BRUSSELS (Reuters) – Fortnite creator Epic Games has fought Apple against antitrust regulators in the European Union, stepping up a dispute with the iPhone maker over its App Store payment system and control over app downloads.
The two companies were caught in a legal dispute in August last year, when the game maker tried to avoid Apple’s 30% fee for some in-app purchases in the App Store, launching its own in-app payment system.
This prompted Apple to drop the Fortic game from Epic in the App Store and threaten to terminate an affiliate account that would have effectively blocked the distribution of Unreal Engine, a software tool used by hundreds of app makers to create games.
Epic Games founder and CEO Tim Sweeney said Apple’s control over its platform has tipped the playing field.
“The 30% that I charge as a fee for applications, I can do 50% or 90% or 100%. According to their theory of how these markets are structured, they have every right to do so, “he told reporters.
“Epic is not asking any court or regulator to change this 30% to another number, but only to restore competition on iOS,” he said, referring to Apple’s mobile operating system.
The company also accused Apple of banning rivals from launching its own game subscription service on its platform, preventing it from grouping several games together, even though its own Apple Arcade service does.
Apple has stated that its rules apply equally to all developers and that Epic has violated them.
“In ways that a judge described as misleading and clandestine, Epic activated an app in its app that was not reviewed or approved by Apple and did so with the express intent of violating the App Store rules that it applies equally to every developer and protects customers, “the company said in a statement.
“Their reckless behavior has made customers pawns and we look forward to clarifying this to the European Commission,” he said.
Apple has taken small steps in recent months to change its practices, including lower fees for some developers and giving them a way to challenge its decisions, both of which do not satisfy the company’s criticism.
Fortnite is set to return to the iPhone at some point in the mobile Safari browser. Epic and Apple in recent weeks traded documents and made deposits before a trial scheduled for May in the Epic lawsuit filed last year.
The commission, which is investigating Apple’s Apple Pay and App Store mobile payment system, has confirmed receipt of the complaint.
“We will evaluate it on the basis of our standard procedures,” said a Commission spokeswoman.
Epic Games has also lodged complaints with the UK Competition Court and the Australian Watchdog.
Large companies such as Microsoft Corp., Spotify and Match Group Inc. have also criticized Apple Store’s fees and rules.
Reporting by Foo Yun Chee; Additional reporting by Stephen Nellis and Paresh Dave in San Francisco; Edited by Barbara Lewis, Edmund Blair and David Goodman