Apple's Phil Schiller Takes the Stand in Epic Games v. Apple Trial

Today marked the kickoff of the third week of the Epic Games v. Apple trial, and this week is notable because Epic has finished with its witnesses and we're now transitioning to Apple witnesses, including notable Apple executives.

fortnite apple featured
Apple Fellow and former marketing chief Phil Schiller, who is in charge of the App Store, took the stand today. Schiller will testify for up to nine hours, and will see the most questioning out of all of Apple's witnesses.

Schiller's hours of commentary will see him explaining just how the ‌App Store‌ works, the value of the ‌App Store‌ and Apple's SDKs, and why it's important that the judge side with Apple to maintain security and privacy for customers.

Questioning today started with the history of the iPhone, where Schiller made sure to say that security and privacy were the "most important" considerations when developing the ‌iPhone‌. "This new computing device in your pocket means it's capable of new things," he said. "It's going to store information around our lives that we aren't used to having in our pocket."

Schiller covered how the ‌App Store‌ was set up from the beginning. The ‌iPhone‌'s software is "part of the product" that Apple creates, which is very different from Android, which is licensed to device makers. This licensing model "reduces quality" and the "speed of innovation," Schiller said in defense of Apple's setup.

Early questioning covered the transition from Apple-only apps on ‌iPhone‌ to third-party app support, and the security and privacy risks that Apple had to contend with. After the launch of the ‌iPhone‌, Apple heard from developers that they wanted to create native apps, which Apple viewed as the first "demand for quality and security" on ‌iPhone‌.

Apple has always been concerned about jailbroken apps and rogue app developers creating content without documented APIs, which could lead to "unreliable, unstable devices." He pointed out the importance of protecting users from malware to keep devices functioning. "This is your phone in your pocket that needs to work reliably," he said.

Schiller has also been speaking about Apple's ‌App Store‌ policy to treat developers large and small the same, and his testimony has included some interesting little tidbits. Apple wanted to charge $99 for the ‌App Store‌ developer program to prove that an app that's being worked on is "important" and that developers are "serious about making a quality app."

Notably, Schiller said that it costs Apple $50 million for every Worldwide Developers Conference event that it puts on annually, which was used as evidence that Apple's ‌App Store‌ profit margins are not as high as ‌Epic Games‌ has implied.

Schiller also said that 17 percent of the hundreds of thousands of games on the ‌App Store‌ use the freemium model, which was another interesting tidibt that was shared. 75 percent of games are free to download, and six percent require a payment.

On the topic of physical goods, Schiller said that in 2019, the ‌App Store‌ drove $400 billion+ in transactions like food delivery, Amazon purchases, Uber, and more, which are not subject to a 30 percent cut. According to Schiller, Apple does not take a cut of physical purchases because Apple can't guarantee they will actually arrive.

We'll undoubtedly hear additional interesting details from Schiller as his testimony continues, and later this week or early next week Apple CEO Tim Cook is expected to take the stand.

Popular Stories

iPhone 17 Roundup Feature 2

iPhone Design to Change 'Significantly' This Year

Monday February 17, 2025 7:09 am PST by
Apple is set to "significantly change" the iPhone's design language later this year, according to a Weibo leaker. In a new post, the user known "Digital Chat Station" said that the iPhone's design is "starting to change significantly" this year. The "iPhone 17 Air" reportedly features a "horizontal, bar-shaped" design on the rear, likely referring to an elongated camera bump. On the other...
Apple iPhone 16e Feature

Apple Announces iPhone 16e With A18 Chip and Apple Intelligence, Pricing Starts at $599

Wednesday February 19, 2025 8:02 am PST by
Apple today introduced the iPhone 16e, its newest entry-level smartphone. The device succeeds the third-generation iPhone SE, which has now been discontinued. The iPhone 16e features a larger 6.1-inch OLED display, up from a 4.7-inch LCD on the iPhone SE. The display has a notch for Face ID, and this means that Apple no longer sells any iPhones with a Touch ID fingerprint button, marking the ...
iOS 18

iOS 18.4 Coming Next Week With These New Features for Your iPhone

Friday February 14, 2025 6:18 am PST by
The first iOS 18.4 beta for iPhones should be just around the corner, and the update is expected to include many new features and changes. Bloomberg's Mark Gurman expects the iOS 18.4 beta to be released by next week. Below, we outline what to expect from iOS 18.4 so far. Apple Intelligence for Siri Siri is expected to get several enhancements powered by Apple Intelligence on iOS...
iphone 17 pro asherdipps

iPhone 17 Pro Models Rumored to Feature Aluminum Frame Instead of Titanium Frame

Tuesday February 18, 2025 12:02 pm PST by
Over the years, Apple has switched from an aluminum frame to a stainless steel frame to a titanium frame for its highest-end iPhones. And now, it has been rumored that Apple will go back to using aluminum for three out of four iPhone 17 models. In an investor note with research firm GF Securities, obtained by MacRumors this week, Apple supply chain analyst Jeff Pu said the iPhone 17, iPhone...
apple launch feb 2025

