Microsoft: "Is Apple's fault we couldn't release our Xbox Mobile Store"

Microsoft has formally accused Apple of obstructing the launch of its Xbox mobile web store, initially planned for July 2024. In a court filing on May 21, 2025, Microsoft stated that its efforts have been “stymied by Apple”. This legal battle is unfolding as part of Epic Games’ ongoing fight against Apple’s App Store policies, with Microsoft submitting an amicus brief to the Ninth Circuit Court of Appeals in support of Epic.

The dispute highlights broader concerns about Apple’s control over mobile gaming and app distribution, echoing past struggles faced by cloud gaming services like Project xCloud and Google Stadia on iOS.

The Xbox Mobile Store Delay

Microsoft’s frustration stems from Apple’s restrictive App Store policies, particularly its anti-steering rules, which prevent developers from directing users to payment options outside Apple’s proprietary system. These rules have historically been a major point of contention, as they allow Apple to maintain its commission structure while limiting developers’ ability to offer alternative payment methods.

A pivotal moment in this legal battle came on April 30, 2025, when U.S. District Judge Yvonne Gonzalez Rogers ruled that Apple had violated a 2021 anti-steering injunction. The ruling explicitly forbids Apple from levying commissions on purchases made through external links from U.S. App Store apps and prevents restrictions on how developers communicate these alternatives. Microsoft argues that Apple’s continued enforcement of these policies has stifled innovation and prevented the company from launching its Xbox mobile store as planned.

Microsoft’s ambitions extend beyond just a web store. The company has long sought to enable Xbox app users on iOS to purchase and stream games directly within the app, an effort repeatedly blocked by Apple’s policies. Even after Microsoft enabled game purchases in its Xbox mobile app on iOS last month, it had to remove the remote play feature to comply with Apple’s App Store rules.

Project xCloud’s Struggles on iOS

Microsoft’s battle with Apple is not new. The company faced similar challenges when launching Project xCloud, its cloud gaming service, on iOS. Initially, Microsoft planned to bring xCloud to iPhones and iPads, allowing users to stream Xbox games directly from the cloud. However, Apple’s App Store policies severely limited the service’s functionality.

In February 2020, Microsoft launched a limited beta for Project xCloud on iOS through Apple’s TestFlight program. Unlike the Android version, which supported multiple games, the iOS beta was restricted to just one title—Halo: The Master Chief Collection. Apple’s policies prevented Microsoft from offering a broader selection of games, citing concerns over app review processes and content moderation. Ultimately, Microsoft was forced to abandon its plans for a full xCloud rollout on iOS, instead directing users to access the service via a web browser.

Stadia’s Similar Struggles

Back when it was on full throttle, Google’s Stadia cloud gaming service faced nearly identical obstacles on iOS. Stadia was designed to allow users to stream games directly from Google’s servers, bypassing the need for powerful local hardware. However, Apple’s App Store policies prevented Google from launching a dedicated Stadia app with full functionality.

Instead, Google had to rely on a web-based workaround, allowing users to access Stadia through Safari rather than a native app. This approach introduced technical limitations and a less seamless user experience compared to the Android version. Additionally, Stadia players on iOS encountered connectivity issues, particularly after upgrading to iOS 15.

Some users reported that Stadia would not function properly on mobile data, requiring adjustments to Safari’s experimental settings to restore functionality.

The Return of Fortnite and Its Impact

The recent return of Fortnite to the iOS App Store marks a significant shift in the ongoing battle between developers and Apple. After nearly five years of absence, Fortnite was reinstated following a court ruling on April 30, 2025, which found Apple had violated antitrust laws. The ruling forced Apple to allow developers to link to external payment systems, a major victory for Epic Games and other companies seeking greater flexibility in monetization.

Fortnite’s return could set a precedent for Microsoft’s Xbox mobile store ambitions. Epic Games has already begun promoting alternative payment methods within Fortnite, offering players incentives to purchase in-game currency through the Epic Games Store rather than Apple’s in-app system. If Microsoft follows a similar strategy, it could bypass Apple’s restrictions and finally launch its Xbox mobile store via a web-based platform.

Microsoft’s legal battle with Apple is part of a broader industry movement pushing for greater developer freedom on mobile platforms. The struggles faced by Project xCloud and Stadia on iOS illustrate the challenges of launching cloud gaming services under Apple’s restrictive policies. However, Fortnite’s return to iOS signals a potential shift in the power dynamics between Apple and developers.

If Microsoft succeeds in its legal challenge, it could pave the way for a more open mobile gaming ecosystem, allowing Xbox users to purchase and stream games without Apple’s intervention. The outcome of this case will not only shape the future of the Xbox mobile store but also influence how developers approach app distribution and monetization on iOS.