European Games Developer Federation (EGDF) expresses its’ disappointment in Apple’s new install fee structure for game developers aiming to launch games and collect payments via third-party marketplaces and payment systems in iOS. The new policy poses challenges for game developers looking to launch their games and process payments through third-party marketplaces and payment systems on iOS, creating a disincentive and artificial market access barriers. In light of this recent development, EGDF calls for close monitoring of implementation of the new Digital Markets Act (DMA).
“iOS17.4 will bring new app analytics functions, allow third-party cloud and game subscription services to compete with Apple Arcade, and introduce other improvements for those game developers deciding to stay on the Apple AppStore in the EU under the old business terms. These improvements demonstrate why introducing competing third-party marketplaces will benefit everyone. Now, Apple has to work harder to create value for game developers for the 30% cut they take for each payment.
EGDF is highly disappointed in Apple’s new anticompetitive fee structure for those developers who will not remain in the Apple AppStore in the EU. The new install fee-based structure makes it difficult for any app developer to compete against Apple’s own services like the Apple App Store. It creates a disincentive for game developers to start distributing their games through third-party marketplaces or process their in-game payments through third-party payment systems. Furthermore, the EUR 1 million credit line threshold to become a marketplace creates an artificial market access barrier for new third-party marketplaces.
EGDF calls competent enforcement authorities to closely monitor how Apple and other gatekeeper platforms are implementing DMA and pay special attention to ensuring that Apple fulfils the following DMA obligations and commitments in the EU, if needed, through swift and robust enforcement actions.”
Neogames monitors the development and evaluates the effects of the process from Finnish game industry’s point of view. Suomen pelinkehittäjät ry (The Finnish Game Developers’ Association) is a member of EGDF.