Apple Reverses Decision and Clears Way for Epic Games’ Online Marketplace in Europe

Apple Reverses Decision, Allowing Epic Games to Launch Own Online Marketplace in Europe

Growing Concerns Over Gateways to Online Gambling and the Week’s Stock Picks

Apple reversed its decision to block Fortnite video game developer, Epic Games, from launching its own online marketplace for iPhones and iPads in Europe on Friday, clearing the way for the game developer to proceed with its plans. The decision comes amidst growing concerns over gateways to online gambling and an update on the week’s stock picks.

Apple’s Feud with Epic Games and Violation of U.S. Antitrust Rules

Last Wednesday, Apple escalated its longstanding feud with Epic Games by blocking the game developer from launching its own online marketplace. The two companies have been embroiled in a legal battle since 2020, with Epic accusing Apple of violating U.S. antitrust rules by charging high commissions on in-app payments on iOS devices.

EU’s Digital Markets Act and Apple’s Compliance

Apple’s recent decision to allow Epic Games to proceed with its plans follows the European Union’s deadline for big tech companies to comply with the Digital Markets Act (DMA). The DMA consists of a set of rules that prohibit Apple as well as Google from controlling the distribution of apps on devices operating with iOS or Android. Apple’s change of heart is seen as a result of the EU’s stringent regulations for tech companies.

Apple Escalates Epic Games Feud by Blocking Fortnite App in EU

Regulators’ Warning and Epic’s Battle on U.S. Antitrust Rules Violations

Regulators reportedly warned Apple regarding its decision to block Epic Games’ potential return. However, despite its legal battle on U.S. antitrust rules violations and its subsequent banishment from Apple devices, Epic’s plan to break Apple’s rules in protest ultimately failed. Although Apple’s decision to unblock Epic Games’ app in Europe is considered a victory for the game developer, it still falls short of Epic’s ultimate objective.

Apple Terminates Epic’s Developer Account in Sweden

Apple terminated a new developer account created by Epic in Sweden, which the game developer had intended to use to put Fortnite and other games back on iPhones in Europe. Apple’s termination of Epic’s account violated the new European law, which mandates the inclusion of third-party stores on Apple’s devices. Developer accounts are vital for distributing apps to iPhones and iPads, and Apple had previously terminated Epic’s developer accounts in 2020 after the game developer breached Apple’s in-app payment rules.

Epic’s Reaction, Apple’s Reversal, and Future Plans

Two days after terminating Epic’s developer account, Apple reversed its decision and reinstated the account. Epic, in response, confirmed that it will proceed with its plan to launch the Epic Games Store in Europe and bring Fortnite back to iOS. Although the game store will be available in Europe, it still remains inaccessible in the U.S. Epic Games welcomes the European Commission’s swift enforcement of the Digital Markets Act and hopes this serves as a signal to other developers. Apple confirms that Epic has committed to follow the rules and has been permitted to re-sign the developer agreement and join the Apple Developer Program.