Fortnite developer Epic Games has revealed a major change in its business model that could shake up the app store.

In a move designed to benefit developers, the company will now offer a zero-commission policy for the first $1 million (A$1.5m) in annual revenue generated by any app on its platform.

After surpassing this threshold, Epic will apply a standard 12% commission rate.

The policy, which takes effect in June, is seen as a major challenge to the 30% commission charged by competitors like Steam and Apple’s App Store.

The change positions Epic Games as an attractive option for independent developers looking to retain a larger share of their earnings. For comparison, Apple and Steam charge commissions ranging from 15% to 30%, depending on revenue, making Epic’s offer a game-changer, especially for smaller developers.

App store

But the news doesn’t stop there. Epic Games also unveiled a new initiative called “webshops” aimed at circumventing Apple’s App Store fees. The feature will allow developers to sell their apps and digital content through Epic’s platform, bypassing Apple’s commission structure entirely.

Webshops will be available starting next month on any platform that allows them, including iOS devices in the EU and the US.

Epic’s stance comes after a court ruling that went in the company’s favour in its ongoing legal battle with Apple. A California court ordered Apple to stop imposing fees on purchases made outside of the App Store, which is set to make Fortnite’s return to iOS devices possible.

Epic CEO Tim Sweeney has offered a “peace plan” to Apple, proposing that the game return globally if Apple applies the court’s ruling worldwide and ends the ongoing litigation.

While Apple has expressed plans to appeal, the ruling is already causing ripple effects across the industry, with other companies like Spotify celebrating the decision as a victory for developers.

For consumers, this could mean cheaper apps and a broader range of payment options.