Computer gaming – A fundamental assumption about the gaming industry has been formally affirmed in the process surrounding the Apple App Store: gaming consoles are a bad business.
The software company’s director, Lori Wright, said on Wednesday that Microsoft is not making any money selling hardware from its Xbox console. Instead, one has to count, among other things, on withholding 30 percent of revenue when games are sold on the platform.
Epic’s lawyers interviewed Wright, and they were arguing with Apple about the terms for iPhone apps to work with. The 30 percent tax is the central sticking point in this process. Apple takes them in when selling apps and digital content on the iPhone. On the other hand, Epic wants to run its own app store on the iPhone and not pay Apple a fee for digital sales. Thus, this process can turn the application business upside down.
Apple’s attorneys confronted Epic’s boss, Tim Sweeney, with the fact that his company had no problem paying fees the same amount to the vendor unit. He replied that the controllers were defective while the iPhone was very profitable. Upon questioning Wright, it is evident that Epic’s attorneys aim to prove this thesis.
One of the questions in this process is whether the iPhone can be considered an independent marketplace for gaming applications. Epic takes this view and accuses Apple of misusing a dominant position. The iPhone says you should look at the entire gaming field, consoles included, instead. Epic is, among other things, well-known as the developer of the popular online game “Fortnite”.