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Epic Games announced two separate measures on May 1, 2025: a 0% Epic store revenue share on the first $1 million in payments per app per year, followed by a 12% share, and Epic Games Store Webshops for eligible purchases made outside a game’s app. The plan could reduce a developer’s reliance on Apple’s in-app payment system, but it does not replace the App Store, eliminate every payment cost, or guarantee that an iOS app can use external purchase links everywhere.
The short version
- Epic’s announced store economics: 0% Epic revenue share on the first $1 million in revenue per app per year from Epic-processed Epic Games Store payments.
- After that threshold: Epic said its regular 88%/12% split would apply, leaving the developer with 88% and Epic with 12%.
- Webshops: Epic said developers could create Epic-hosted browser storefronts for eligible out-of-app purchases. Epic also announced 5% Epic Rewards on purchases made through those webshops.
These were announced plans with a June 2025 rollout target, not a new August 2026 announcement. The official announcement is available from Epic Games.
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What Epic announced on May 1, 2025
Epic’s announcement combined a change to its own store revenue share with a proposed external-commerce route for game developers. They address related problems, but they are not the same product.
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Beginning in June 2025, Epic said it would take no store revenue share on the first $1 million per app per year. Once that threshold was exceeded, the regular 88%/12% split would apply to the subsequent amount under Epic’s announced terms.
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- Redeemable on accounts in the United States and in U.S. Dollars.
- Gift card must be redeemed at EpicGames.com/redeem. This gift card WILL NOT work if redeemed directly on a console device (PlayStation, Xbox, Nintendo Switch, etc.)
- If you play Fortnite experiences on a console device, you need to link your Epic Games account to your console account(s) so items purchased at Fortnite.com/item-shop appear across all of your linked accounts
- Requires internet connection, valid Epic account and prior acceptance of the terms
- Redemption: Online
The wording matters. The threshold was described as per app per year, not per developer, per company, or across every platform. It also concerned payments processed through the Epic Games Store. It should not be read as a blanket 0% fee on every purchase made by an iOS or Android game.
2. Epic Games Store Webshops
Epic said developers could launch webshops hosted by Epic, allowing users to buy digital goods in a browser rather than through an in-app purchase flow. Depending on the game and the applicable platform rules, a user might purchase virtual currency, subscriptions, cosmetic items, or other digital goods on the web and then receive them in the game account.
A webshop is not an alternative iPhone app marketplace. It does not replace Apple’s role in app discovery, installation, updates, device distribution, or App Store review. It is a commerce route that may reduce reliance on platform-controlled billing for qualifying purchases.
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How the economics work
Consider two simplified, illustrative examples:
| Epic-processed payments during the annual period | Announced Epic store share | Developer share before other costs |
|---|---|---|
| $800,000 | 0% under the announced first-million tier | $800,000 |
| $1.2 million | 0% on the first $1 million; 12% on the amount above it | $1.176 million |
The second example is only a simplified model. A developer’s actual net proceeds would also depend on payment processing, refunds, chargebacks, taxes, currency conversion, fraud losses, support, and the contract’s settlement rules. “Zero commission” means zero Epic store revenue share within the announced tier—not zero total cost and not 100% of gross consumer spending.
Rank #2
- Redeemable on accounts in the United States and in U.S. Dollars.
- Gift card must be redeemed at EpicGames.com/redeem. This gift card WILL NOT work if redeemed directly on a console device (PlayStation, Xbox, Nintendo Switch, etc.)
- If you play Fortnite experiences on a console device, you need to link your Epic Games account to your console account(s) so items purchased at Fortnite.com/item-shop appear across all of your linked accounts
- Requires internet connection, valid Epic account and prior acceptance of the terms
- Redemption: Online
Why Apple is central to the strategy
Apple’s App Store combines distribution with a controlled payment system. Apple’s commonly cited commission levels are generally 15% or 30%, although the applicable rate depends on the developer’s program, transaction type, region, and other circumstances. Contemporary coverage compared Epic’s offer with Apple’s 15% Small Business Program rate on the first $1 million and higher standard rates in other cases; those figures are not one universal Apple price for every developer. See the contemporaneous analysis from 9to5Mac.
