Apple denied Microsoft request to bypass 30% commission for Office
The Epic Games v. Apple trial has revealed additional details about Apple's behind the scenes negotiations with companies like Microsoft, including a request to bypass App Store commissions.
Credit: Microsoft
An email thread from 2012 sheds light on Microsoft's launch of Office for iPad and Apple's reaction to the news. According to CNBC, Apple executives asked Microsoft if it wanted to participate in WWDC that year. Microsoft declined, citing that it wasn't ready for talk about its iPad plans.
The thread, which included App Store executives Phil Schiller and Eddy Cue, also detail some of Microsoft's requests. For one, Microsoft wanted Schiller and Cue to meet with its own executives like Kirk Koenigsbauer -- a current Microsoft senior vice president. Apple's team said yes.
However, Microsoft also asked Apple to allow it to redirect users to its own website to collect purchases and bypass the App Store 30% commission. Schiller denied this request, stating in an email that "We run the store, we collect the revenue."
Other documents and communications revealed in the Epic v. Apple trial show that the two companies shared a friendly partnership over several years.
Apple, for example, appeared to be interested in convincing Epic Games to support its ARKit augmented reality platform. Emails between Epic executives in 2017 suggested that a meeting with Apple occurred to discuss using the iPhone's face tracking technology to create animated characters.
The ARKit discussions between the two companies continued into 2020. After Apple released the iPad Pro with LiDAR, for example, Cupertino executives offered Epic Games a meeting with Apple's ARKit team. It also dangled the possibility of Apple promoting Epic Games at WWDC that year.
Credit: Microsoft
An email thread from 2012 sheds light on Microsoft's launch of Office for iPad and Apple's reaction to the news. According to CNBC, Apple executives asked Microsoft if it wanted to participate in WWDC that year. Microsoft declined, citing that it wasn't ready for talk about its iPad plans.
The thread, which included App Store executives Phil Schiller and Eddy Cue, also detail some of Microsoft's requests. For one, Microsoft wanted Schiller and Cue to meet with its own executives like Kirk Koenigsbauer -- a current Microsoft senior vice president. Apple's team said yes.
However, Microsoft also asked Apple to allow it to redirect users to its own website to collect purchases and bypass the App Store 30% commission. Schiller denied this request, stating in an email that "We run the store, we collect the revenue."
Other documents and communications revealed in the Epic v. Apple trial show that the two companies shared a friendly partnership over several years.
Apple, for example, appeared to be interested in convincing Epic Games to support its ARKit augmented reality platform. Emails between Epic executives in 2017 suggested that a meeting with Apple occurred to discuss using the iPhone's face tracking technology to create animated characters.
The ARKit discussions between the two companies continued into 2020. After Apple released the iPad Pro with LiDAR, for example, Cupertino executives offered Epic Games a meeting with Apple's ARKit team. It also dangled the possibility of Apple promoting Epic Games at WWDC that year.
Comments
The last bit about promoting Epic reinforces what I said in another thread. Apple was VERY friendly to Epic and always promotes them at iPhone keynotes. Little did they know they were sleeping with the devil.
Apple should take gaming to first-party and take it VERY seriously so as*holes like these have less control over product damage. Removing Fortnite was petty and although it doesn’t affect us AI readers much it did affect iPhone users who did play the game hours a day. Apple should invest 5 billion into first-party studios and game engines as a platform security measure and ecosystem stickiness. Throw in a killer M1 Apple TV with first-party M1 games and these game studios will have less leverage against Apple.
Schiller denied this request, stating in an email that "We run the store, we collect the revenue."
Pretty much sums up the logic of this trial.
Yep. Apple should create it's own game engine, just to take market share away from unreal and fuck over Epic. There's no reason why Apple can't, they can hire the best people to do this and give them a blank cheque. It's absolutely nauseating how Epic tried to weaponize it's 13yr old user base against Apple for PR purposes, and how they manufactured the whole controversy out of nothing. They don't give a shit about their users, and they opted to have the app pulled and to screw them over, instead of paying Apple the fair fee just like every single other developer. All this, just so they can monetize Apple's user base for free, and pocket 100% of fortnite micro transactions. This is what this entire shitty trial is based on. Sweeney admitted he would have accepted a special deal from Apple, proving that his "I'm doing this for the small devs!" was a complete and utter lie.
Company, why should Apple allow them to bypass the fee?
how about Microsoft let Apple sell iPhones in their stores too?
are these people all communists owned by China like Tim Weenie?
You call him “Tim Weenie,” homophobic much? In your mind, Tim Cook is a communist even as he runs the world’s largest, by “capitalisation” (the clue is in the word), private enterprise company. Microsoft demanding discounts to improve their bottom line is “communist”?? Are you three years old? Do you have any idea what you are talking about?
I believe if you don’t update the game it doesn’t play(there was an update post removal). The app may be on your iPhone but won’t actually let you play it.
"We run the store, we collect the revenue" would probably be an innocent phrase if app store competition existed on Apple mobile devices but as that isn't the case, it takes on a more negative connotation with regards to comsumer protection and general competition.
The Windows App Store has iTunes in its listing. Do Microsoft get a cut of every song Apple sells through iTunes? I doubt it.
Also, Apple Music on Android uses its own payment system, not Google Play's version of in app purchases.
Apple are quite happy to be the exception on other people's platforms.
I saw Microsoft mot wanting to give up 30% makes them the greedy ones. Microsoft, one of the biggest corporations in the world.
Yah, but Microsoft would not sell iPhones (shelf space) for free, and that's exactly what these companies want from Apple. Free shelf space.
it’s enough the entire mobile industry ripped off their work, what more do you want from Apple? Free shelf space? Oh yeah, that’s exactly what you’re arguing for.
It's like the EU, US, China etc saying 'our territory, our rules' and Apple's rules have to fit in with those.
This trial might conclude that Apple isn't complying correctly.