Fortnite is poised 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, which mandated Apple to allow developers to offer alternative payment methods outside of their apps.
In a tweet, Sweeney extended a "peace proposal" to Apple, suggesting that if Apple were to extend the court's friction-free, Apple-tax-free framework globally, Epic would bring Fortnite back to the App Store worldwide and cease current and future litigation on this matter. Sweeney's determination to challenge Apple and Google's app store policies has been a long and costly battle, with him previously telling IGN that he views this as a long-term investment in Epic and Fortnite's future.
The core of the dispute revolves around Epic's refusal to pay the standard 30% store fees imposed by Apple and Google on mobile game revenue. Epic's goal is to operate Fortnite through its own Epic Games Store on mobile devices, bypassing the fees charged by Apple and Google. This conflict led to Fortnite being removed from iOS back in 2020, but now, nearly five years later, the game is set to return to U.S. iPhones.
Sweeney celebrated the court ruling on Twitter, stating, "NO FEES on web transactions. Game over for the Apple Tax." He emphasized that Apple's 15-30% fees are now considered unlawful in the U.S., similar to their status in Europe under the Digital Markets Act. As a result of the ruling, Apple and one of its executives, Alex Roman, have been referred to federal prosecutors for a criminal contempt investigation due to alleged misdirection and falsehoods in their compliance testimony.
Apple responded to the court's decision with a statement expressing strong disagreement but affirmed their intention to comply with the order while planning to appeal. The legal battles have been costly for Epic, with significant progress made primarily in Europe through the Digital Markets Act. In August of the previous year, the Epic Games Store was launched on iPhones in the EU and on Android devices worldwide, featuring games like Fortnite, Rocket League Sideswipe, and Fall Guys. However, Epic has noted that various "scare screens" deter up to 50% of potential users from engaging with their mobile offerings.
Despite the financial strain, which included significant layoffs affecting 830 employees at the North Carolina studio in September 2023, Sweeney remains optimistic about Epic's financial health. In October of last year, he stated that the company was now "financially sound," with both Fortnite and the Epic Games Store achieving new records in concurrency and success.
Epic's Tim Sweeney remains determined to challenge Apple and Google's app store policies. Photo by SeongJoon Cho/Bloomberg.
Fortnite is set to return to U.S. iPhones, nearly five years after its removal. Photographer: Andrew Harrer/Bloomberg via Getty Images.