Epic’s commercial logic was straightforward: make its own store more attractive to developers and provide commerce infrastructure that can sit outside platform billing. If successful, Epic could gain payment relationships, account activity, rewards engagement, and purchasing data while developers potentially retain more of each sale.
That makes Epic both a storefront competitor and a commerce provider. It also supports Epic’s broader argument that Apple should not control both app distribution and digital payments. But Epic was not creating a universal replacement for the App Store.
What the legal ruling changed
The announcement followed a major development in the Epic–Apple dispute. According to contemporaneous reporting, a US court ruling required Apple to stop blocking certain links from apps to external websites for digital purchases and barred Apple from collecting a 27% commission on qualifying web-based sales originating from App Store apps.
That ruling opened room for direct-to-web commerce in relevant circumstances. It did not mean every external-payment link would automatically be approved, that App Store review disappeared, or that all Apple fees and restrictions vanished. The legal dispute also was not permanently settled by that development.
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- Redeemable on accounts in the United States and in U.S. Dollars.
- Gift card must be redeemed at EpicGames.com/redeem. This gift card WILL NOT work if redeemed directly on a console device (PlayStation, Xbox, Nintendo Switch, etc.)
- If you play Fortnite experiences on a console device, you need to link your Epic Games account to your console account(s) so items purchased at Fortnite.com/item-shop appear across all of your linked accounts
- Requires internet connection, valid Epic account and prior acceptance of the terms
- Redemption: Online
The practical distinction is important: the ruling could protect or enable an external purchase route, while Epic’s webshop would supply a proposed destination and commerce system. One does not guarantee the other.
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How the proposed user flow could work
- A user opens a game installed through an app platform.
- Where the platform’s rules and applicable law allow it, the game presents a link or control to an external webshop.
- The user signs in or identifies the relevant game account.
- The user buys digital goods in the browser.
- The purchase is linked to the game account and becomes available when the user returns to the game.
This is a business-model explanation, not a verified implementation guide. The announcement did not establish complete UI labels, supported SDKs, refund workflows, tax treatment, fraud controls, or platform-by-platform availability.
What developers would need to evaluate
Net economics
The relevant calculation is not simply Apple’s percentage versus Epic’s percentage. A developer must compare the platform fee saved with payment costs, tax, refunds, chargebacks, currency conversion, integration work, customer support, and any revenue share above Epic’s $1 million threshold.
Checkout conversion
Leaving an app creates friction. Users may need to open a browser, authenticate again, trust a new payment page, and return to the game. A lower fee can produce less net revenue if enough users abandon checkout or make fewer impulse purchases.
Accounts and entitlements
Account linking becomes critical. If a customer buys through the wrong Epic or game account, the item may not appear in the game. Developers would need reliable entitlement synchronization, recovery processes, cross-platform identity handling, and clear customer support ownership.
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- An Epic Games account is required to redeem an Epic Games Store Card code
- If playing on a console platform (PlayStation Network, Xbox Live, Nintendo Switch or Mobile) you need to link your Epic Games account to that gaming platform (one time) to redeem your gift card code
- The 16 digit code on the back of the card WILL NOT work if redeemed directly through your gaming platform (PlayStation Network, Xbox Live, Nintendo Switch, Mobile, etc.)
- Note: Nintendo devices do not support Fortnite Shared Wallet, so V-Bucks purchased using your account balance will not show up on your Nintendo device. However, if you purchase items in the web Item Shop — or another platform where you play Fortnite — those items will be available in your Locker across all platforms.
- Redemption: Online
Operations and compliance
Before adopting an external route, a developer would need clear answers about:
- refunds and chargebacks;
- sales tax, VAT, and other consumer-protection obligations;
- fraud detection and payment disputes;
- regional payment methods and currency conversion;
- age restrictions and parental controls;
- settlement timing and reporting;
- catalog, entitlement, and inventory management; and
- responsibility for customer service.
