Apple has failed to convince a U.S. appeals court to delay enforcement of a federal judge’s order that would open its App Store to greater competition, marking a significant development in the ongoing antitrust battle with “Fortnite” creator Epic Games.
The 9th U.S. Circuit Court of Appeals on Wednesday rejected Apple’s request to pause key provisions of a district court ruling that mandates immediate changes to its App Store practices, Reuters news report said. These changes stem from a broader legal confrontation over Apple’s control of in-app purchases and restrictions on developers steering users to alternative payment options.
U.S. District Judge Yvonne Gonzalez Rogers, who presided over the original case, found Apple in contempt in April for defying an earlier injunction issued in 2021. She criticized the tech giant for introducing a 27 percent fee on developers whose users make purchases outside the App Store — an action she deemed as circumventing her order.
The judge’s April 30 ruling bars Apple from imposing such fees and from restricting developers’ ability to direct users to outside payment methods. “Apple defied the court to maintain a revenue stream worth billions,” Gonzalez Rogers wrote, adding that the company misled the court regarding its compliance efforts.
Apple responded by expressing disappointment over the appellate court’s decision, stating it would continue to pursue its case through the appeals process. “We remain committed to ensuring the integrity of our ecosystem,” Apple said in a statement.
In contrast, Epic Games CEO Tim Sweeney celebrated the outcome, posting on X that “the long national nightmare of the Apple tax is ended.” Epic accused Apple of seeking to avoid genuine competition and blocking more consumer-friendly payment choices.
Apple’s emergency appeal argued the district court ruling deprived the company of its ability to manage “core aspects of its business operations.” However, Epic pointed to a “surge of genuine competition” in the App Store since the April ruling, with developers offering better deals and improved payment experiences.
The legal feud began in 2020 when Epic sued Apple over what it called monopolistic practices in the iOS ecosystem. While Apple prevailed on most counts, the court in 2021 ordered it to allow developers to guide users toward alternative payment options — a directive Apple was found to have violated.
TelecomLead.com News Desk
