Earlier today, Apple announced it will reduce the App Store commissions for smaller businesses so that developers earning less than $1 million per year pay a 15% commission on in-app purchases, rather than the standard 30% commission.
Tim Sweeney, founder of Epic Games, says the move — an apparent reaction to current investigations into Apple by Congress, the European Union, the Justice Department and the Federal Trade Commission on antitrust grounds — doesn’t go nearly far enough. He told the Wall Street Journal that Apple is merely “hoping to remove enough critics that they can get away with their blockade on competition and 30% tax on most in-app purchases. But consumers will still pay inflated prices marked up by the Apple tax.”
Sweeney, whose company has been embroiled in a battle with Apple since launching in August a direct-payment system in its popular “Fortnite” game to bypass Apple’s 30% fee, went even further today in conversation with Dealbook during a two-day event.
Asked about Epic’s fight with the tech giant — which began with its payment system, which led to Apple kicking Fornite off the App Store, which led …read more