Apple Ordered to Open App Store Amid Ongoing Epic Games Legal Battle
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Apple must comply with a U.S. court order to reform its App Store policies, after a federal appeals court on Wednesday rejected the company’s request to delay the changes.
The 9th U.S. Circuit Court of Appeals denied Apple’s bid to pause key parts of a ruling by U.S. District Judge Yvonne Gonzalez Rogers, who found the tech giant in contempt of a previous injunction in its antitrust case with Epic Games.
The April 30 order requires Apple to stop several practices that the judge said were designed to circumvent her earlier ruling. These include a 27% fee Apple imposed on developers for purchases made outside the App Store.
The court also barred Apple from limiting where developers can place links that direct users to external payment options.
Apple said it was disappointed with the decision and would continue to argue its case during the appeals process.
Epic Games founder and Chief Executive Tim Sweeney responded to the ruling on X, saying the “long national nightmare of the Apple tax is ended.”
Apple argued in its emergency appeal that the ruling interfered with its ability to control core business operations and forced it to provide free access to its services.
Epic countered that Apple was attempting to avoid competition and continue collecting fees that had been prohibited by the court.
According to Epic, developers have introduced better payment methods and deals since the injunction, increasing competition and consumer choice.
Epic Games filed the lawsuit in 2020, challenging Apple’s control over app transactions and distribution on its iOS platform.
Although Apple largely prevailed in the case, the court ruled in 2021 that it must allow developers to guide users to alternative payment options.
Judge Gonzalez Rogers said in April that Apple defied the court’s order to protect a revenue stream worth billions of dollars.
She also accused Apple of misleading the court about its compliance efforts and referred the company and one of its executives to federal prosecutors for a possible criminal contempt investigation.
U.S. appeals court denies Apple’s request to delay App Store reforms
Judge found Apple in contempt for violating earlier injunction
Apple must allow external payment links and drop 27% fee
Source: REUTERS