According to Epic Games CEO Tim Sweeny, the digital storefront is “hundreds of millions of dollars short of being profitable.”
This is according to Sweeny’s testimony during the Epic vs. Apple trial, where he also stated the company’s digital platform will be in the green “within three or four years.” The Washington Post also reported that a document was entered into evidence for the trial showing that Epic Games Store required $359 million investment from Epic Games from the year following its launch. Another document given to the court on April 8th says Epic expects its store to begin turning a profit in 2023.
The Epic Game Store launched back in 2018, moving into a market dominated by other digital game retailers. By this time, Steam had been operating for 15 years and held an enormous share of the PC gaming market. The Epic Games Store also had to compete with smaller digital storefronts, like Uplay and GOG.
Epic has distinguished its storefront from its biggest competitor by taking a large reduction in commission from developers. Valve takes 30% from every game purchase on Steam, while Epic only takes 12%.
A recent leaked document showed just how much money the Epic Games Store is costing the company, although it’s all part of the process to grow the userbase.