Highlights from Epic Games v Apple trial!
As part of the trial between Epic Games and Apple, the entire financial background of the EGS business was revealed, including the price of “free” games – for the period from December 2018 to September 2019. Epic paid $ 11.6 million for the distribution of games that were “taken away “104.5 million times, should from the documents submitted by Epic in the trial against Apple.
What became known from the court materials in the case of Epic Games v Apple
- A total of 4.9 million, or 5% of all games handed out during this period, were attributed to new users, and the average cost of attracting a new user was $ 2.37.
- The most expensive game in the first nine months of EGS distribution is Batman: Arkham Collection. For it, Epic paid $ 1.5 million and was taken away a record 6.4 million times for that time, of which 614 thousand (10%) were new users. At the same time, LEGO Batman, given away alongside Batman: Arkham Collection, has been picked up 5.2 million times.
- Platformer Celeste became the most expensive in terms of the cost of attracting one new user – the company paid $ 750 thousand for 2.7 million copies distributed, of which only 62 thousand were new users. That is, it comes out at $ 12 each. The Inside platformer has almost the same price tag at $ 11.1 per new user.
- Other notable deals include an agreement with Unknown Worlds worth $ 1.4 million (the survival simulator Subnautica was taken by 4.6 million people, of which 804 thousand people or 17% are new users of EGS) and an exclusive deal with 2K Games worth $ 146 million, of which 115 million came from the release of Borderlands 3.
- Earlier, we learned that the EGS store brought in losses of $ 454 million over the past two years. According to Tim Sweeney, the store should reach recoupment in 3-4 years.
- Fortnite brought Epic in two years about $ 9 billion. In 2018, the company had revenue of $ 5.7 billion, of which Fortnite generated 97%. In 2019, revenue was $ 4.2 billion, and Fortnite’s share fell to 88%. Epic had revenue of $ 5.1 billion in 2020.
- 18.5 million out of 20.7 million became EGS users after giving away one of the games for free. Of these, only 7.13% or 1.32 million people made at least one purchase in a store. The average revenue per user was $ 40. In total, they brought Epic $ 53 million, or 33% of the revenue from in-store purchases.
- Another 2.2 million people became EGS users after purchasing the game. Epic’s average revenue per user is $ 48.7, with a total of $ 107 million, or 67% of total revenue.
- Before Apple and Epic conflict planned, Fortnite Squad, Apple Music, and Apple TV + co-op subscriptions for $ 20 / month – $ 6 less than buying separately. When purchased through the Apple app, Epic would receive $ 5 on each purchase, and through Fortnite, $ 12. How far the negotiations have progressed is unknown.