Sony and Kirkbi Invest $2 Billion in Epic Games’ Meta Vision

Epic Games has raised $2 billion in a funding round that will fuel the company’s ambition to build a metaverse. Investments of $1 billion each came from existing shareholder Sony Group and Kirkbi, the family-owned company that owns 75 percent of the Lego Group. Epic continues to have a single class of common stock outstanding and remains controlled by founder and CEO Tim Sweeney, who launched the company in 1991. The fresh funds — the largest game company raise since 2002, according to PitchBook Data — positions Epic’s post-money equity valuation at $31.5 billion, the company says. Continue reading Sony and Kirkbi Invest $2 Billion in Epic Games’ Meta Vision

Epic’s Unreal Engine 5 Out of Preview and Into Wide Release

After nearly a year in preview, Epic Games’ Unreal Engine 5 is now in general release. Availability of the next-generation real-time 3D platform was announced at Tuesday’s State of Unreal 2022 event. Empowering “both large and small teams to really push the boundaries of what’s possible, visually and interactively,” UE5 offers more fidelity and flexibility than previous iterations. Although it has been battle-tested on “Fortnite” and “The Matrix Awakens” demo for PlayStation 5, Epic says some UE5 features “have not yet been validated for non-games workflows.” Continue reading Epic’s Unreal Engine 5 Out of Preview and Into Wide Release

Judge Loosens Apple Stranglehold on App Developer Profits

Apple’s notoriously strict terms of doing business in its App Store appear to be loosening. A federal judge has ordered the company to allow developers to offer customers alternative payment methods after ruling that all payments go through Apple violate California’s unfair competition laws. Apple is ordered to within 90 days begin allowing developers to include in their apps payment links to processors other than the App Store. Developers now see a path to avoid handing Apple commissions of up to 30 percent for handling sales through the $100 billion online market.  Continue reading Judge Loosens Apple Stranglehold on App Developer Profits

Apple Chief Exec Tim Cook Testifies in Trial with Epic Games

“Fortnite” creator Epic Games sued Apple over its 30 percent commission on all App Store transactions. That case is now in court, and Apple chief executive Tim Cook took the stand to defend his company against accusations of monopolistic behavior. On the sidelines are other companies with the same grievance and the European Union, which also charged Apple with violating antitrust rules with the App Store. In an hour of testimony, Cook stated that commissions from app developers help the company create better App Store security. Continue reading Apple Chief Exec Tim Cook Testifies in Trial with Epic Games

Apple, Epic Games Trial to Determine Anticompetition Charge

The lawsuit between Apple and Epic Games has come to trial and is expected to last about three weeks. Epic sued the Big Tech company over its App Store rule that developers must use its payment system, for which it charges a 30 percent fee. Epic Games has also sued tech giant Google for the same issue on its Play Store. The European Union has similarly charged Apple with violating antitrust laws. At the trial, Epic’s lawyers will argue a legal theory that Apple is using its dominant position to stifle competition. Continue reading Apple, Epic Games Trial to Determine Anticompetition Charge

Google Joins Apple in Reducing App Store Commission Fees

Google is following in Apple’s footsteps by lowering the commissions it charges app developers in its Google Play Store. Apple and Google, currently the primary marketplaces for apps, charge developers 30 percent for app sales and in-app purchases. Now, beginning in July, Google stated it will lower the traditional fee to 15 percent for the first $1 million developers earn. That is slightly different than Apple’s plan, which is to lower its rate to 15 percent for developers who generate less than $1 million in annual sales. Continue reading Google Joins Apple in Reducing App Store Commission Fees

Judge Rules That Apple Can Block ‘Fortnite’ From App Store

In the latest update to the ongoing battle between Apple and Epic Games, Judge Yvonne Gonzalez Rogers of the Northern District of California ruled that Apple does not have to reinstate Epic’s game “Fortnite” in its App Store. Epic Games, to avoid Apple’s 30 percent commission on apps sold in its store, offered its users a way to download the game on its own site. In retaliation, Apple banned “Fortnite” from the App Store. Gonzalez Rogers said Apple could continue to ban “Fortnite” because Epic violated its contract. Continue reading Judge Rules That Apple Can Block ‘Fortnite’ From App Store

App Developers Team to Oppose Apple, Google Store Rules

Thirteen app developers including Basecamp, Epic, Match Group and Spotify formed the nonprofit Coalition for App Fairness to oppose some of the policies of Apple’s App Store and the Google Play Store. Coalition spokeswoman Sarah Maxwell said the impetus for forming the group was to recognize “we’re not alone in this, and maybe what we should do is advocate on behalf of everybody.” Apple and Google have been scrutinized by regulators in the U.S. and the European Union; the Justice Department is expected to file an antitrust suit against Google shortly.