These are implementation questions, not terms verified by the announcement itself.
Apple versus Epic: what is actually being compared?
| Question | Apple App Store | Epic’s announced approach |
|---|---|---|
| App distribution | Apple-controlled App Store distribution in the standard iOS model | Epic Games Store distribution where supported; Webshops do not replace the App Store |
| Payment route | Apple in-app purchase or an external route where permitted by applicable rules and geography | Epic-processed Epic Games Store payments or a browser-based Epic Webshop |
| Announced store share | Commonly described as 15% or 30%, with program-specific exceptions | 0% on the first $1 million per app per year; 12% afterward |
| Consumer incentive | Apple ecosystem account and payment convenience | 5% Epic Rewards on Epic Webshop purchases, according to Epic |
| Main limitation | App review, platform policies, legal rules, and regional variation | Availability, integration, user friction, legal geography, and dependence on Epic |
Does Epic’s proposal really save money?
It can reduce a platform revenue share in the right circumstances, especially for an app whose relevant Epic-processed revenue remains below $1 million per year. But the financial result depends on the entire purchase funnel.
A developer should model at least four scenarios:
- Native checkout: higher platform charges may be offset by familiar, low-friction conversion.
- External checkout: lower store share may be offset by payment costs and abandoned purchases.
- Hybrid checkout: users receive more than one route, but the business must operate and explain both systems.
- Large-app economics: the first-million benefit matters, but the 12% post-threshold share must be included in forecasts.
The 5% Epic Rewards offer may encourage users to use a webshop, but its effect depends on consumer behavior and the terms governing who funds and accounts for the rewards.
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For a qualifying game, the experience could involve tapping an external link, completing a purchase in a browser, signing in to a game or Epic account, and returning to the app to receive the item. That may offer a different price or reward structure, but it can also mean more steps than Apple’s native billing flow.
Best Value
- An Epic Games account is required to redeem an Epic Games Store Card code
- If playing on a console platform (PlayStation Network, Xbox Live, Nintendo Switch or Mobile) you need to link your Epic Games account to that gaming platform (one time) to redeem your gift card code
- The 16 digit code on the back of the card WILL NOT work if redeemed directly through your gaming platform (PlayStation Network, Xbox Live, Nintendo Switch, Mobile, etc.)
- Note: Nintendo devices do not support Fortnite Shared Wallet, so V-Bucks purchased using your account balance will not show up on your Nintendo device. However, if you purchase items in the web Item Shop — or another platform where you play Fortnite — those items will be available in your Locker across all platforms.
- Redemption: Online
Users should check that they are signed into the correct account and understand where to seek help with refunds or missing items. A purchase made outside Apple’s billing system may not follow Apple’s usual refund and support experience.
Status caveat for 2026 readers
The underlying announcement is dated May 1, 2025. The available evidence confirms Epic’s announced 0%/12% structure, webshop concept, June 2025 rollout target, and 5% Epic Rewards statement. It does not independently verify the feature’s complete availability in August 2026, its current supported countries, current contract terms, supported iOS or Android versions, payment methods, or developer adoption.
Epic specifically referenced the United States and European Union in connection with legal developments. That should not be interpreted as worldwide availability. Rules can differ by country, platform, app category, and later legal or policy changes.
The bigger business trade-off
Epic’s proposal shifts platform dependence rather than eliminating it. A developer might rely less on Apple’s billing system while relying more on Epic’s account, commerce infrastructure, rewards program, policies, and business continuity. The developer may still rely on Apple for discovery, installation, updates, device distribution, and review.
The central question is therefore not whether 0% sounds better than 15% or 30%. It is whether the external route produces more net revenue after conversion loss, operating costs, regional restrictions, legal uncertainty, and the value of the platform services that remain necessary.
The Bottom Line
Bottom line: Epic announced a potentially cheaper store-payment tier and an external-webshop strategy aimed at Apple’s payment economics. It was not a universal App Store bypass or a promise of cost-free payments. For developers, the outcome depends on eligibility, geography, checkout conversion, operational costs, and the final terms and availability in the relevant market.
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