NIX Solutions: Apple’s Cloud Gaming Rules Ongoing Dispute

Apple recently relaxed the rules for cloud gaming services on the App Store, including platforms like Xbox Cloud Gaming and GeForce Now. Despite this, Microsoft and Nvidia have yet to release iOS apps, citing concerns over Apple’s policies. In a statement to the UK Competition and Markets Authority (CMA), Microsoft outlined why these changes are still unacceptable.

NIX Solutions

Microsoft’s Objections to Apple’s Policies

Microsoft has openly criticized Apple for creating significant obstacles to launching a native Xbox Cloud Gaming app on iOS. The primary issues revolve around Apple’s 30% commission on in-app purchases (IAP) and its stringent content requirements. According to Microsoft, these conditions hinder the ability to effectively monetize the service and force third-party game developers to modify their games to meet App Store standards. This, Microsoft argues, complicates the entire process and increases costs, making the service less viable.

In its submissions to the CMA, Microsoft detailed the specific challenges it faces in launching a full Xbox Cloud Gaming app on iPhone and iPad. The company pointed out several Apple rules that it believes restrict the capabilities of cloud gaming services. The most pressing concern is Apple’s requirement that all features and content available on other platforms must be accessible in the iOS app via IAP. Microsoft contends that the 30% commission Apple charges for in-app purchases makes the service uneconomical. NIX Solutions adds that the need for developers to remake games to comply with IAP requirements further complicates the process.

Apple’s Response and CMA’s Ongoing Investigation

In response, Apple maintains that it supports cloud gaming through web applications and cites the example of Xbox Cloud Gaming, which, according to Apple, has over 20 million users. Apple also claims that developers generally do not encounter issues with IAP requirements, highlighting Antstream as an example of a service that successfully launched on the App Store, offering more than 1,300 retro games.

The CMA’s investigation, which began last year, is ongoing. The regulator is considering various solutions, including potentially requiring Apple to allow cloud services to use their own payment systems or introducing a “reader mode” for cloud games without IAP capabilities. The CMA plans to release a preliminary report in November, with a final decision expected early next year. We’ll keep you updated as the situation develops.