After winning the lawsuit against Apple, Epic Games offered developers a new monetization model: zero commission for payments through the Epic Games Store and the ability to create their own stores. Game developers will be able to receive 100% of the revenue from sales if their income does not exceed $1 million per year per application.
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«”For the first $1 million in annual revenue, developers will receive all revenue without deductions,” the company’s official blog says. After that, as The Verge notes, the standard distribution model will apply – 88% to the developer and 12% to Epic. For comparison, Apple and Google have reduced the commission to 15% for indie developers, but not to zero.
Epic is also launching a platform that allows studios to offer players out-of-app purchases directly in their stores, powered by the Epic Games Store. “This is a more cost-effective alternative to in-app purchases, where Apple, Google, and others charge inflated fees,” the company explains. The new functionality will go live in June.
To encourage purchases in these stores, Epic will credit players with 5% cashback in the form of Epic Rewards for each transaction. These bonuses can be used towards future purchases in the store. In this way, the company hopes to attract both developers and users.
Following the court ruling, Epic Games CEO Tim Sweeney announced that Fortnite would return to the US App Store next week. Recall that the game was removed from the Apple store in 2020 due to a dispute over payment systems. Now, with changes in Epic’s policy, its return may become part of the company’s new strategy.
Analysts say the moves are clearly aimed at increasing competition with Apple and Google. By offering developers better terms, the company hopes to lure game studios to its platform, especially after a court victory that weakened Apple’s grip on outside payments.