Wedbush: Apple likely to prevail in ‘Game of Thrones’-style trial against Epic Games
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The note shared by PED30, reveals the Wedbush expert believes this court battle between Epic and Apple, which will start to happen today and will last for 3 weeks, will have a Game of Thrones-style trial with the Cupertino business as the winner.
Daniel Ives thinks Epic took a “calculated and dangerous path” as Apple is under the spotlight in the EU about antitrust around its App Store 30% cut. He writes:
” Epic Games has actually taken a risky and calculated course in going after Apple at a time that Cook & & Co. are under the brilliant spotlight both in the Beltway and in the EU (initial antitrust judgment submitted today) around its App Store fortress and 30% charge structure.”
Over the previous couple of days, weve found out more about the essential arguments that each business will use. For example, court documents reveal iOS represented just 7% of Fortnite income for Epic Games:
” Court files reveal that PlayStation 4 created 46.8% of Fortnites total profits from March 2018 through July 2020, while Xbox One, the second-highest platform, produced 27.5%. iOS ranked fifth, with simply 7% of total income. The remaining 18.7% would have been divided between Android, Nintendo Switch, and PCs.”
Today, a senior Google engineer weakened one of Apples arguments about developers having the choice to construct web apps to operate on the iPhone:
” Apples iOS web browser (Safari) and engine (WebKit) are uniquely under-powered. (…) In practically every location, Apples low-grade implementation of features WebKit already supports needs workarounds.
Either way, Ives thinks Apple is likely to dominate in the trial, as he writes:
” While Epic will play into Fortnites enormous set up base which is unrivaled and drum up assistance (through social media, etc), lawfully Apple has successfully protected its App Store moat once again and once again with this time being no various in our opinion. From a financier viewpoint, the essential services service and its $65 billion+ yearly revenue stream for FY21 stay what we estimate is a $1.3 trillion evaluation alone for this organization and key to future money making efforts with more bundling efforts on the horizon.”
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The remaining 18.7% would have been split between Android, Nintendo Switch, and PCs.”
” Apples iOS web browser (Safari) and engine (WebKit) are uniquely under-powered. Consistent delays in the delivery of crucial functions guarantee the web can never ever be a reputable option to its proprietary tools and App Store. (…) In practically every location, Apples low-grade implementation of features WebKit already supports needs workarounds.