Apple Blocks Epic Games’ European Subsidiary from Creating Competing App Store
In a move that could have far-reaching implications for the app economy, Apple has blocked Epic Games’ European subsidiary from using iPhone software tools, effectively preventing the game developer from creating a competing app store.
The clash between Apple and Epic Games began when the European Union passed a law in 2022 to loosen Apple’s grip on the app economy. Epic Games, the maker of Fortnite, saw an opportunity to launch a competing app store for developers. However, before the law could go into effect, Apple took action to block Epic’s plans.
In correspondence from Apple to Epic Games, the tech giant cited Epic’s past violations of Apple’s rules and its criticism of Apple’s compliance with Europe’s tech competition law as reasons for blocking Epic’s access to developer tools in Europe.
Apple’s move is the latest development in a long-standing battle between the two companies. In 2020, Epic broke the App Store’s rules by bypassing Apple’s payment system in Fortnite, leading to Apple removing the game from the App Store. Epic then sued Apple for antitrust violations.
With the Digital Markets Act set to take effect, Apple’s rejection of Epic’s access to developer tools in Europe raises questions about the tech giant’s compliance with the new law. The Act requires Apple to provide app makers with alternatives for selling software to iPhone and iPad users, including the ability to use alternative payment systems and competing app stores.
Epic Games’ CEO, Tim Sweeney, has vowed to file a complaint with European regulators over Apple’s actions, calling it an attempt to stifle competition. Epic has invested billions of dollars in creating the Epic Games Store, which offers a lower commission rate than Apple’s App Store.
The dispute between Apple and Epic Games highlights the growing tensions in the app economy and the challenges facing tech giants like Apple as they navigate new regulations aimed at promoting competition. An investigation by the European Commission could lead to a lengthy legal battle and potential fines for Apple, further complicating the company’s App Store policies.
As the battle between Apple and Epic Games continues to unfold, the future of the app economy hangs in the balance, with developers and regulators closely watching the outcome of this high-stakes dispute.
