Apple’s U-turn – Epic's app store is now allowed on iPhones in Europe
Over the years, Epic Games, the company behind Fortnite and the Epic Games Store, has been in a legal saga with Apple.
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The backstory: Over the years, Epic Games, the company behind Fortnite and the Epic Games Store, has been in a legal saga with Apple. It all kicked off in 2020 when Epic tried to avoid Apple's App Store fees by setting up its own payment system in Fortnite. In response, Apple kicked Fortnite off the App Store. Epic fired back with a lawsuit accusing Apple of violating US antitrust rules and demanding changes in App Store policies. But the court eventually ruled in favor of Apple, and Epic got the boot from Apple's devices.
Meanwhile, the EU introduced the Digital Markets Act (DMA) to regulate big online platforms like Apple and Google, which hold sway over app distribution. The EU required companies like Apple to follow the new rules by March 7 or face penalties of up to 10% of their yearly revenue. One rule is that app stores have to allow users to download from other sources besides their own. To comply, Apple is taking action by adjusting its App Store fees and allowing third-party apps to be installed on its devices. But, just last week, Apple blocked Epic's plans to launch its own game store on iPhones and iPads in Europe.
More recently: This month, the EU slapped Apple with a €1.8 billion ($2 billion) fine after Spotify complained about unfair business practices. This is one of the largest antitrust fines ever imposed by the EU. Now, the European Commission is keeping a close watch on Apple's updates to iOS, Safari and the App Store to make sure it's following the rules laid out in the DMA.
The development: Apple has now made a U-turn and reversed its decision to ban Epic Games from launching its own store on iOS in Europe after EU officials initiated an investigation. This move allows Epic to bring Fortnite back to iPhones in Europe, a game missing from iOS devices since 2020 due to conflicts over Apple's developer terms. In a blog post, Epic announced that Apple had agreed to reinstate its developer account, signaling a commitment to enforcing the DMA. Apple confirmed this, stating that it made the decision after talks with Epic, during which Epic agreed to follow Apple's new policies for the EU market. Both companies emphasized the importance of complying with the DMA.
Key comments:
"Apple has told us and committed to the European Commission that they will reinstate our developer account. This sends a strong signal to developers that the European Commission will act swiftly to enforce the Digital Markets Act and hold gatekeepers accountable," said Epic Games.
"Following conversations with Epic, they have committed to follow the rules, including our DMA policies. As a result, Epic Sweden AB has been permitted to re-sign the developer agreement and accepted into the Apple Developer Program," said Apple in a statement.
"For a decade, Apple abused its dominant position in the market for the distribution of music streaming apps through the App Store," said EU antitrust chief Margrethe Vestager in the bloc's press release regarding the fine applied to Apple on the Spotify case. "They did so by restricting developers from informing consumers about alternative, cheaper music services available outside of the Apple ecosystem."
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