Apple Faces Fortnite Developer in Court Over Major App Store Lawsuit

A trial set to determine whether Apple’s App Store charges for developers are “extortionate” or completely legal is kicking off this Monday.

Apple and Epic Games are going head-to-head in court in front of a California federal judge in a case that has been months in the making. 

Epic Games, the developer of Fortnite, alleges the charges imposed on it by Apple in the App Store are extortionate, the BBC reported. Apple charges large companies a 30 percent commission on purchases customers make through their apps, including through Fortnite.

The developer also claims Apple’s control over the App is anti-competitive, because app developers have very little choice about where to put their apps. The company also says developers shouldn’t have to pay large amounts of money to Apple or Google just to make apps for smartphones, however, when Epic Games tried to sell Fortnite solely through the Google Play store, the company alleges not enough people had access to it.

Epic Games is not alone in its claims against the tech giant, with Spotify, Match and Tile also claiming Apple’s 30 percent charges are unfair, the BBC reported.

However, the game developer has taken aggressive action against Apple to force Monday’s trial. 

In August last year, Epic set a trap-of-sorts for Apple by adding a function into its Fortnite app that allowed users to pay for in-app purchases outside of Apple — bypassing the commission — for a lower price.

Apple reacted by booting Fortnite off the App Store. Epic Games promptly filed a 65-page lawsuit against the company and released a video PR campaign against the tech giant.

The move has culminated in Monday’s trial, which Apple boss Tim Cook is set to testify at. 

According to the BBC, Apple argues that because it is a private company and it invented the App Store, it can charge whatever it wants, arguing that its fees are fair and meet industry-standard. It says it only charges large companies 30 percent commission, most developers pay much less.

Meanwhile, both Democratic and Republican legislators seem united in their suspicion of Apple’s competitive practices. In a recent Senate hearing, Apple Chief Compliance Officer Kyle Andeer was fiercely questioned by lawmakers from across the political spectrum, the BBC reported. 

The case challenges how modern technology companies work, CNET reported, and could invite further scrutiny from lawmakers who are already looking at the competitive practices of major tech companies.

The trial is expected to run through the month of May, BBC reported. If Epic Games wins, it will mean major changes for the App Store and developers who make apps for it. 

However, how consumers would be affected is yet to be seen. There is no assurance large developers would pass on the savings to app users, if Epic Games was to win the case. And if losing revenue on in-app purchases, Apple may look to other sources that could hit the consumer’s pocket. 

Meanwhile, Apple is also facing a recent lawsuit accusing it of creating a virtual monopoly on COVID-19 virus app programs. Coronavirus Reporter lodged the $800 million lawsuit earlier this year alleging that Apple blocked its virus app so it could corner the market.

What do you think about this case between Epic Games and Apple? Let us know in the comments!

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