In a landmark ruling, US District Judge Yvonne Gonzalez Rogers has issued a decision in the case of Epic Games vs. Apple, finding that Apple did not violate antitrust laws by removing Epic’s popular online game Fortnite from its App Store in August 2020. However, the judge also ruled that some of Apple’s App Store rules were anti-competitive, and issued an injunction that would allow developers to include links to external payment options, potentially undermining Apple’s 30% commission on in-app purchases.
Epic Games, the maker of Fortnite, had accused Apple of abusing its monopoly power over the App Store to stifle competition and innovation. Apple had countered that its policies were necessary to ensure security and privacy for its customers and to maintain a level playing field for developers. The case was closely watched by the tech industry and regulators alike, as it could have significant implications for how digital platforms operate and charge fees to developers and users.
In her ruling, Judge Gonzalez Rogers found that Apple’s practices did not constitute a monopoly, as it faced competition from other platforms such as Android, Windows, and consoles. However, she also determined that some of Apple’s App Store rules were anti-competitive, such as its ban on external payment options, and issued an injunction that would allow developers to include such links in their apps. The judge’s order will take effect in 90 days, unless it is appealed by either party.
The ruling is a significant victory for Apple, as it validates its business model and preserves its lucrative revenue stream from the App Store. However, it also represents a setback, as it undermines Apple’s ability to control the in-app purchase ecosystem. The decision may embolden other developers to challenge Apple’s policies and seek greater control over their own apps.
Epic Games has expressed disappointment with the ruling and has announced plans to appeal. The company is also engaged in similar legal battles with Google over its Google Play Store policies. The outcome of these cases may have far-reaching implications for the app store industry and could shape the future of competition and innovation in the digital economy.
