Epic Games’ ‘MegaGrant’ makes EU alternative app store, AltStore PAL, available for free | TechCrunch

AltStore PAL, an app that takes advantage of the EU’s Digital Markets Act (DMA) to bring a third-party app store to EU users, is now available for free, thanks to Epic Games. The app maker announced via social media posts on Wednesday it’s the latest recipient of a “MegaGrant” monetary award from Fortnite maker Epic Games, which will allow it to cover Apple’s Core Technology fee going forward, as well as make AltStore PAL free to users, no more subscription required.

The alternative app store was created by Riley Testut, the developer behind the video game emulator Delta, and longtime friend and business partner Shane Gill. The app launched following the implementation of the EU’s DMA, initially with two apps — Delta and the AltStore’s own clipboard manager, Clip. Unlike Apple’s App Store, anyone can distribute their app on the AltStore through self-publishing, the company said.

Though AltStore was experimenting with new business models for app distribution and monetization, like Patreon-backed apps, the app required a small €1.50 annual subscription fee from users. Testut had explained that the decision to charge a subscription was solely due to the fact that the AltStore PAL wouldn’t otherwise be able to pay Apple’s Core Technology Fee themselves as a donations-backed, free app.

As the company shared in its social media posts, Epic Games granted the AltStore PAL a MegaGrant that it plans to use to cover Apple’s Core Technology Fee going forward. As a result, it is dropping subscription pricing.

MegaGrants, first announced in 2019, come from a $100 million fund from Epic Games designed to support “game developers, enterprise professionals, media and entertainment creators, students, educators, and tool developers worldwide” who are working with Epic’s Unreal Engine or improving open source capabilities in the 3D graphics community. The awards from the grants range from $5,000 to $500,000, Epic said when debuting the new fund.

Epic Games declined to disclose the size of the grant awarded AltStore PAL, when reached for comment.

The company, however, has been a notable thorn in Apple’s side for years, after suing the iPhone maker over antitrust concerns with regard to its App Store. Though Apple largely won that case, the judge decided that developers should be allowed to point users to their own websites for transactions and payments — something they can now do but only for a slightly reduced commission of 27%, Apple decided. Epic Games has also loudly criticized Apple’s implementation of its DMA compliance plan, which introduced new business rules for developers in the region and added new fees. That includes the Core Technology Fee, which Epic is now covering for AltStore PAL.

In addition to dropping the subscription fee, AltStore PAL told its users who already paid they will not be charged again when it comes time for renewal.