Y Combinator says Apple's App Store has hindered startup growth
17 days ago
- #Apple vs Epic
- #App Store Fees
- #Startup Innovation
- Y Combinator filed an amicus brief supporting Epic Games in its legal battle against Apple over App Store fees.
- Epic Games sued Apple in 2020, alleging antitrust violations due to Apple's 30% fee on App Store and in-game purchases.
- A judge ruled Apple must allow developers to inform users about alternative payment methods, but Apple introduced a 27% fee for such links.
- Epic accused Apple of violating the court's anti-steering injunction, leading to a ruling forcing Apple to stop restricting alternative payments.
- Apple is appealing the ruling, prompting Y Combinator to argue that the 'Apple Tax' stifles startup innovation and competition.
- Y Combinator claims the 30% fee makes it difficult for app-based startups to scale and reinvest in their businesses.
- The next court argument is scheduled for October 21.
- Correction: Y Combinator is not an investor in Epic Games, contrary to earlier reports.