Tim Cook Teases an 'Apple Launch' Next Wednesday

Thursday February 13, 2025 8:07 am PST by
In a social media post today, Apple CEO Tim Cook teased an upcoming "launch" of some kind scheduled for Wednesday, February 19. "Get ready to meet the newest member of the family," he said, with an #AppleLaunch hashtag. The post includes a short video with an animated Apple logo inside a circle. Cook did not provide an exact time for the launch, or share any other specific details, so...
Apple 2025 Thumb 1

Two of Apple's Oldest Products Are Finally Getting Updated This Year

Friday February 14, 2025 6:03 am PST by
Apple released the HomePod mini in November 2020, followed by the AirTag in May 2021, and both still remain first-generation products. Fortunately, rumors suggest that both the HomePod mini and the AirTag will finally be updated at some point this year. Below, we recap rumors about the HomePod mini 2 and AirTag 2. HomePod mini 2 In January 2025, Bloomberg's Mark Gurman said Apple is ...
macbook air blue

Gurman: M4 MacBook Air Models to Launch by March 'At the Latest'

Monday February 17, 2025 2:30 am PST by
Apple will begin selling new MacBook Air models featuring its latest M4 chip by March "at the latest," mirroring the time frame of the M3 MacBook Air launch last year, according to Bloomberg's Mark Gurman. Apple last updated the MacBook Air line in March 2024. Gurman's comments appeared in his latest Power On newsletter, suggesting the reporter is no further forward on learning the exact...
iPhone 17 Air Front Page Tech 2

'iPhone 17 Air' With Ultra-Thin Design Allegedly Revealed in New Video

Monday February 17, 2025 6:53 pm PST by
YouTube channel Front Page Tech today revealed the alleged design of Apple's widely-rumored "iPhone 17 Air" model, set to launch later this year. "iPhone 17 Air" render created by @zellzoi for Front Page Tech In a video uploaded today, Front Page Tech shared renders depicting what it believes is likely the final design of the "iPhone 17 Air." The device is expected to feature an ultra-thin...

Top Rated Comments

jom3500 Avatar
49 months ago

How does it cost $50m to run WWDC. Some creative accounting going on there.
I was one of many people responsible for organizing the annual general meeting for Siemens in Germany which lasts around 5-8h (1d). We spent over 4 Mio. € every year for this small event. You have no idea what things you have to plan and take into consideration. It‘s really not that easy
Score: 22 Votes (Like | Disagree)
NMBob Avatar
49 months ago

Given the interest in this case they could at least provide a better sound quality feed.
The court doesn't support lossless audio, either.
Score: 16 Votes (Like | Disagree)
haydn! Avatar
49 months ago
Everyone trying to figure out where that $50m is going, and only focusing on Apple people costs? You're all missing some pretty hefty lines off that invoice!


* Entire venue hire (probably best part of 2-3 weeks solid for setup, event, tear down)
* AV set-up and crew, not just for the main keynote, but all those breakout sessions too. Most large venues come as an empty shell. You have to hire everything from carpets to cabling, as well as your lighting, staging and screens...
* Physical environment - Apple brand the sh*t out of that venue. Those full glass building wraps they've done won't come cheap.
* Keynote production - intro videos, product videos, etc, etc
* Keynote streaming/broadcasting - Apple will be having to hire and dedicate some pretty big resources to simultaneously broadcast WWDC live around the world. Quite possibly involving hiring saterlite or two.
* Breakout session recording and editing - over 100 seperate seminars filmed, edited, etc
* Catering for several thousand people for 5 event days and multiple set-up/tear down days.
* All the merch and promo callateral they'll be handing out.
* And so much more!

An event of this scale, I can see it totalling up pretty big in the end. But just because it 'costs' $50million, doesn't mean that's the bottom line as Apple will be covering some of that with the ticket sales.
Score: 12 Votes (Like | Disagree)
twintin Avatar
49 months ago

$50mil for a week event?
It's probably not just the week event, but also lot of preparation prior that event.
Score: 11 Votes (Like | Disagree)
GSWForever8 Avatar
49 months ago
Wow. These developers are so greedy. After all, they need money to improve Xcode and other things like that, as well as maintaining the App Store. 30% is nothing compared to traditional stores. Dang, Epic and other companies just want money, that's all.
Score: 10 Votes (Like | Disagree)
ArPe Avatar
49 months ago

There’s no way it costs $50 MILLION to put on a developers conference. Apple could rent out the whole convention center for a month for that much $$$. It’s also driving distance from Apple campus so it’s not like they’re flying their engineers in from halfway across the world.
$50 million includes the cost of preparing for ONE YEAR. Prepping, redecorating, presentations, employees, media production, event space, travel plans for guests, etc etc etc etc
Score: 9 Votes (Like | Disagree)