The long legal battle between Epic Games and Apple did more than challenge a 30% commission. It cracked open the closed ecosystem that has defined mobile gaming for more than a decade. Court decisions in the United States, combined with Europe’s Digital Markets Act, are creating a new reality in which developers can guide players to external web payments, launch their own web shops and reclaim control over revenue and player relationships.
For Israeli developers, already responsible for about 5% of global mobile downloads, this shift is not merely interesting. It is transformational.
Israel’s mobile gaming sector has grown into a global force, home to companies such as Playtika, Moon Active, Plarium, CrazyLabs and SuperPlay, alongside hundreds of fast-growing studios. Like mobile creators everywhere, however, Israeli teams have long operated under tight margins because of app-store fees. Every shekel lost to platform commissions is a shekel not invested in LiveOps, user acquisition or growth.
The Epic-Apple lawsuit altered that trajectory. In the United States, Apple is now required to allow developers to include in-app links that lead players to external payment pages. Google has begun offering user-choice billing in select markets, reducing fees when players opt for alternative payment processors. In Europe, the Digital Markets Act goes further, requiring iOS to allow third-party app stores and genuine alternative billing options, with significant penalties for blocking developers from offering better prices on the web. As a result, mobile game studios can legally steer players to their own direct-to-consumer channels, typically through a dedicated web shop where players purchase virtual currency, bundles and subscriptions directly.
The economics of direct-to-consumer models are dramatically better. Instead of losing up to 30% to an app store, developers pay standard payment-processing rates and a much smaller platform fee. Even if only a portion of players move to web purchases, studios can generate six- or seven-figure annual savings. For Israeli studios competing on a global scale, that added margin can fund entire LiveOps teams or unlock user-acquisition budgets that were previously out of reach.
This is where Xsolla has positioned itself as a leading global player. Known originally for payment processing in the PC and console space, Xsolla has spent recent years building full direct-to-consumer infrastructure for mobile. Its Web Shop solution allows developers to create branded online stores synced with in-game catalogs, support advanced subscriptions, enable localized pricing and rewards, and integrate smoothly with mobile gameplay. According to publicly disclosed data, Xsolla has launched hundreds of mobile web shops worldwide and reports higher repeat purchases, improved monetization efficiency and regional revenue growth once studios move direct. Xsolla’s Buy Button, designed for the post-Epic regulatory environment, allows studios to place an in-game button that opens a compliant browser checkout. The feature reduces friction, improves conversion and guides high-value users to more cost-efficient payment channels. In markets such as the United States and Europe, where external payment steering is now permitted, it has become one of the fastest paths to adopting direct-to-consumer strategies.
Other companies are entering the space, including Israeli-based Appcharge, which has raised significant funding and works with dozens of games. Xsolla’s scale, global payments network and ready-made mobile commerce tools, however, make it the most established solution currently available.
Nikita Sherman Senior VP at XsollaPhoto: PRSo what should Israeli mobile studios do now?
First, identify the markets where external payment links and alternative billing are legally supported, particularly the United States and Europe. Next, launch a branded web shop with a focus on high-value bundles and exclusive bonuses that incentivize web purchases. Then, use in-game messaging or buy buttons to guide engaged players toward these offers. Finally, leverage direct-to-consumer data, including email access, purchase behavior and churn signals, to build long-term retention strategies that are not possible within the app-store ecosystem.
The bottom line is clear. App stores are no longer the sole gatekeepers of mobile monetization. Regulatory change and the industry’s shift toward direct-to-consumer models are allowing Israeli developers to keep more of what they earn. With companies such as Xsolla offering turnkey solutions, the opportunity is immediate, and the studios that act now are likely to shape the next chapter of Israel’s gaming success.
Nikita Sherman is senior vice president of business development for the Mediterranean region at Xsolla and a judge in the GameIS grant program for Israeli game creators.