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6th March 2019

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Microsoft has updated its app store policies to give developers a much fairer revenue cut of up to 95 percent.

There are some caveats to Microsoft’s revenue cut. To receive the full 95 percent, the app must be purchased through a deep link directly to your app. If the app is purchased through Microsoft listing it or marketing it somewhere, the developers will receive 85 percent.

App store fees have become a hot topic in recent months. The general feeling among developers is the platform holder’s 30 percent take on the likes of the App Store, Play Store, and Steam is far too high.

On iOS, the lack of alternative app stores means it’s a case of putting up with it or not reaching the lucrative market full stop. On Android, users can install third-party app stores or sideload apps themselves.

For its Android launch of Fortnite, developer Epic Games controversially bypassed the Play Store to avoid the cut taken by Google on in-app purchases. Several fake versions of Fortnite quickly appeared to take advantage of the reduced security.

On Windows, Epic Games recently launched their own game store as a competitor to Steam. The Epic Store only takes a 12 percent cut of the revenue from sales in comparison to Steam’s 30 percent.

“As a developer ourselves, we have always wanted a platform with great economics that connects us directly with our players,” said Epic CEO Tim Sweeney in a statement. “Thanks to the success of Fortnite, we now have this and are ready to share it with other developers.”

Microsoft’s new fees apply to purchases made on Windows 10 PCs, Windows Mixed Reality, Windows Phone, and Surface Hub. However, it excludes purchases made on Xbox consoles.

Interested in hearing industry leaders discuss subjects like this? Attend the co-located IoT Tech Expo, Blockchain Expo, AI & Big Data Expo, and Cyber Security & Cloud Expo World Series with upcoming events in Silicon Valley, London, and Amsterdam.

About the Author

Senior Editor

Ryan Daws is a senior editor at TechForge Media with over a decade of experience in weaving narratives and dissecting complex topics. His articles and interviews with industry leaders have earned him recognition as a key tech influencer from numerous organisations. Under his leadership, publications have been praised by analyst firms for their excellence and performance. Connect with him on X, Mastodon, Bluesky, Threads, and/or LinkedIn.

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