

The reality is, Android is a mess, piracy and IP theft is rampant, and security is non-existent, and these blowholes want to force Apple to adopt such a system?  Good luck.

Eh, this discussion again.

I guess Apple didn't do all the work creating a groundbreaking new product (macOS), getting a loyal - and profitable - user base with macOS, and didn't create an ecosystem that allows anyone to develop software and have access to hundreds of millions of macOS users at MINIMAL cost? If they did, how come you can buy macOS software without giving Apple a 30% cut?

"Those users are Apple's users, not yours". I prefer to think of it this way: my iPhone is mine, not Apple's, and I should have a say if Apple gets a 30% cut on all software I purchase.

Now, I'm the first person on the world to be against absolutely any kind of government intervention, but I'll be secretly smiling on the inside the day the US government tells Apple to open up the iOS ecosystem. And, trust me, they will.

MacQc 7 Years · 14 comments

swineone said:
sflocal said:
Developers that whine about this policies really chaff my backside.  Absolute the most selfish, greedy, entitled people around.  Apple does all the work creating a groundbreaking new product, getting a loyal - and profitable - user base, and created an ecosystem that allows anyone to develop software and have access to hundreds of millions of users at MINIMAL cost.
Those users are Apple's users, not yours.  It's Apple's product, and their ecosystem.  Not yours.  You obviously were too young (or ignorant) about how us developers had to develop/market/sell/charge for software back in the pre-iPhone days.  Otherwise, you'd be thanking Apple for taking "only" 30%.  

The reality is, Android is a mess, piracy and IP theft is rampant, and security is non-existent, and these blowholes want to force Apple to adopt such a system?  Good luck.
Eh, this discussion again.

I guess Apple didn't do all the work creating a groundbreaking new product (macOS), getting a loyal - and profitable - user base with macOS, and didn't create an ecosystem that allows anyone to develop software and have access to hundreds of millions of macOS users at MINIMAL cost? If they did, how come you can buy macOS software without giving Apple a 30% cut?

"Those users are Apple's users, not yours". I prefer to think of it this way: my iPhone is mine, not Apple's, and I should have a say if Apple gets a 30% cut on all software I purchase.

Now, I'm the first person on the world to be against absolutely any kind of government intervention, but I'll be secretly smiling on the inside the day the US government tells Apple to open up the iOS ecosystem. And, trust me, they will.

Ultimately courts will decide I suppose. It will take years and Apple may have changed their business model for apps since then. With Apple Silicon, they’ll probably merge the App Store and Mac Store. Then, they will need only one policy and they surely can’t apply the same policy for Mac apps than for iOS/iPad. So, should the time come a law decide for Apple to open their business model, the law will probably be obsolete.