Epic Games has announced a new system for paying creators on Fortnite, the ultra-popular, free-to-download battle royale game. Under this new system, creators will be able to receive direct payments from Epic based on their creations and participation in the game. This is a major change for Fortnite, which has been notoriously difficult to monetize for its developers. This new system could lead to more high-quality content being
Epic Games is rewarding players who help make the game better by creating “islands.” These islands can be either in-game structures or places where players can meet, and Epic will share 40% of all revenue from these islands with creators. This means that even if people don’t spend money on V-Bucks or items in the game, they can still make a profit by developing what Epic sees as a valuable addition to Fortnite.
Given the strict rules and limited resources of an island, it would be interesting to see how users would design their own games with different rulesets and game designs. Would players be able to buildforts, alliances, or trade with each other? Or would they focus on raiding others’ settlements for resources? With a payout based on the popularity of the island and how many users keep returning, there is a lot of potential for creativity and unique in-game experiences.
Epic Games is paying out money to professional game developers and publishers on Fortnite. Developers can publish their own content on the game and get paid out, but Epic themselves are not eligible for a share of the payout. Additionally, professional content creators must have at least 1,000 subscribers or 50 million views for their content on Fortnite to qualify for the program. This effectively limits how much money Epic will be giving out each month.
This announcement is huge for Fortnite because it gives players more opportunities to create and share their own content. This will likely lead to more participation in the game, which is good news for Epic and Fortnite’s overall popularity.
Epic’s new Creator economy 2.0 offers much better incentives for amateur game designers than Fortnite’s existing creator system. Creators have a personal code, and if fans enter their code when buying an item in the Fortnite shop, they will get 5% of the revenue. Becoming eligible for payment means creators must be 18 or older and have an account that’s at least 90 days old, which is more manageable than the previous requirement of a personal code and significantly higher revenue potential than 5% of any purchase made in the Fortnite shop.
Epic’s case against Apple could hinge on the figure of 40%, as the company alleges that the App Store maker is effectively anti-competitive. If Epic can prove that Apple is incenting companies to avoid its in-app purchase framework, then it may be awarded damages. Given Epic’s earlier legal battle with Apple, it seems unlikely that either party will back down anytime soon.
Both companies appealed their respective judgments, each looking to gain an advantage in the market. Judge Richard Posner ruled that Apple was not a monopoly and could not prevent apps from routing customers to a different payment processor, but still recommended that the company support third-party payments. Epic appealed its ruling, insisting that Apple open up these workarounds so they can funnel all payments through its own channels. Both appeals were ultimately rejected by higher courts.
Epic Games’ new Fortnite creator payments model has been met with mixed reactions, with some arguing that the company is unfairly dictating how developers can earn an income and others lauding Epic for its innovative approach. In light of the appeals process between Apple and Epic currently underway, it’s unclear just how much of a role this new payment structure will play in defining Epic’s overall relationship with app developers.
