{"id":7108,"date":"2020-08-25T07:00:12","date_gmt":"2020-08-25T07:00:12","guid":{"rendered":"https:\/\/aviancetechnologies.com\/blog\/to-fight-apple-and-googles-grip-fortnite-creator-mounts-a-crusade\/"},"modified":"2020-08-25T07:00:12","modified_gmt":"2020-08-25T07:00:12","slug":"to-fight-apple-and-googles-grip-fortnite-creator-mounts-a-crusade","status":"publish","type":"post","link":"https:\/\/aviancetechnologies.com\/blog\/to-fight-apple-and-googles-grip-fortnite-creator-mounts-a-crusade\/","title":{"rendered":"To Fight Apple and Google\u2019s Grip, Fortnite Creator Mounts a Crusade"},"content":{"rendered":"<p>\u00a0\u00a0 <\/p>\n<p>[responsivevoice_button rate=&#8221;1\u2033 pitch=&#8221;1.2\u2033 volume=&#8221;0.8\u2033 voice=&#8221;US English Female&#8221; buttontext=&#8221;Story in Audio&#8221;]<\/p>\n<h2>To Fight Apple and Google\u2019s Grip, Fortnite Creator Mounts a Crusade<\/h2>\n<p><\/p>\n<div>\n<div class=\"css-53u6y8\">\n<p class=\"css-158dogj evys1bk0\">SAN FRANCISCO \u2014 Tim Sweeney, chief executive and founder of the video game maker Epic Games, has antagonized the world\u2019s most powerful technology giants since at least 2016.<\/p>\n<p class=\"css-158dogj evys1bk0\">That year, Mr. Sweeney, a self-described computer nerd with a slightly nervous energy, lashed out in an op-ed against Microsoft, saying it was attempting \u201csneaky maneuvers\u201d to dominate personal computer games. He also knocked Facebook\u2019s Oculus Rift app store as \u201c<a target=\"_blank\" class=\"css-1g7m0tk\" href=\"https:\/\/twitter.com\/TimSweeneyEpic\/status\/714478222260498432\" title=\"\" rel=\"noopener noreferrer\">disappointing<\/a>\u201d for not being as \u201copen\u201d as it claimed.<\/p>\n<p class=\"css-158dogj evys1bk0\">In 2018, Mr. Sweeney went at it again. He launched Fortnite, Epic\u2019s popular video game, outside Google\u2019s Play Store to bypass its app store fees, which he called a \u201ctax\u201d and \u201cdisproportionate.\u201d And in January at an industry conference, he declared that \u201cundue power has accrued to many of the participants who are not at the core of the industry.\u201d<\/p>\n<p class=\"css-158dogj evys1bk0\">His mission to rein in the power of the tech companies has now reached a fever pitch. Mr. Sweeney is preparing for a protracted legal battle after Apple and Google banned Fortnite, which is played by more than 350 million people, from their stores this month for trying to get around its payment systems. In response, Epic sued both companies, accusing them of violating antitrust laws by forcing developers to use those payment systems.<\/p>\n<\/div>\n<\/div>\n<div>\n<div class=\"css-53u6y8\">\n<p class=\"css-158dogj evys1bk0\">Mr. Sweeney\u2019s yearslong public crusade against the tech Goliaths suggests that the issue is not something he will easily drop. People close to him said the fight was not about money or ego. Instead, they said, it is firmly about principle.<\/p>\n<\/div>\n<aside class=\"css-ew4tgv\" aria-label=\"companion column\"\/><\/div>\n<div>\n<div class=\"css-53u6y8\">\n<p class=\"css-158dogj evys1bk0\">\u201cHe sees a vision of the world that is fair and open,\u201d said Bradley Twohig, a venture capitalist at Lightspeed Venture Partners, which has invested in Epic.<\/p>\n<p class=\"css-158dogj evys1bk0\">Bruce Stein, chief executive of the esports start-up aXiomatic and an investor in Epic, said, \u201cHe was principled before he had the money to not be principled.\u201d<\/p>\n<p class=\"css-158dogj evys1bk0\">How deeply Mr. Sweeney feels about tech power will be key as the fight with Apple and Google escalates. On Monday, a federal judge in the U.S. District Court of Northern California <a target=\"_blank\" class=\"css-1g7m0tk\" href=\"https:\/\/www.courtlistener.com\/recap\/gov.uscourts.cand.364265\/gov.uscourts.cand.364265.48.0.pdf\" title=\"\" rel=\"noopener noreferrer\">temporarily blocked Apple from cutting off support for an Epic software development tool called Unreal Engine. Mr. Sweeney had said that if Unreal Engine were cut off, it would be an \u201cexistential threat\u201d to his company\u2019s $17 billion business. The judge, who