Epic games visiting too frequently news

Charged Too Much, Epic Games Make Application Stores

In an effort to limit the fees levied by technology companies such as the Google Play Store and the App Store on the application developer, Epic Games, the developer of Fortnite officially launched the app store.

Reportedly, the costs offered by the application store made by Epic Games are lower than Google and Apple.

The reason is, the new Epic store will charge developers a commission fee of only 12 percent, less than half what Apple Inc. and Alphabet Inc. (Holding Google) application stores do. This bold move could encourage application developers of all types to demand the same agreement, as quoted by the Android Authority.

Benjamin Schachter, an analyst at Macquarie Capital, said in a report that this is a big problem and has implications that have the potential to reach further than just game developers.

If Apple and Google are finally forced to cut commissions to fit Epic, it can have a huge impact on profits.

The research company Sensor Tower said in a July report last year that people spent around USD 34 billion in application stores in the first half of 2018.

As is known, over the years, Apple's App Store and Google Play Store have been the main avenues that developers can use to enter applications into their respective operating systems.

Then, the application developer pays 30 percent commission to be distributed through stores. Costs according to Google and Apple are fair to provide a trusted and secure market and distribution system.

Tim Sweeney, CEO of Epic Games said, that his party, has long been critical of the app store business model spread by Apple and Google.

Epic Games, believes the two companies take too many deductions from app sales compared to the costs involved in running the store.

Thus, Epic Games exploits the popularity of the game that has been played by 200 million registered players. Of the many players, Epic Games has generated revenues of more than US $ 1 billion.

This solution allows developers to maintain 88 percent of the revenue generated by their applications compared to the 70 percent standard permitted by Apple and Google. The first version of the Epic store aired early January 2019 for PC games.

The Epic application store will debut with a set of hand-curated games, aka manuals on PC and Mac devices. He further said that the application store Epic said he would start peddling other games to Android and other open platforms throughout 2019.

For information, in August last year, Epic said it would not distribute their homemade game, Fortnite, through the Google Play Store. They ask players to visit the site themselves and download a special launcher that will open the game on an Android device.

This method allows Epic to avoid commission fees, and the new store will function the same way. However, Epic has a fairly complicated problem, namely how to convince the makers of applications and games along with the players and users that the application store is as safe as that operated by Apple and Google.

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