Google’s Epic Legal Defeat Threatens $200 Billion App Store Industry
                     Google’s Epic Legal 
Defeat Threatens 
$200 Billion App Store 
Industry
Introduction:
 One of the most important legal cases 
that has challenged the app store 
model and its related fees is the one 
involving Google and Epic Games. 
 Fortnite's creator, Epic Games, filed a 
lawsuit against Google and Apple over 
the app stores' policies, which force 
developers to use their payment 
processors and pay a sizable 
commission on in-app purchases.
Source : httechnews.com
Antitrust Scrutiny: 
 The outcome of these cases, whether 
they are settled or not, may lead to 
antitrust investigations or additional 
lawsuits challenging the policies of app 
stores. 
 This might result in modifications to 
the way app stores function, which 
would affect their fee structures and 
revenue streams.
Source : bytevine.com
Pressure to Cut Fees: 
 Businesses like Google and Apple may 
face pressure to cut their fees if legal 
actions challenging app store 
commissions are successful. 
 Their app store profitability and 
revenue streams may be impacted by 
this.
Source : thebusinesstimes.com
Alternative Payment Systems:
  If developers are able to circumvent 
the typical app store payment 
methods, a court victory may pave the 
way for the inclusion of alternative 
payment systems in apps. 
 This could result in more competition 
and inventive payment solutions.
        Source : newsbreak.com
Developer Empowerment: 
 The power dynamics between 
developers and app store owners have 
come under scrutiny because of this 
legal dispute.
  Developers may gain more control 
over their apps and income streams if 
these legal disputes have any lasting 
effects.
Source : Bloomberg.com
Industry-Wide Impact: 
 This case may establish a legal 
precedent that affects other platforms' 
handling of developer relations and 
app store policies, which could have 
an impact on the entire app store 
industry.
           Source an24.net
The Great War:
 The legal dispute between Apple and 
Epic Games has received a lot of 
attention.
  Epic accused Apple of using its App 
Store to engage in monopolistic 
behavior.
 According to a recent court decision, 
gaming apps make up about 70% of all 
App Store sales. 
 Surprisingly, less than 10% of App 
Store users account for this sizeable 
share1.
 However, since the majority of apps in 
the store are free, over 80% of 
accounts only make a little profit. Source : theguardian.com
Apple's Dominance
 The App Store on Apple has long been a 
major source of income. 
 A third of purchases made within apps 
that are made available through the 
store go to them.
 Developers claim Apple treats smaller 
businesses unfairly on its platform, 
which has led them to criticize Apple.
  Apple responded by reducing the 
commission to 15% for apps with yearly 
net sales of less than $1 million.
 With effect from December 1, the recent 
court order permits developers to post 
links or other content warning users 
away from Apple's in-app purchases.              Source robots.net
The figures:
 Apple doesn't make its 
annual App Store revenue 
publicly available. But since 
the store's 2008 debut, it 
has paid developers an 
astounding $200 billion.
 Apple gave App Store 
developers payments 
totaling about $60 billion in 
2021 alone. Apple's in-app 
purchases, which go live in 
December Source : Investopedia.com
Conclusion:
 This legal setback for Google 
signals an increasing opposition 
to the established app store 
business model.
  It's a part of a wider discussion 
about fair competition, antitrust 
matters, and the distribution of 
power between developers and 
app store owners. 
 It will be interesting to watch 
how the app store landscape 
changes and how it might affect 
the tech industry as a whole as 
these cases go forward.
Source : curriculumnacional.com