Apple Inc. has been dealt a significant blow in its ongoing legal battle with Epic Games over its App Store policies. A federal judge ruled that Apple violated a court order requiring it to open up the App Store to third-party payment options. The judge has also referred the company for potential criminal contempt charges due to its failure to comply.
Key Points:
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Court Ruling: U.S. District Judge Yvonne Gonzalez Rogers found that Apple had willfully violated her 2021 ruling, which required the company to allow developers to bypass the App Store’s in-app payment tool and avoid paying Apple’s commissions (up to 30%).
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Revenue Impact: This could significantly affect Apple’s App Store revenue, which generates billions annually. Additionally, Apple faces potential losses from the Google payment case involving its Safari browser’s default search engine.
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Apple’s Response: Apple disagreed with the decision and announced plans to appeal. The company also said it would comply with the ruling while contesting the findings.
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Epic Games Reaction: Epic’s CEO, Tim Sweeney, hailed the ruling as a “huge victory” for developers, as it forces Apple to allow competition in payment services.