What Happened Between Apple And Epic In 2020?
The conflict between Apple and Epic Games originated in 2020 when Epic Games filed a lawsuit questioning whether its game, Fortnite, could bypass the guidelines of Apple’s App Store and evade the customary 30% fee on game transactions.
Despite Epic’s defeat in court, the legal battle led to changes in Apple’s policies as per the laws of California.
This continuing contention highlights the possible regulatory hurdles facing Apple’s App Store earnings. An Apple representative justified the termination of Epic’s account, attributing it to Epic’s persistent legal confrontations with Apple.
The representative stated, “Epic’s egregious breach of its contractual obligations to Apple led courts to determine that Apple has the right to terminate ‘any or all of Epic Games’ wholly owned subsidiaries, affiliates, and/or other entities under Epic Games’ control at any time and at Apple’s sole discretion.’ In light of Epic’s past and ongoing behavior, Apple chose to exercise that right,”
In reaction to the Digital Markets Act, a new regulation in Europe requiring major technology firms to open their platforms to rival services, Apple has started to make adjustments.
This legislation compels Apple to allow alternative app marketplaces in Europe, thus challenging the exclusive dominance of its iPhone App Store. Despite complying, Apple has voiced its opposition to the regulation, arguing that it could compromise user safety.
What we think?
The ongoing conflict between Apple and Epic Games, stemming from the 2020 lawsuit, is a landmark case in the tech industry, highlighting the tension between large app platforms and developers.
The fact that this dispute has influenced changes in Apple’s policies underlines the significant impact of legal challenges on tech regulations. With Apple now forced to adapt to the Digital Markets Act in Europe, I foresee a potential shift in the digital marketplace landscape.
This could democratize app distribution, although Apple’s concerns about user safety are valid. We anticipate a period of adjustment with possible new legal battles as companies navigate these changes. This situation could set a precedent for how tech giants operate globally, impacting developers and consumers alike.
