Epic, makers of the wildly popular Fortnite video-game, have waged a one-company war against the "app tax" - the 15-30% rake that the mobile duopoly of Apple/Google take out of every penny we spend inside of apps.
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Cory Doctorow
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Epic's own digital practices are hardly spotless: just this year, the company was caught cheating players - many of them children - with deceptive practices and had to refund over $72m:
ftc.gov/enforcement/refunds/fo…
But in this fight, Epic is on the side of the angels. The 30% that Apple/Google sucks out of the mobile economy is a brutal tax, and not just on app makers.
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Fortnite Refunds
Federal Trade CommissionCory Doctorow
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Patreon performers recently raised a stink when the company announced that it would be clawing back 30% of the money pledged by their supporters - that 30% surcharge is passed straight through to Apple/Google:
theverge.com/2024/8/12/2421862…
From independent news outlets to crafters selling their work out of small storefronts, all the way up to massive entertainment services like Disney Plus and Fortnite, the mobile cartel takes 30% out of every dollar.
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Patreon: adding Apple’s 30 percent tax is the price of staying in the App Store
Emma Roth (The Verge)Cory Doctorow
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It's a racket they maintain with onerous rules that ban apps from using their own payment processors, or even from encouraging users to click a link that brings them to a web-based payment screen.
30% is a *gigantic* markup on payment processing. It's *ten times* the going rate for payments in the USA, already one of the most expensive places in the world to transfer money from one party to another. In the EU, payment processing typically runs 1%...or less.
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Cory Doctorow
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But crafters, Patreon users and small-town newspapers are in no position to fight Google/Apple. Instead, we get Epic, a multi-billion-dollar company that's gone to the mattresses to fight these multi-trillion-dollar companies. Personally, I *dote* on billionaire-on-trillionaire violence.
Epic was wildly successful. It mopped up the floor with Google, securing an especially punitive award from a judge who was furious that Google had destroyed evidence:
pluralistic.net/2023/12/12/im-…
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Pluralistic: An Epic antitrust loss for Google (12 Dec 2023) – Pluralistic: Daily links from Cory Doctorow
pluralistic.netCory Doctorow
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Epic also won against Apple, though not as thoroughly as it had with Google, because Apple had the commonsense not to get up to the kind of shenanigans that make federal judges very, very mad. In the Google case, the court found that Google had acted as a monopolist and ordered it to open up the payment system in Google Play, a direct blow to the Android app tax.
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Cory Doctorow
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In the Apple case, the judge did *not* find that Google had acted as a monopolist, but did rule that the App Store's payment processing racket violated the law, and ordered Apple to end its own app tax:
techcrunch.com/2025/04/30/epic…
That's where things get gnarly. Apple is addicted to corrupt sources of income - like the tens of billions it illegally receives every year in bribes from Google make it the default search:
apnews.com/article/google-anti…
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Epic Games just scored a major win against Apple | TechCrunch
Kirsten Korosec (TechCrunch)Cory Doctorow
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And it really, really *loves* the app tax. When the EU ordered Apple to allow third-party app stores (as a way of killing the app tax), the company cooked up a malicious compliance plan that was *comically* corrupt:
pluralistic.net/2024/02/06/spo…
So, the mere fact that a federal judge had ordered Apple to open up its app store to competing payment processors was not going convince Apple to actually *do* it.
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Pluralistic: Apple to EU: “Go fuck yourself” (06 Feb 2024) – Pluralistic: Daily links from Cory Doctorow
pluralistic.netCory Doctorow
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Instead, Apple cooked up a set of rules for third-party payment processing that would make it *more* costly to use someone else's payments, piling up a mountain of junk fees and using scare screens and other deceptive warnings to discourage users from making payments through a rival system:
thebignewsletter.com/p/judge-r…
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Judge Rules Apple Executive Lied Under Oath, Makes Criminal Contempt Referral
Matt Stoller (BIG by Matt Stoller)Cory Doctorow
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That's the kind of thing that is apt to make a federal judge angry - and, as noted, angry federal judges can make life very hard for tech monopolists, a lesson Google learned when it destroyed key evidence in its Epic case. But Apple didn't just flout the court order - they *lied about it* to cover it up, and Judge Yvonne Gonzalez Rogers is *furious*.
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Cory Doctorow
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She held that Alex Roman, Apple's Vice-President of Finance, "outright lied under oath," and she has raised the possibility of *criminal* contempt penalties for Apple:
regmedia.co.uk/2025/05/01/pace…
The judge further wrote:
> This is an injunction, not a negotiation. There are no do-overs once a party willfully disregards a court order. Time is of the essence. The Court will not tolerate further delays.