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Apple Reveals a Number of Changes to Its App Store Rules

In response to complaints from developers, Apple tweaked rules surrounding in-app purchases for iPhone and iPad games that stream directly from the Internet. The company is not changing the 15 to 30 percent fees for app downloads, in-app purchases and subscriptions — a major bone of contention for many developers — but is applying the fees to fewer situations. This change and several others, however, does not impact the existing legal battle between Apple and Epic Games, and Epic chief executive Tim Sweeney criticized Apple’s latest move. Continue reading Apple Reveals a Number of Changes to Its App Store Rules

Epic Games Wins a Partial Victory in Legal Battle With Apple

U.S. District Judge Yvonne Gonzalez Rogers ruled that Epic Games can maintain access to Apple’s Developer Tools but that its game “Fortnite” will stay out of its App Store. “Apple has chosen to act severely, and by doing so, has impacted non-parties, and a third-party developer ecosystem,” wrote the judge. Epic Games founder and chief executive Tim Sweeney is battling Apple and Google over their app store commissions. Apple’s response to the ruling was to state it looked “forward to making our case to the court in September.” Continue reading Epic Games Wins a Partial Victory in Legal Battle With Apple

Epic Requests Stay of Its Ban From Apple Developer Program

The dispute between Apple and Epic Games over in-app payments has heated up, with the “Fortnite” game developer accusing Apple of threatening to remove it from the Apple Developer Program, thus blocking its access to iOS and macOS developer tools. Apple said it would do so by August 28 if Epic Games does not comply with its App Store rules. Epic has asked a federal judge to issue a stay, claiming the ban would cause “unquantifiable and irreparable” damage to the company and its 350 million registered players. Continue reading Epic Requests Stay of Its Ban From Apple Developer Program

Epic Games Intros Unreal Engine 5 With Dynamic Rendering

Epic Games showcased Unreal Engine 5, with its heightened ability to generate realistic graphics in real time on next-generation game platforms from PlayStation 5 to smartphones. Epic Games chief executive Tim Sweeney stated that Unreal Engine 5, which will roll out in 2021, will offer “a real generational leap in new features … [and] will be a straightforward upgrade for anyone working with Unreal Engine 4.” Epic Games also worked closely with Sony so its games can “take full advantage” of the new engine. Continue reading Epic Games Intros Unreal Engine 5 With Dynamic Rendering

Epic Games Becomes Game Publisher, Acquires Cubic Motion

Last week, Epic Games revealed its plans to fund, introduce and market new multi-platform video games, under the new Epic Games Publishing division. Epic Games stated that it will fund “up to 100 percent of all game development costs … studios will retain 100 percent control of their intellectual property … [and] once costs are recouped developers will earn at least 50 percent of profits.” Epic games also acquired Cubic Motion, which offers automated performance-driven facial animation technology. Continue reading Epic Games Becomes Game Publisher, Acquires Cubic Motion

Epic Opens Digital Store with Favorable Split for Publishers

For 10+ years, video game developers have given up 30 percent of their revenue from digital stores run by Apple, Google, Microsoft, Sony and Valve, which also take a percentage of in-game purchases via a revenue-sharing model that has become the industry standard. Now, Epic Games founder/chief executive Tim Sweeney, whose company put out the immensely popular “Fortnite,” opened a digital store that collects only 12 percent of sales. Sensor Tower reports that an average of $114.5 million was spent between the combined top game publishers in Android and Apple stores last quarter. Continue reading Epic Opens Digital Store with Favorable Split for Publishers

Microsoft Promotes HoloLens 2 at Annual Build Conference

Microsoft’s Build developer conference got off to a bit of a rocky start on Monday. During the keynote, meant to demonstrate how the HoloLens 2 augmented reality headset could recreate the Apollo 11 moon landing in mixed reality, the presenters ran into technical difficulties. Microsoft partnered with Epic Games and Industrial Light & Magic chief creative officer John Knoll for the ambitious demo that worked well during earlier rehearsals. Despite the tech glitches during the live presentation, the HoloLens 2 remains an impressive device. A recording of the demo, captured as intended during rehearsals, is available on YouTube.

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