After paying for content delivery and other services, Epic's profit is about 5% of gross revenue, though with economies of scale, this could increase to 6–7%.
For other developers, Epic takes a 12% share of revenue, the rest going to the developer, and for any games developed using the Unreal Engine, Epic forgoes the 5% revenue-based fee for those games sold through their storefront. Both web and application allow players to purchase games, while through the launcher the player can install and keep their games up to date.Įpic's newer games will be exclusively available through its store and the company plans to fund developers to release exclusively through their store, using revenue guarantees to developers that opt for this, with Epic paying the difference should a game underperform.
The Epic Games Store is a storefront for games available via the web and built into Epic Games' launcher application. Criticism from users has been drawn to Epic Games and those developers and publishers opting for exclusivity deals, asserting that these are segmenting the market. Epic also offered users one or two free games each week for the first five years of its operation to help draw users. By launch, Epic Games had settled on a 12% revenue cut for titles published through the store, as well as dropping the licensing fees for games built on their Unreal Engine, normally 5% of the revenue.Įpic Games enticed developers and publishers to the service by offering them time-exclusivity agreements to publish on the storefront, in exchange for assured minimum revenue, even if Epic made a loss on under-performing games. Tim Sweeney, founder and CEO of Epic Games, had stated his opinion that the revenue cut of Steam, the dominant game storefront run by Valve, was too high at 30%, and suggested that they could run a store with as little as an 8% cut while remaining profitable. Epic Games has further plans to expand the feature set of the storefront but it does not plan to add as many features as other digital distribution platforms, such as discussion boards or user reviews, instead using existing social media platforms to support these.Įpic entered the distribution market after the success of Fortnite, which Epic distributed by their own channels to users on Windows and macOS systems rather than other storefronts. The storefront provides a basic catalog, friends list management, matchmaking, and other features. It launched in December 2018 as both a website and a standalone launcher, of which the latter is required to download and play games. The Epic Games Store is a digital video game storefront for Microsoft Windows and macOS, operated by Epic Games.
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