The creator of the hugely popular video game Fortnite, ‘Epic Games’ is now heading into direct competition with Steam. Capitalising on Fortnite’s success, Epic Games is launching a store where developers can publish their games and achieve their vision of having a direct relationship with players.
So how is this going to be any different from Steam’s strategy? Well firstly, the new store is significantly reducing the revenue split developers will face. Only 12% will go to Epic Games while the other 88% will remain in the hands of the developers. This is a refreshing change from Steam’s 70-30 split with 70% of revenue going to developers. This is a major incentive for game devs and will motivate them to make the switch to Epic’s store.
A few days ago, Valve responded by reducing their revenue split from 30% to 25% beyond $10 million in revenue and 25% to 20% beyond $50 million. Although this change might soften the blow that Epic will deliver, Valve’s revenue cut still seems too large. It’s going to be interesting to see how this one plays out!
The store is going to launch with a hand-curated set of games on PC and Mac, and will then expand throughout 2019 onto other platforms. The players who buy games on Epic’s store will automatically get subscribed to the developer’s news feed, so that they can get notified about game updates and news about upcoming releases.
Epic Games has a strong ongoing Support-A-Creator program, with over 10,000 of the world’s famous content creators, streamers and bloggers connected to them. Developers can opt to participate in a program where these creators will refer the game to their audience in turn receiving a share of the revenue, either through code or affiliate market link. This will help developers increase awareness of their game and improve sales.
The store welcomes games built with any engine. Overall, Epic Games is offering solid competition to Steam in the gaming marketplace space, a necessary intervention as there is none presently. This healthy competition is not only going to help developers, but is also going to drive down game prices affecting players as well. More information about the Epic Games store is going to released during the Game Awards 2018.