This. Virtual Set Production is almost entirely Unreal engine. Fortnite is just a marketing platform. The real meat is the digital production pipeline that made Mando cool. That enabled Star Trek’s recent series’, and provides a “holodeck” for their just unveiled holo-floor.
I don't think Fortnite is just a marketing platform. They wouldn't have bothered suing Apple and Google over app stores if it were merely a loss leader to remind film execs that Unreal Engine is a thing.
While I agree with you that Fortnite shouldn’t be considered a loss leader, the strategy behind challenging Apple in court is more nuanced. Epic also operates a rather large software/games store and I am sure they would love to see it grow.
AFAIK Unreal was only used in the first season of the Mandalorian several years ago. Disney switched to using ILM's Stagecraft software, which is what they use for their films as well.