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Games are often very low margin products, so it makes completely sense that Apple's one-size-fits all 30% fee wouldn't be suitable for a lot of companies. What

Games are often very low margin products, so it makes completely sense that Apple's one-size-fits all 30% fee wouldn't be suitable for a lot of companies. What doesn't make sense is how Apple got away with it for so long. The ad '1984' by Apple has become the biggest, most hypocritical piece of propaganda every created.

mvanbaak 6y ago
> Games are often very low margin products Yeah, so, did you check how much Epic earns with fortnite? I wont call this 'low margin' at all.
- cryptica 6y ago
  Profit margin is about the percentage they make after costs have been factored in. Their profit margin is indeed low; 12% of the revenue... compared to Apple who takes 30%. See https://gamerant.com/epic-games-store-revenue-split-explained/#:~:text=Sweeney%20also%20said%20that%20Epic,payment%20processing%2C%20and%20customer%20service https://gamerant.com/epic-games-store-revenue-split-explaine.... So my point is absolutely valid and it is shocking that Apple makes almost 3 times more money from Fortnight than Epic makes. Imagine spending years building an app and then someone else ends up making 3 times more money from it than you do...
  - mvanbaak 6y ago
    The 30% apple (and all other stores) “take” are not pure profits. They offer a lot of services that cost them money. So no, apple is not making 3 times as much.
    - cryptica 6y ago
      Apple's offering is a lot simpler and a lot more hands-off. I doubt their costs are very high and if they are, they're probably wasting the money because I can't see what's so complex about the Apple App store... And I'm a developer so I know that operating at that scale comes with challenges but it really doesn't compare to the challenges which the creators of Fortnight must face on a daily basis.
  - nodamage 6y ago
    You've confused two different things here. Epic takes a 12% cut from third-party games sold via the Epic Game Store. This is unrelated to their profits from Fortnite.

mvanbaak 6y ago

> Games are often very low margin products Yeah, so, did you check how much Epic earns with fortnite? I wont call this 'low margin' at all.

cryptica 6y ago
Profit margin is about the percentage they make after costs have been factored in. Their profit margin is indeed low; 12% of the revenue... compared to Apple who takes 30%. See https://gamerant.com/epic-games-store-revenue-split-explained/#:~:text=Sweeney%20also%20said%20that%20Epic,payment%20processing%2C%20and%20customer%20service https://gamerant.com/epic-games-store-revenue-split-explaine.... So my point is absolutely valid and it is shocking that Apple makes almost 3 times more money from Fortnight than Epic makes. Imagine spending years building an app and then someone else ends up making 3 times more money from it than you do...
- mvanbaak 6y ago
  The 30% apple (and all other stores) “take” are not pure profits. They offer a lot of services that cost them money. So no, apple is not making 3 times as much.
  - cryptica 6y ago
    Apple's offering is a lot simpler and a lot more hands-off. I doubt their costs are very high and if they are, they're probably wasting the money because I can't see what's so complex about the Apple App store... And I'm a developer so I know that operating at that scale comes with challenges but it really doesn't compare to the challenges which the creators of Fortnight must face on a daily basis.
- nodamage 6y ago
  You've confused two different things here. Epic takes a 12% cut from third-party games sold via the Epic Game Store. This is unrelated to their profits from Fortnite.