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Friday
Aug142020

'Fortnite' developer Epic Games files antitrust lawsuits against Apple, Google

The catalyst for Epic Games' lawsuit against Apple and Google started when the company released an update to 'Fortnite' offering their own payment option outside of Apple's and Google's app stores, which is against their policies.

After Apple and Google removed video game Fortnite from their respective app stores citing violations of their in-app payment guidelines, the game's developer Epic Games filed a federal antitrust lawsuit in the US against both companies. Epic Games isn't asking for money from the two tech giants. Instead, it wants injunctions to end their practices related to their app stores, notably the cut Apple and Google get from in-app purchases that reach as high as 30%.

The whole ordeal started when Epic Games pushed a server-side update for Fortnite that lets users bypass Apple's and Google's payment systems and choose Epic's option for in-app purchases. In return, players get a 20% discount for using Epic's payment option, which is against Apple's and Google's store policies. In response to that, both took out the game, and then Epic filed their lawsuit, which seems to be the company's intention right from the start.

"Apple has become what it once railed against: the behemoth seeking to control markets, block competition, and stifle innovation. Apple is bigger, more powerful, more entrenched, and more pernicious than the monopolists of yesteryear," Epic said in its lawsuit, filed in the Northern District of California.

At the same time, Epic challenges Apple on social media with a campaign sporting the hashtag #FreeFortnite, urging players to ask for refunds from Apple if they lose access to the game. The game developer adds a parody of Apple's famous "1984" television ad, with a female Fortnite fighter hurling a unicorn-shaped club to smash a screen where an Apple-headed character talks about "the anniversary of the platform unification directives."

 

In a statement, Apple said Epic launched the feature with the "express intent of violating the App Store guidelines," even after having had apps on the App Store for 10 years.

"The fact that their [Epic] business interests now lead them to push for a special arrangement does not change the fact that these guidelines create a level playing field for all developers and make the store safe for all users," Apple said in a statement. 

Google hasn't responded to the lawsuit yet. Still, Google spokesperson Dan Jackson said in a statement, "However, we welcome the opportunity to continue our discussions with Epic and bring Fortnite back to Google Play." 

The lawsuit comes at a time when both companies are under investigation for anti-competition by US lawmakers.

Epic argues that app distribution and in-app payments on Apple devices make up their own anti-competition market because Apple users rarely leave its "sticky" ecosystem. And if the game is out of the App Store, users can't get access to it. 

As for Google's ecosystem, users can still download outside of the official Play Store. But Epic still wants the company to stop "from continuing to impose its anti-competitive conduct on the Android ecosystem."

Existing users can still access the app, but for new users who want to install Fortnite, the app is no longer accessible to them.

Source: GSMArena + CBC.ca

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