Tech

Epic Vs Apple: Epic Must Pay Apple Over $ 3 Million For App Store Bypass Fees

Why is it important: This week’s decision in a lawsuit between Epic Games and Apple resulted in victories and defeats on both sides. Apple cannot block links to external payment systems on its platform, but a judge still ruled that it legally banned Fortnite on iOS and is eligible for damages arising from Epic’s breach of contract.

The most important decision in the new ruling was the ruling, which says Apple cannot prevent developers on its iOS platform from connecting to payment options outside of iOS. It could cost Apple billions of dollars in the long run, but a judge ruled that Epic still broke Apple’s rules when it switched to its own payment option when the case began last year.

Epic sued Apple last year for banning Fortnite on iOS. Apple did this because Epic began encouraging Fortnite iOS customers to pay for in-game items through Epic Direct Pay, which allowed Apple to cut the 30 percent fee it charges on transactions in most apps.

According to the 185-page decreeEpic generated $ 12,167,719 in Fortnite revenue from direct payments from Epic between August and October last year. It now has to provide Apple with 30% of that money, as well as “30% of any such revenue that Epic Games has collected from November 1, 2020 until the date of the sentencing.” This amounts to at least $ 3.6 million.

The ruling also states that Apple was entirely free to ditch Epic from iOS, although it can no longer stop developers from doing what Epic did. Since South Korea passed legislation late last month prohibiting app store operators from imposing their own payment systems on developers, Epic has tried to return to iOS, at least in South Korea. So far, Apple has refusedand this decision may indicate that Apple will never be obligated to return Epic.

Both companies are expected to appeal parts of the decision.


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