did not require Apple to bring Fortnite back to the App Store, will rule again on the matter next month. <\/p>\n<\/div>\n<\/div>\n<div>\n<div class=\"css-53u6y8\">\n<p class=\"css-158dogj evys1bk0\">In an interview last month, Mr. Sweeney, 49, said the stakes of the <a target=\"_blank\" class=\"css-1g7m0tk\" href=\"https:\/\/www.nytimes.com\/2020\/07\/29\/technology\/big-tech-hearing-apple-amazon-facebook-google.html\" title=\"\" rel=\"noopener noreferrer\">antitrust investigations into tech giants like Apple and Google were no smaller than the future of humanity. \u201cOtherwise you have these corporations who control all commerce and all speech,\u201d he said. He declined to be interviewed for this article, citing the active lawsuits, but has written on Twitter that he is \u201cfighting for open platforms and policy changes equally benefiting all developers.\u201d<\/p>\n<\/div>\n<\/div>\n<div>\n<div class=\"css-53u6y8\">\n<p class=\"css-158dogj evys1bk0\">\u201cI don\u2019t think we are going to be swayed unless we get what we think is right,\u201d Adam Sussman, Epic\u2019s president, said in an interview on Monday. \u201cWe will always sacrifice short term for long term.\u201d<\/p>\n<p class=\"css-158dogj evys1bk0\">Other developers have embraced Epic\u2019s cause. Spotify, the music streaming app, and Match Group, the maker of dating apps like Tinder, have released statements applauding Epic\u2019s moves. In a legal brief on Sunday, Epic also outlined Microsoft\u2019s support for it.<\/p>\n<p class=\"css-158dogj evys1bk0\">But to many others, Mr. Sweeney faces an uphill battle. In conversations with a dozen of Epic\u2019s investors and former executives, as well as with deal makers and analysts in the gaming industry, many said that while they supported Mr. Sweeney\u2019s stance, few expected him to prevail in all of his demands against Apple and Google.<\/p>\n<p class=\"css-158dogj evys1bk0\">\u201cIt\u2019s a herculean uphill battle for them to beat Apple in court,\u201d said Dan Ives, an analyst with Wedbush Securities, because Epic violated the terms of the App Store.<\/p>\n<p class=\"css-158dogj evys1bk0\">Asked for comment, Apple referred on Monday to its latest legal filing, in which it said Epic\u2019s \u201c\u2018emergency\u2019 is entirely of Epic\u2019s own making.\u201d Google said it would \u201cwelcome the opportunity to continue our discussions with Epic and bring Fortnite back to Google Play.\u201d<\/p>\n<\/div>\n<aside class=\"css-ew4tgv\" aria-label=\"companion column\"\/><\/div>\n<div>\n<div class=\"css-53u6y8\">\n<p class=\"css-158dogj evys1bk0\">Mr. Sweeney, who grew up in Potomac, Md., and whose father worked for the Defense Mapping Agency, got into technology as a child. At age 9, he learned to code on an Apple II computer. In 1991, as a college student, he started Potomac Computer Systems, selling games on floppy disks via mail from his parents\u2019 basement.<\/p>\n<p class=\"css-158dogj evys1bk0\">He eventually dropped out of the University of Maryland, where he had studied mechanical engineering. In 1992, he changed his company\u2019s name to Epic MegaGames, then later dropped \u201cMega\u201d and moved the start-up to North Carolina.<\/p>\n<p class=\"css-158dogj evys1bk0\">Epic, now based in Cary, N.C., began licensing its tools for graphics and game development \u2014 such as Unreal Engine \u2014 to other companies. That became a steady source of income, smoothing out the hits-or-bust nature of the games business.<\/p>\n<p class=\"css-158dogj evys1bk0\">In Epic\u2019s early days, Mr. Sweeney was an awkward, quirky developer with a renegade streak who spent every waking hour writing code, investors and former colleagues said.<\/p>\n<p class=\"css-158dogj evys1bk0\">But he did get some use out of his Ferraris. \u201cHaving a fancy car is an excellent hobby when you\u2019re a workaholic,\u201d Mr. Sweeney said in an interview <a target=\"_blank\" class=\"css-1g7m0tk\" href=\"https:\/\/www.youtube.com\/watch?v=lRGUKMKadJ8\" title=\"\" rel=\"noopener noreferrer\">posted to YouTube in 2008. \u201cEven if you don\u2019t have any free time, you can still drive to work.