Fortnite is set to make a triumphant return to the U.S. iOS App Store and iPhones next week, following a pivotal court ruling, as announced by Epic Games CEO Tim Sweeney. On April 30, a U.S. Federal District Court in California ruled that Apple had willfully violated a court order in the Epic Games v. Apple case. This order mandated Apple to allow developers to offer alternative payment methods outside of their apps.
In response, Sweeney took to Twitter with a "peace proposal" for Apple, stating, "If Apple extends the court's friction-free, Apple-tax-free framework worldwide, we'll return Fortnite to the App Store worldwide and drop current and future litigation on the topic." This proposal comes after years of legal battles between Epic and Apple.
Sweeney's commitment to this cause is well-documented, having spent billions fighting Apple and Google over app store policies. In January, IGN reported Sweeney's view of these legal battles as a long-term investment in Epic and Fortnite's future, with the CEO confident that Epic could sustain the fight for decades.
The core of the dispute lies in Epic's refusal to pay the standard 30% store fees imposed by Apple and Google on mobile game revenue. Epic's preference is to operate Fortnite through its own Epic Games Store, free from the control and fees of these tech giants. This disagreement led to Fortnite's removal from iOS back in 2020, but now, nearly five years later, it is poised to return to U.S. iPhones.
Sweeney celebrated the recent court ruling on Twitter, proclaiming, "NO FEES on web transactions. Game over for the Apple Tax. Apple’s 15-30% junk fees are now just as dead here in the United States of America as they are in Europe under the Digital Markets Act. Unlawful here, unlawful there."
As a result of Apple's non-compliance, U.S. District Judge Yvonne Gonzalez Rogers has referred Apple and one of its executives, Alex Roman, to federal prosecutors for a criminal contempt investigation. Judge Rogers criticized Apple's attempts to undermine competition, emphasizing that "this is an injunction, not a negotiation. There are no do-overs once a party willfully disregards a court order."
Apple responded, stating their disagreement with the decision but their intention to comply and appeal. This ruling marks a significant victory for Epic, which has seen prior successes mainly in Europe through the region's Digital Markets Act.
Last August, the Epic Games Store debuted on iPhones in the European Union and on Android devices worldwide, featuring games like Fortnite, Rocket League Sideswipe, and Fall Guys for mobile. However, Epic has faced challenges in getting these games running smoothly on mobile devices, with "scare screens" deterring up to 50% of potential users.
Despite the financial strain and significant layoffs, with 830 employees (about 16% of its workforce) let go in September 2023 at the North Carolina studio, Sweeney remains optimistic. In October last year, he affirmed that Epic is now "financially sound," with both Fortnite and the Epic Games Store achieving new records in "concurrency and success."