Epic Games Store Sees Surge in Indie Developers Following Revenue Share Policy Update
5/08/2025Epic Games Store Sees Surge in Indie Developers Following Revenue Share Policy Update
On May 8, 2025, Tim Sweeney, CEO of Epic Games, shared promising news on X about the Epic Games Store (EGS): a notable influx of indie developers preparing to launch their games on the platform. This development comes on the heels of Epic's policy update announced on May 1, 2025, which introduced a 0% store revenue share for the first $1 million in revenue per app annually, alongside the launch of Epic Webshops for developers to host their own online stores. While this move has sparked discussions about Epic's strategy to rival Steam, consumer reactions highlight a mixed reception.
A Transformative Policy for Indie Developers
The Epic Games Store's revised revenue-sharing model represents a significant shift from its previous framework. Historically, EGS took a 12% revenue share after a six-month exclusivity period for developers-a rate already competitive with Steam's standard 30% cut (which decreases to 20% after $50 million in revenue). However, the new policy, effective June 2025, waives the revenue share entirely for the first $1 million earned per game each year. Additionally, Epic Webshops enable developers to create their own branded storefronts hosted by EGS, offering greater control over sales and customer interactions.
This change is a strategic effort to attract indie developers, who often operate on limited budgets and depend on early revenue to sustain their projects. A GamingOnLinux article from May 3, 2025, suggests this policy could draw developers away from platforms like Itch.io, known for its low fees, or even from self-hosting solutions, as Epic now absorbs payment processing fees for that initial $1 million threshold. For small studios, retaining 100% of their revenue up to this point is a compelling incentive, unmatched by other major platforms.
Tim Sweeney's X post on May 8, 2025, highlights the policy's immediate impact: "Seeing a big influx of indie developers preparing to launch games on the Epic Games Store following the '0% store revenue share on first $1M per game per year' update!" His enthusiasm underscores Epic's broader objective of diversifying its store's library, which has heavily relied on Fortnite and weekly free game promotions to attract users.
Epic's Ongoing Challenge to Compete with Steam
While the policy benefits developers, the Epic Games Store continues to face hurdles in establishing itself as a strong competitor to Steam. Since its launch in 2018, EGS has struggled to match Steam's feature set and user engagement. A 2020 PCMag comparison emphasized Steam's robust community features-such as forums, user reviews, and the Steam Workshop for mods-that enhance the gaming experience. In contrast, EGS has been criticized for its minimalistic interface and lack of comparable features. This sentiment was echoed in a reply to Epic's May 1 announcement by user Kit_EA1: "This legit sounds great but would you ever think about customers? You're still miles away from feature parity with Steam."
Financially, Epic has also faced challenges with its third-party game sales. A Neowin report from February 14, 2025, revealed an 18% drop in third-party game revenue on EGS in 2024, totaling $255 million, despite overall user spending reaching $1.09 billion-primarily driven by Fortnite. The GamingOnLinux article further notes that third-party game revenue has declined for two consecutive years, raising concerns about the store's long-term viability. Critics argue that EGS's user base is mainly interested in Fortnite and free games, with one commenter stating, "99.99% of its users only care about Fortnite and the weekly free games, so no games will hit the threshold." This suggests that while the new revenue policy may attract developers, it could deepen Epic's financial losses if user spending on third-party titles doesn't rebound.
Consumer Focus Shifts to Fortnite's iOS Return
The replies to Sweeney's X post reveal a disconnect between Epic's developer-focused announcement and its user base's priorities. Instead of engaging with the indie developer news, most users fixated on Fortnite's anticipated return to the iOS App Store in the U.S., following a recent court ruling in Epic's favor against Apple. On May 1, 2025, Variety reported that a District Court found Apple in violation of a court order from the Epic Games v. Apple lawsuit, clearing the way for Fortnite's return to iOS. Sweeney confirmed that Fortnite would reappear on the U.S. iOS App Store the following week, though he noted that international challenges persist.
Users such as asdesteve, Furious2255, and user802567403 inundated Sweeney's post with requests for updates on Fortnite's iOS release, with comments like "so fortnite mobile when" and "When is Fortnite coming in the us for iOS I'm tryna play with the homies." Others, like xor2221, requested additional Fortnite-related features, such as integrating Star Wars content into the Unreal Editor for Fortnite (UEFN). This focus on Fortnite highlights a broader challenge for Epic: while the company seeks to broaden its store's appeal through indie titles, its user base remains predominantly centered on its flagship game.
Implications for the Future of Epic Games Store
The influx of indie developers signals a promising future for the Epic Games Store, indicating that its new revenue-sharing model resonates with smaller studios. By eliminating financial barriers for the first $1 million in revenue, Epic positions itself as a haven for indie developers, potentially diversifying its library and attracting a wider range of gamers. The introduction of Epic Webshops further empowers developers, providing a direct channel to connect with players beyond the EGS storefront.
However, Epic's success depends on addressing consumer-facing challenges. As Kit_EA1 noted, EGS lags behind Steam in features and user experience, and without significant improvements, it may struggle to convince gamers to shift from Steam's ecosystem. The financial risk of the 0% revenue share model is also noteworthy-Epic could "bleed even more money," as GamingOnLinux cautions, if third-party sales don't recover. While Fortnite's revenue has sustained EGS, with $1.09 billion in total user spending in 2024, the store's long-term sustainability hinges on cultivating a loyal user base for third-party titles.
For now, the Epic Games Store is taking a bold step to support indie developers, but its path to becoming a true rival to Steam remains challenging. As the gaming industry observes this policy's rollout, one thing is evident: Epic is betting heavily on indie talent to redefine its platform's future-whether consumers will follow remains to be seen.