\u201d<\/p>\n<p class=\"css-158dogj evys1bk0\">By then, Mr. Sweeney had shown his stubborn streak. When Silicon Knights, a game development company, sued Epic in 2007 over Unreal Engine\u2019s licensing, Epic spent five years and millions in legal costs to win the suit rather than settle.<\/p>\n<\/div>\n<\/div>\n<div>\n<div class=\"css-53u6y8\">\n<p class=\"css-158dogj evys1bk0\">Over the years, Mr. Sweeney also worked diligently to keep control of Epic, which is privately held. In 2012, when Epic considered selling itself, it found two options: It could sell a majority stake in its operations to Warner Bros. for roughly $800 million, or sell a minority stake for the same valuation to Tencent, the Chinese internet company, a person with knowledge of the discussions said.<\/p>\n<\/div>\n<aside class=\"css-ew4tgv\" aria-label=\"companion column\"\/><\/div>\n<div>\n<div class=\"css-53u6y8\">\n<p class=\"css-158dogj evys1bk0\">Even though the Warner plan had more potential business advantages, Epic went with Tencent, which kept Mr. Sweeney in control.<\/p>\n<p class=\"css-158dogj evys1bk0\">His antagonism toward the big tech platforms began a few years later when Epic started building Fortnite, a battle royale-style fighting game that later expanded into a more creative mode where players could build their own games and challenges.<\/p>\n<p class=\"css-158dogj evys1bk0\">\u201cWe wanted to build online games and have a direct relationship with our customers,\u201d Mr. Sweeney said in the July interview. He added that he had discovered that the fees from the app stores meant that Apple and Google could sometimes make more money on a game than its creators.<\/p>\n<p class=\"css-158dogj evys1bk0\">\u201cThat\u2019s totally unjust,\u201d he said. \u201cThat shows the market is out of control.\u201d<\/p>\n<p class=\"css-158dogj evys1bk0\">Epic began work on its own app store, which it introduced in 2018. Epic\u2019s store charges a 12 percent fee when a developer sells its wares through the store, compared with Google\u2019s and Apple\u2019s 30 percent cuts. After Epic created its games store, a competitor, Steam, lowered its fees from 30 percent to 20 percent for the biggest sellers.<\/p>\n<p class=\"css-158dogj evys1bk0\">In 2017, Fortnite became a runaway hit. Investors swarmed, and Epic raised more than $3 billion in funding from backers including Sony, KKR, BlackRock and Fidelity. Even with all the new investors, Mr. Sweeney maintained majority control, allowing him to focus on the long term.<\/p>\n<p class=\"css-158dogj evys1bk0\">\u201cWhen you invest in Epic, you are signing up for a different journey,\u201d Mr. Stein of aXiomatic said. \u201cOne that is focused on the gamer audience, not on quarterly results.\u201d<\/p>\n<\/div>\n<aside class=\"css-ew4tgv\" aria-label=\"companion column\"\/><\/div>\n<div>\n<div class=\"css-53u6y8\">\n<p class=\"css-158dogj evys1bk0\">Mr. Sweeney\u2019s ambitions go beyond the gaming world. Fortnite is not just a place to fight virtual battles, the idea goes, but also a potential home for the \u201cmetaverse,\u201d a digital universe for all kinds of interactions and experiences. In April, nearly 28 million people attended a Travis Scott concert inside Fortnite.<\/p>\n<\/div>\n<aside class=\"css-ew4tgv\" aria-label=\"companion column\"\/><\/div>\n<div>\n<div class=\"css-53u6y8\">\n<p class=\"css-158dogj evys1bk0\">Mr. Sweeney has backed down once from a fight with a tech giant. In April, two years after releasing Fortnite outside the Google Play Store, Epic agreed to offer the game through the store. It said it was doing so because users were encountering \u201c<a target=\"_blank\" class=\"css-1g7m0tk\" href=\"https:\/\/www.theverge.com\/2020\/4\/21\/21229943\/epic-games-fortnite-google-play-store-available-third-party-software\" title=\"\" rel=\"noopener noreferrer\">scary, repetitive security pop-ups\u201d to download and update the app outside the Play Store.<\/p>\n<p class=\"css-158dogj evys1bk0\">Even so, Mr. Sweeney was not afraid to thumb his nose at the Apple App Store and Google Play Store. This month, Epic started encouraging Fortnite\u2019s mobile-app users to pay it directly, rather than through Apple or Google. That violated Apple\u2019s and Google\u2019s rules that they handle all such app payments so they can collect their 30 percent commission.