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Cory Doctorow
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> As previously ordered, Apple will not impede competition. The Court enjoins Apple from implementing its new anticompetitive acts to avoid compliance with the Injunction. Effective immediately Apple will no longer impede developers’ ability to communicate with users nor will they levy or impose a new commission on off-app purchases
In other words, *any* junk fees, *any* impediments to opening up third party payments, will be switfly and harshly dealt with.
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Cory Doctorow
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As of *right now* developers can start to build third-party payments into their apps and Apple *cannot* block them. It's the end of the app tax, a source of about $100b/year for Apple:
theregister.com/2025/05/01/app…
The world is on fire and everything is terrible, but we are also living through the most consequential season in the history of the war on corporate tech power.
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Cook'd: Judge says Apple lied to court in Epic case, asks Feds to mull criminal charges
Simon Sharwood (The Register)Cory Doctorow
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Google has been convicted *three times* of being a monopolist and is almost certainly going to have to sell off Chrome, most of its ad-tech stack, and possibly Android. Meta just put up a *pathetic* showing in an equally serious antitrust case that could see it forced to sell off Instagram and Whatsapp:
pluralistic.net/2025/04/11/it-…
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Pluralistic: Zuckerberg in the dock (11 Apr 2025) – Pluralistic: Daily links from Cory Doctorow
pluralistic.netCory Doctorow
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Countries around the world have passed big, sweeping, muscular antitrust laws specifically aimed at smashing corporate tech power, like the EU's Digital Markets Act and Digital Services Act:
eff.org/pages/adoption-dsadma-…
Most importantly, all of this is happening from the bottom up. There is no dark money campaign to fuck up the tech companies.
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DSA/DMA Adoption: Our Analysis
Electronic Frontier FoundationCory Doctorow
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The politicians and enforcers who are taking on Big Tech are being shoved from behind by billions of everyday people who are furious and refuse to take it any longer:
pluralistic.net/2025/04/10/sol…
I am deeply grateful for the public servants who have championed this cause, but I also know that these people are the *effect* of our movement, not the *cause*.
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Pluralistic: The most remarkable thing about antitrust (that no one talks about) (10 Apr 2025) – Pluralistic: Daily links from Cory Doctorow
pluralistic.netCory Doctorow
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When Kier Starmer fires Britain's brilliant and effective top competition enforcer and replaces him with the former head of Amazon UK, that does *nothing* to tamp down the political outrage that Britons feel towards America's tech giants:
pluralistic.net/2025/01/22/aut…
All over the world, countries that passed IP laws to protect US tech interests in exchange for tariff-free access to US markets are grappling with the end of free trade with America.
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Pluralistic: Keir Starmer appoints Jeff Bezos as his “first buddy” (22 Jan 2025) – Pluralistic: Daily links from Cory Doctorow
pluralistic.netCory Doctorow
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This represents a generational opportunity to pass laws that enable local technologists to jailbreak US tech exports and liberate their people from the extractive practices of Big Tech forever:
archive.is/CiBIz
There is nothing harder to stop than an idea whose time has come to pass.
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Cory Doctorow
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I'm on a 20+ city book tour for my new novel *Picks and Shovels*.
Catch me in #NEWZEALAND at UNITY BOOKS in #AUCKLAND TODAY (May 2, 6PM):
eventbrite.co.nz/e/an-evening-…
and #WELLINGTON TOMORROW (May 3, 3PM):
unitybooks.co.nz/news-and-even…
More tour dates (PDX, Pittsburgh, London, Manchester) here:
martinhench.com
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SOLD OUT An Evening With Cory Doctorow
EventbriteCory Doctorow
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Image:
Alex Popovkin, Bahia, Brazil from Brazil (modified)
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CC BY 2.0
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Hubertl (modified)
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CC BY-SA 4.0
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File:Annelid worm, Atlantic forest, northern littoral of Bahia, Brazil (16107326533).jpg - Wikimedia Commons
commons.wikimedia.orgFluffy Kitty Cat
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Cory Doctorow reshared this.
Fedi.Tips
Unknown parent • • •@peaoPerdido
They are on a server that has been customised to allow text formatting. More info about this at fedi.tips/is-mastodon-compatib…
Is Mastodon compatible with rich text formatting such as Markdown? | Fedi.Tips – An Unofficial Guide to Mastodon and the Fediverse
fedi.tipspeaoPerdido
Unknown parent • • •@FediTips
Sorry for something entirely unrelated to the post. But how do you make those purple text?