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Apple raked in more profits from games than Xbox maker Microsoft, gaming giants Nintendo and Activision Blizzard and PlayStation maker Sony — combined — in its fiscal year 2019, according to a Wall Street Journal analysis of figures released as part of the company’s recent antitrust trial.
Apple’s operating profits from games that year totaled $8.5 billion, according to the Journal analysis, exceeding the other four companies’ combined gaming operating incomes in the same period. The tech giant said operating margins discussed during the trial were flawed and as a result are too high.
The key is the App Store, its digital marketplace, where the company sells and distributes thousands of games by other companies and developers, from Epic Games’s “Fortnite” to Tencent Holdings’s “Honor of Kings” — and takes a 30% cut of sales. That explains a lot about the tech giant’s current battles with rivals.