<\/p>\n<p class=\"css-158dogj evys1bk0\">In response, Apple banned Fortnite from its store; Google later did the same. Epic was ready. It rallied its fans around the hashtag #FreeFortnite and published a video satirizing Apple\u2019s famous \u201c1984\u201d ad, which had portrayed Apple as the underdog. The parody included a villain wearing the same sunglasses as Apple\u2019s chief executive, Tim Cook.<\/p>\n<p class=\"css-158dogj evys1bk0\">On Sunday, Epic hosted a #FreeFortnite gaming contest offering anti-Apple hats and digital avatars as prizes. And Mr. Sweeney? He also played along.<\/p>\n<\/div>\n<aside class=\"css-ew4tgv\" aria-label=\"companion column\"\/><\/div>\n<p><script async src=\"\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><\/p>\n<div class=\"post-item-metadata entry-meta\">\n<p class=\"has-background has-very-light-gray-background-color\">Disclaimer: Content may be edited for style and length.\u00a0<a class=\"newsium-categories category-color-1\" href=\"https:\/\/www.nytimes.com\/2020\/08\/25\/technology\/fortnite-creator-tim-sweeney-apple-google.html\" target=\"_blank\" rel=\"noopener noreferrer\">Story Source<\/a><\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p>\u00a0\u00a0 [responsivevoice_button rate=&#8221;1\u2033 pitch=&#8221;1.2\u2033 volume=&#8221;0.8\u2033 voice=&#8221;US English Female&#8221; buttontext=&#8221;Story in Audio&#8221;] To Fight Apple and Google\u2019s Grip, Fortnite Creator Mounts a Crusade SAN FRANCISCO \u2014 Tim Sweeney, chief executive and founder of the video game maker Epic Games, has antagonized the world\u2019s most powerful technology giants since at least 2016. That year, Mr. Sweeney, a &#8230; <a title=\"To Fight Apple and Google\u2019s Grip, Fortnite Creator Mounts a Crusade\" class=\"read-more\" href=\"https:\/\/aviancetechnologies.com\/blog\/to-fight-apple-and-googles-grip-fortnite-creator-mounts-a-crusade\/\" aria-label=\"Read more about To Fight Apple and Google\u2019s Grip, Fortnite Creator Mounts a Crusade\">Read more<\/a><\/p>\n","protected":false},"author":1,"featured_media":7109,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[1,30],"tags":[],"class_list":["post-7108","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news","category-technology"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.4 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>To Fight Apple and Google\u2019s Grip, Fortnite Creator Mounts a Crusade - Aviance Technologies<\/title>\n<meta name=\"robots\" content=\"noindex, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"To Fight Apple and Google\u2019s Grip, Fortnite Creator Mounts a Crusade - Aviance Technologies\" \/>\n<meta property=\"og:description\" content=\"\u00a0\u00a0 [responsivevoice_button rate=&#8221;1\u2033 pitch=&#8221;1.2\u2033 volume=&#8221;0.8\u2033 voice=&#8221;US English Female&#8221; buttontext=&#8221;Story in Audio&#8221;] To Fight Apple and Google\u2019s Grip, Fortnite Creator Mounts a Crusade SAN FRANCISCO \u2014 Tim Sweeney, chief executive and founder of the video game maker Epic Games, has antagonized the world\u2019s most powerful technology giants since at least 2016. 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Aviance Technologies","robots":{"index":"noindex","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"og_locale":"en_US","og_type":"article","og_title":"To Fight Apple and Google\u2019s Grip, Fortnite Creator Mounts a Crusade - Aviance Technologies","og_description":"\u00a0\u00a0 [responsivevoice_button rate=&#8221;1\u2033 pitch=&#8221;1.2\u2033 volume=&#8221;0.8\u2033 voice=&#8221;US English Female&#8221; buttontext=&#8221;Story in Audio&#8221;] To Fight Apple and Google\u2019s Grip, Fortnite Creator Mounts a Crusade SAN FRANCISCO \u2014 Tim Sweeney, chief executive and founder of the video game maker Epic Games, has antagonized the world\u2019s most powerful technology giants since at least 2016. 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