Why are Apple, Google and Epic Games fighting?

Apple and Google have been taking a 30% cut (distribution fee/commission, whatever you call it) on paid apps distributed through their respective stores and on in-app purchases, digital subscriptions in unpaid apps.

The charge has been a point of discontent for years, with several developers accusing the tech giants of exploiting their platform and app store dominance to make money from budding app/game-makers.

Several renowned players, including Spotify, Facebook, Airbnb, have rallied against the 30% commission, saying it forces them to increase the prices of their app/content.

Notably, much of the focus has been on Apple as its App Store is the only source of downloading apps on iOS. On Google's Android, a developer can still try avoiding fees by asking users to sideload, use other stores.

On August 13, Epic Games broke loose.

The company pushed a server-side update for Fortnite that not just bypassed Apple and Google's review system but also gave players of the title a discounted (20%) option to pay directly to Epic for in-game content.

It circumvented the purchase system established by Apple, Google, and took away their 30% cut - a violation of their policies.

Following Epic's stunt, both Apple and Google removed Fortnite from their respective stores.

As this happened, the gaming giant rallied already-incentivized Fortnite fans against Apple and Google by informing them about the conglomerates' monopolistic commission, how it prevented Epic from passing savings to them, and how Fortnite was removed when they pushed an update dodging the fee and giving a discount instead.

Along with garnering support, Epic launched the legal salvo by suing Google and Apple for violations of antitrust laws and exploiting their monopolistic power to take unfair and anti-competitive actions.

The lawsuit against Google also alleged that it forced OnePlus and LG to end/abandon a deal with Epic that would have added a special pre-installed Fortnite launcher on their smartphones.

After the lawsuit, Apple threatened Epic that its Developer account would be terminated on August 28 if it doesn't resolve the violations by removing Fortnite's direct payment functionality.

The action, if taken, would cut Epic's access to Apple's developer tools, which are required to build future versions of Unreal Engine, that Epic licenses to third-party app-makers, as well as for creating games on iOS/macOS.

Denying to back down, Epic Games on August 17 filed for an injunction against Apple, claiming that it strives to damage its business by cutting off developer tools.

It said, "Apple is attacking Epic's entire business in unrelated areas. Epic is likely to succeed on the merits of its claims, but without an injunction, Epic will be irreparably harmed long before final judgment comes."