Epic Games Humbles Google. Is Apple Next?

The only time that gaming and online gambling tend to crossover is when it comes to the divisive topic of loot boxes and whether they should be deemed to be gambling due to their use of slot-like inducements.

However, Epic Games' latest victory could be a game-changer for online gambling, video game developers, and anyone else looking to use the Google Play store to sell products.

 Google Ordered To Cough Up $700 Million

Epic Games has been on a mission to prove that the 30% commission that Google and Apple take in order to allow companies to use their app stores is illegal. They made significant headway in their pursuit when a court ruled that Google was running an illegal monopoly.

Celebrating the win, Epic posted a press release saying:

Quote

“Today’s verdict is a win for all app developers and consumers around the world. It proves that Google’s app store practices are illegal, and they abuse their monopoly to extract exorbitant fees, stifle competition and reduce innovation.”

The impetus behind the initial filing was that Epic wanted the freedom to accept transactions from users without the need to pay over 30% of the value to Google.

This same penalty would have been applied to deposits made at mobile casinos on their app, which could explain why so many sites opt for mobile-optimised websites over native applications.

On the insistence of the courts, Epic clarified its requirements as:

1. The option for developers to add their own stores to the Google app.
2. The right to use their own billing system within these stores.
3. A court injunction to block Apple from adding a workaround to the above.

The ruling found that Google was guilty of running an illegal Appstore monopoly that had benefited the company by billions of dollars of “forced” revenue. The first step is Google agreeing to a settlement fine of $700 million.

It will be interesting to see if companies can band together to sue Google for reparations after the enforcement of the verdict.

Are Apple Ready for Round 2?

What makes this win even more exciting for mobile game developers and the mobile casino community is that Epic lost the same suit against Apple three years ago. With the precedent set by this outcome, we will likely see the Epic Games legal team seek a retrial.

It is a well-documented fact that despite offering nearly twice as many apps, the Google app store generates about half of Apple's sales. For example, in 2022, Apple generated $86.8 billion, while Google generated $42.3 billion.

If Epic can hold the line against Google's inevitable appeal and then use the current case to bring down Apple, it would be the most significant financial blow that either of the tech giants has ever experienced, outside of Zuckerberg's failed investment in the metaverse.

With the advancements in global casino licensing and regulation and the abolition of a 30% sales tax, we could soon see the re-emergence of native mobile casino apps.