Epic Games Lawsuit: Epic Games and Apple continue legal battle!
The Epic Games versus Apple saga continue as Epic Games has launched legal proceedings against Apple Australia. The battle between tech giants is heading towards a new Ozzie Battleground in addition to the California hearing which is due May next year.
Epic Games, the creator of the famous Fortnite, is of the view that Apple Australia is in clear violation of Australian Consumer Law. The motivation behind the lawsuit in Australia is the same as in the US; Apple’s business practices and iOS App Store is anti-competitive and discourages healthy market competition.
Moreover, Epic is also of the view that Apple’s practices restrain app developers from using “competing payment processing systems,” a system that can bypass Apple’s 30% commission on in-app transactions. Just to remind you here that Epic Games has famously tried this system before to circumvent Apple’s payment system in Fortnite, in response Apple removed Fortnite from it’s App Store altogether.
Epic Games Lawsuit
Epic Games resorted to the Federal Court of Australia and filed against Apple Australia claiming that Apple Australia is clearly violating the Australian Consumer Law as well as “various sections of the Competition and Consumer Act 2010.” Epic Games CEO, Tim Sweeney, in an interview with Sydney Morning Herald explained that why Epic Games has chosen Australia as its battleground against Apple, “It’s another set of laws under which Apple’s practices are clearly in violation.
And another chance to get this issue really thoroughly examined,” he said. “And also there’s a really big and growing mobile software industry in Australia, a lot of great game developers, and they all suffer dearly by Apple and Google’s 30 percent tax. I doubt there’s a single developer in Australia who makes more profit from their own games than Apple and Google make from their games.”
He continued, “It couldn’t hurt that Australia’s Competition and Consumer Commission launched its own examination of both the iOS App Store and Google Play in September. The study is wide-ranging, but includes “the extent of competition between Google and Apple’s app stores, and whether more pricing transparency is needed in Australia’s mobile apps market.”
The battle of tech giants is surely getting messier, Apple Australia has yet to release any official statement on the issue, let’s see how they respond.
Reinout is a games investor and strategic business consultant specializing in the games industry. Reinout established his credentials through his own successful investments, start-ups, consulting and (advisory) board positions that led through time to strong bonds with key stakeholders in this fast paced industry. He is known for his outstanding results in the gaming industry. He has worked with many game studios around the globe and is therefore well known in the international gaming industry. This game podcasts is for the gaming industry.
With over 20+ years of experience, well known publishers, AAA+ game developers, serial gaming entrepreneurs and management teams of gaming corporations consult him on matters that behold financial, technical, operational, strategic and commercial.
I am observing and overseeing several boards of gaming companies. My trademark is to listen, strategize and give feedback to the stakeholders involved. I also represent management/founders towards shareholders and vice versa.