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Apple lost to Epic Games: What’s next for mobile products?
- The legal dispute between Apple and Epic Games concluded with a ruling in favor of Epic Games, allowing developers to bypass Apple's 30% transaction fee by using alternative payment methods.
- The dispute started in August 2020 when Epic Games intentionally violated Apple's store policies, leading to a series of legal battles.
- After various court rulings and appeals, the final ruling in April 2025 mandated Apple to stop collecting commissions on transactions outside the App Store and permit alternative payment methods.
- The market reacted swiftly, with platforms like RevenueCat offering new capabilities for integrating alternative payment methods in apps.
- The impact extends to mobile app monetization, providing developers with options to continue using app store purchases, adopt alternative payment methods, or support both.
- Alternative payment methods offer benefits such as avoiding Apple's high commission fees, greater data control, and flexibility in pricing strategies.
- On the other hand, App Store purchases offer simplicity and seamless user experience, albeit with higher fees and less control over payment processes.
- The ruling presents new opportunities for mobile product managers to experiment with different payment setups and optimize monetization strategies.
- Apple's next move remains uncertain, with potential adjustments to its monetization strategy in response to increased competition and changing market dynamics.
- As Apple's dominance in the mobile apps market weakens, the company may need to adapt to retain competitiveness and revenue.
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