Apple Labels Epic as Unreliable and Blocks Fortnite and App Store on iOS Devices

In a recent development on Wednesday, March 6, 2024, Apple took the decision to block Epic's attempt to introduce the Epic Games Store and Fortnite on iOS, citing trust concerns with the gaming giant. This move came after Epic's 'Epic Games Sweden AB' developer account was approved by Apple the previous month, paving the way for the Epic Games Store and Fortnite to potentially launch on the platform. The approval was a result of the newly introduced Digital Markets Act in Europe, which requires Apple to permit third-party app stores on iOS. Epic responded by stating that Apple's actions constitute a significant breach of the DMA, demonstrating a clear intention to hinder genuine competition on iOS devices. Epic argued that by terminating their developer account, Apple is deliberately undermining their ability to compete with the Apple App Store and setting a precedent that discourages other developers from attempting to compete or criticizing Apple's practices. The core issue stems from a long-standing trust dispute between Apple and Epic, primarily centered around Apple's 30% fee on all App Store transactions. In 2020, Epic introduced a direct payment method for Fortnite players, offering a discount for those who used it, which led to Apple removing Fortnite from the App Store. Although the DMA now allows Epic to sell directly on iOS, CEO Tim Sweeney has expressed criticism towards Apple's compliance with the DMA, labeling it a 'devious new instance of Malicious Compliance' in a post on X in January. Sweeney criticized Apple's new terms and the additional fees charged to developers for using alternative stores, stating that these practices force developers into an illegal anticompetitive scheme. In response to these criticisms, Apple executive Phil Schiller referenced Epic's past actions in an email to Sweeney, suggesting that Epic does not intend to adhere to the rules. Schiller requested written assurance from Epic that it would act in good faith and honor its commitments. Sweeney replied, stating that Epic and its subsidiaries are acting in good faith and will comply with all current and future agreements with Apple, offering to provide more specific assurances. However, Apple deemed Sweeney's response 'wholly insufficient and not credible,' citing Epic's history of criticism and terminating the developer account due to Epic being 'verifiably untrustworthy.' In a recent update on Thursday, March 7, 2024, EU antitrust regulators requested that Apple provide further explanations for blocking Epic Games from launching its app store on iOS. The European Commission is also reassessing Apple's compliance with the Digital Services Act and Platform to Business Regulation, in addition to the Digital Markets Act.