Epic CEO Tim Sweeney Calls $1 Billion Fight with Apple About App Store Fees Worth the Cost, Confirms Fortnite’s iOS Return

Following a court win against Apple's App Store rules, Epic Games CEO Tim Sweeney has confirmed Fortnite's iOS comeback and reflected on the $1B+ legal cost.

Epic Games CEO Tim Sweeney declared his company’s legal campaign against Apple worth the expense, estimating the total financial effect at over $1 billion, while confirming Fortnite is poised for an imminent return to iOS in the US.

Speaking in an interview with Business Insider, Sweeney positioned the five-year conflict, which recently yielded a favorable court order against Apple’s App Store practices, as a fight for fundamental “digital freedoms.”

He contrasted the current mobile ecosystem with earlier computing eras: “I started programming back on an Apple II when I was 13: You turn the computer on, you get a BASIC programming prompt. Anybody can write code, anybody can save it to a floppy disk, you can share it with a friend, you can sell it. Those digital freedoms are essential to the future.”

Sweeney argued the cost, including over $100 million in direct legal fees and substantial lost revenue since Fortnite’s 2020 removal from iOS, was justified. “Freedom cannot be purchased at too dear a price,” Sweeney stated, adding that Epic’s investors largely supported the stand.

He confirmed Epic has now formally submitted Fortnite for review on the US App Store, utilizing its established EU developer entity (Epic Games Sweden) for the US launch. He anticipates the game’s availability “later this week,” expressing confidence that Apple will not obstruct its return. “Our dealings with Apple on that account have been managed by their developer relations team, who have been cordial,” Sweeney noted.

Judge Slams Apple’s Compliance, Orders Changes

The catalyst for these developments was an April 30 decision by U.S. District Judge Yvonne Gonzalez Rogers. She found Apple had deliberately violated a 2021 injunction concerning anti-steering rules – policies preventing developers from directing users to payment options outside Apple’s system. Judge Rogers asserted Apple acted “with the express intent to create new anticompetitive barriers.”

She sharply criticized Apple’s attempt to comply by allowing a single external link while imposing a new 12-27% commission, calling the arguments justification attempts that “strain credulity.” Court documents revealed internal debate at Apple, with Apple Fellow Phil Schiller testifying he had initially opposed the commission structure, fearing an “antagonistic relationship” with developers.

The judge’s rebuke extended beyond the core violation. She referred Apple for a potential criminal contempt investigation, a rare step in such cases. Furthermore, Judge Rogers found testimony from Apple finance VP Alex Roman “not credible” and “replete with misdirection and outright lies under oath,” and sanctioned the company for the “misuse of attorney-client privilege designations to delay proceedings.”

The ruling now explicitly bars Apple from charging any fees on purchases made via external links from the US App Store and prevents restrictions on how developers communicate these alternatives.

Apple Appeals but Complies, Opening Doors for Developers

Apple filed a notice of appeal with the Ninth Circuit Court of Appeals on May 5, reiterating its disagreement with the decision. An Apple spokesperson stated, “We strongly disagree with the decision. We will comply with the court’s order and we will appeal.”

However, the company did modify its App Store Review Guidelines late on May 1 to align with the court’s order pending the appeal’s outcome. The changes permit developers on the US storefront to include buttons and links directing users to external purchase options without penalty. Apple also clarified that the “External Link Account entitlement,” a system previously required for such links, is no longer necessary in the US.

This shift had immediate consequences. Music streaming service Spotify submitted an updated app on May 1 featuring external purchase links and pricing details previously prohibited.

Apple approved the update on May 2. Spotify stated this change will “finally allow us to freely show clear pricing information and links to purchase, fostering transparency and choice for U.S. consumers.” Analysts suggest this opening could encourage other developers, particularly in gaming and social media with digital goods, to explore direct payment links more actively, potentially affecting Apple’s service revenue if the ruling withstands the appeal.

Epic Moves Swiftly: Fortnite Submitted, Store Terms Updated

Beyond preparing Fortnite’s return, Epic Games announced strategic updates for its own Epic Games Store (EGS), effective June 2025. A new 0% commission tier will apply to the first $1 million in annual revenue per app for developers using EGS payment processing, after which Epic’s standard 12% cut takes effect.

This offers a stark contrast to the 15% rate typically offered by Apple and Google to smaller developers earning under $1 million. Epic is also introducing EGS-hosted “webshops,” described as “a more cost-effective alternative to in-app purchases, where Apple, Google, and others charge exorbitant fees,” sweetened by a 5% Epic Rewards kickback funded by Epic.

The company noted that “new legal rulings” now permit linking to these webshops from within iOS apps in the US and EU, though some developers expressed caution about achieving visibility on EGS.

An Ongoing Global Battle

Sweeney connected Fortnite’s absence from iOS to network effects, explaining how restricting access impacts not just direct players but also their friends. He views challenging platform monopolies as a necessary part of the business. “There’s a game and a meta game here, right? The game is making awesome software… But there’s a meta game of ensuring that we have the right to do that…” he explained.

The US legal fight unfolds amid global regulatory scrutiny, including the EU’s €500 million DMA fine against Apple in April for similar anti-steering practices under the Digital Markets Act (DMA). Following the US ruling, Sweeney offered a “peace proposal,” suggesting Fortnite could return globally if Apple adopted the court’s “friction-free, Apple-tax-free framework worldwide.” The original 2021 injunction that Apple was found to have violated remained in effect after the US Supreme Court declined to hear appeals from either Apple or Epic in January 2024.

Markus Kasanmascheff
Markus Kasanmascheff
Markus has been covering the tech industry for more than 15 years. He is holding a Master´s degree in International Economics and is the founder and managing editor of Winbuzzer.com.

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