If it hadn’t been for the bitter failures of Windows in the past, Microsoft probably wouldn’t have sided with Epic Games against Apple.

Surprise against Apple

In a war involving not only those directly involved in the war but also the entire future of the tech world, it is clear that the big guys will choose which side to join. And surprisingly, this past weekend, Microsoft chose to stand Epic Games in the fight against Apple.

Also a platform boss like Apple, why did Microsoft choose to fight “best friend”?

This was really an unexpected decision from many angles. The first reason is because, for many years, Microsoft has returned as “close friends” of Apple. Microsoft CEO Satya Nadella also chose Office for iPad as the opening product of his term, and recently, Microsoft is also one of the first names to participate in building ARM-based Macs.

But the second reason is even more important: like Apple, Microsoft is often thought of first as the platform owner (Windows, Xbox). In this fight, why did Microsoft choose to side with the developer? If Epic wins the lawsuit and Apple loses control of the App Store, Google loses control of Google Play, Microsoft could lose control of Windows and Xbox in a similar way.

Windows: One special exception

To properly understand Microsoft’s paradoxical decision, we first need to look back at the unique position of Windows. Yes, mentioning Microsoft is still referring to Windows, but referring to Windows is referring to a pathetic exception to the tech world: not many tech giants open their platforms to others. roof business like the whole Microsoft.

With the exception of Microsoft, no one unlocks their operating system to let anyone else freely sell apps.

Take a look at the world of technology and you’ll see it. In the current war, Epic Games not only sued Apple, but also Google : just like iOS, Android-by-Google is not a free tool for others. Only a very small number of hardware manufacturers have launched their own app market (for example, Galaxy Apps) on devices that come with Android-by-Google pre-installed. And apps, if they set foot on the Google Play marketplace, will inevitably suffer from the same revenue sharing as Apple.

Even the Linux world, which is also known as “open” as Android, was born to distribute its own software for each distro. The names sunk in the past like BlackBerry or Nokia also applied a similar form of control: set foot on the foundation is to share revenue with “landlords”. And, right now, developers for PlayStation or Switch games are also subject to a 30% share of revenue for Sony or Nintendo.

Of course, if you want to bring apps to Xbox Live service, you also have to share 30% of revenue with Microsoft. Windows alone, Microsoft’s biggest platform, doesn’t follow this model of sharing. The operating system that has been associated with the “personal computer” concept for many years is surprisingly open: anyone can release software as a download (or before). via DVD, via CD-ROM). In addition to the Windows Store, Windows also has countless famous application distribution markets: Steam, Epic Games Store, Origin (EA), Uplay (Ubisoft) …

Not a nice person

After the IE disaster, Microsoft was no longer able to keep Windows as its own.

It is worth mentioning that Microsoft is not “kind” to the extent that it is willing to open its operating system to other companies to make a profit. The simple reason, on the other hand, is simply because Microsoft wants it but can’t do it. In the 1990s, the fact that Microsoft preinstalled IE into Windows to “strangle” rival browsers once made Bill Gates’ company fight against the US. Almost, the US Justice Department made Microsoft split in two.

Perhaps, it is this historic lawsuit that makes Microsoft dare not try to lock down application distribution channels on Windows. But that doesn’t mean the software giant is really “nice”: Microsoft is still looking for ways to get a share of its revenue from app developers until now. Some versions of Windows such as Windows 10S or Windows 10 on ARM are aimed at directing users back to the Microsoft Store market instead of releasing them independently. When releasing through this app marketplace, developers / publishers will obviously have to re-share revenue with Microsoft.

Of course, Windows Phone has similar ambitions. The operating system is as tightly controlled as iOS and Android, and also comes with a single app market, where Microsoft naturally enjoys the share of revenue from developers.

Profit balance

Microsoft has a simple choice: Find ways to protect the sluggish revenue of the Microsoft Store …

Sadly for Microsoft, every developer attempt to grab the pie has failed. During its lifecycle, Windows Phone never captured a 5% market share. Microsoft’s dream of owning a world-dominating app market was officially closed when Windows 10 Mobile died in 2015. All Microsoft Store-centric versions of Windows failed: Windows RT died later. 3 years, Windows 10 on ARM has a “sluggish” market share, Windows 10S has no support.

Ironically, this “failure” is the mother of success. No longer able to depend too much on Windows, Microsoft transformed into a cloud development company, developing the technology behind other developers . The company’s revenue has exploded again – Microsoft has grabbed the number 1 spot in the world in terms of market capitalization from Apple over and over again.

When choosing to side with Apple or the side of Epic Games, Microsoft essentially has to bring two sources of revenue to the balance: revenue from its role as platform owner (Store on Windows, Xbox Live) is more important, or The role of sales to the developer is more important? The software giant’s financial reports over the years have yielded the inevitable. On the one hand, revenue from Windows is sluggish and sluggish, Xbox has been neglected, and no one uses the Microsoft Store app market. On the other hand, software developers increasingly attach importance to Microsoft tools and services.

… or take Epic’s side to defend its number one revenue stream – developers using Microsoft tools and platforms?

Obviously, Microsoft must choose a larger source of revenue. Not to mention, in the Epic winning scenario, Microsoft will have a legal basis to bring its own app market to PlayStation Network, iOS, and Android smartphones with Google Play. Never forget that Microsoft is still a trillionth giant that has more than enough capacity to expand on any platform.

In the end, no giant can reach the trillion mark without wise steps. So did Microsoft: behind Epic Games’ support was not the sublime of a platform owner, but just selfish intentions for the future.