Epic Games Store Challenges App Store Commission
The updated revenue share model and introduction of webshops on the Epic Games Store platform, combined with Stripe's guide for iOS developers, are expected to increase competition and provide more options for developers and players, potentially leading to a more diverse and cost-effective digital economy, with the app store at the forefront of these changes.
Epic Games Store has updated its revenue share model, offering a competitive 0% commission on the first $1 million in revenue per app per year, starting in June 2025, as a move to attract more developers to its platform, while also introducing webshops to provide a cost-effective alternative to in-app purchases across platforms, including iOS.
This development comes as Stripe releases a guide to help iOS developers bypass Apple's App Store commission fees by enabling external payment processing, following a judge's criticism of Apple for ignoring a previous order to allow external payment links. The guide walks developers through the process of accepting payments using the Stripe platform, which requires setting up and maintaining a payment page and checkout experience with a 2.9% + $0.30 transaction fee.
Apple had previously permitted external payment links but reduced its commission by only 3% and added warning screens to deter users. However, a judge has ordered Apple to change its policy, citing a violation of a previous injunction. This move is seen as a significant shift in the ongoing debate over app store commission fees and the role of external payment processing in the digital economy.
As the Epic Games Store and other platforms continue to evolve and offer more competitive revenue share models, developers and players alike will be watching closely to see how these changes impact the gaming industry and the broader digital landscape, particularly in relation to the app store and its commission fees.