Does what Epic is looking for in the App Stores What other game developers really need? -

Dec 31, 2023

As mobile game and app creators struggle to live under the duopoly tax that accounts for 30% of revenue from mobile games around the world, Epic Games has emerged as the leader of the industry in the struggle to open up computing to smartphones.

In private, both big and small studios of games alike asked have discussed what they'd like take a look at. This was the response they offered to see.

Background: The slow demise of Open Computing, and the 30 percent tax apps have to pay

It has never been more easy to access than it is today. From the very beginning game developers and games depended on the open technology of PC as well as Mac platforms, as it allows creators to create titles at any time they like, maintain a close relationship with clients and choose payments that fit for their needs. There was no barrier for entry, and no computer gamers or gamers. However, the game is evolving.

In the present, over half of users' screen time is taken up via mobile devices. This is increasing the percentage of screen time in addition, nearly 90% of the smartphone OS market share is held by Apple as well as Google. Because of the dominant position of mobile-based market share together with the tight control over distribution of games as well as online commerce, the realm open-source computing is in danger like never before, and creating enormous costs for users in addition to game creators and game developers.

One example Google and Apple's app stores demand a 30% charge for sale of merchandise and games that are offered on their platforms. Apple controls the distribution of games, as also the commerce available for iOS devices. But, Google lets OEM marketplace applications, as well as the sideloading of games for mobile devices, however it restricts third-party in-game payment on games that are distributed via Google Play.

Google Play does offer a third-party integration of payments for just a handful of game creators via the " user choice billing" test. However "user choice billing" is accompanied by expensive annual market costs that are 26% even if you select to utilize the payment option of your choice. You accept all risk and compliance obligations for payments.

The consequence the result of Apple or Google's monopoly of the vast majority of global computing is the fact that they are the default for a 30% tax on mobile games and apps, that is charged by the players. This is not considered by the creators of games, and impedes free computing as well as commerce. Given this dominance of computing that is free, people from all types believe they need to change their ways.

What thoughts do game developers that aren't Epic

The group here at set off on a long-running journey lasting just a couple of months to talk with developers of all sizes as well as small in regards to their suggestions for what they want to see happen in the guidelines of mobile apps store. While not everyone was at the same level on every point but here are the three main points they mentioned they wanted:

1. iOS to support sideloading games that do not display scare screens.

iOS has long been known as a period of time that is characterized by a limitation on "sideloading" applications as and games, as in the case of apps that are downloaded from outside the App Store, from the website of the developer or other marketplace. This practice permits users to purchase games and developers to sell and distribute games in any way the developer chooses and which the user is able to accept. Android permits sideloading applications as well as games, but only combination with sloppy warnings referred to by the title of "scare screens" which warn mobile phone users of the risks associated with "downloading applications via online." The majority of game developers we spoke to were of the opinion that Apple could allow sideloading. They believe that Apple as well as Google do not need to use self-serving over-the-top scare screens which denigrate the distribution of software beyond their stores for applications.

2. You can enjoy all-inclusive "steering" and integrated payment through a third-party payments platform.

Both Google and Apple restrict the possibility of pricing and payment methods offered through third-party options for payment which do not belong to the app store. The same purchase may be offered at lower prices to the consumer however game designers are unable to direct their users to those options or even link to other purchases or integrate an experience from a third party in their games. Though many of the game designers we spoke to have seen the advantages when making purchases through apps, the vast majority of them prefer to offer gamers and developers the option by doing away with the steering feature or incorporating restrictions to the payment method.

3. It is zero percent for embedded and steering payments and fees embedded.

Giving users the ability to steer and embed payments is an entirely different matter, however the way Google does this is, as we've seen through its "user bill option" test, the capability to make a decision and the drive to earn profits from it is a distinct thing. Pilots of "user bill choices" offer a staggering 26% cost when transactions occur through third party payment service providers. When you add the cost that these companies charge, it's an unprofitable gain of $0 to the majority of game creators of games. We spoke with game developers who believed that zero is an appropriate amount for transactions that are not accessible through apps. But, all of them were for some type or financial incentive for app stores to help boost the number of downloads and use of games. Naturally, the 26% cut of each transaction made by a third party is quite different from the concept that game developers thought would be reasonable.

What's next?

There are numerous additional subtle requirements regarding the way app stores work that developers would like to meet, but these three needs are the basis of what they believe will bring about the real shift in open computing for mobile.

About

David Nachman

David Nachman David serves as the company's chief executive officer, and is an online retailer which is reliable and offers full-service to software companies. The CEO is responsible for overseeing its growth as well as expanding the company's established tradition of providing industry-leading ecommerce solutions for the rapidly growing market for software. Over the past twenty many years David has held a range of positions, including functional vice president and CEO of high-growth businesses like Vision, Velocify, and HireRight.

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