Apple Seeks to Overturn Antitrust Order on App Store in Epic Games Lawsuit

The battle between Apple and Epic Games, the creator of Fortnite, continues as Apple announced its intention to seek the review of a judge's order in the ongoing antitrust case. The outcome of this review could potentially lead to changes in Apple's payment practices within the App Store.

The clash between Apple and Epic Games originated in 2020 when Epic filed a lawsuit against Apple, challenging the fees imposed on in-app payments. While the case progressed, Judge Yvonne Gonzalez Rogers issued an order in 2021 that Apple is now seeking to appeal. The order mandates that Apple cannot prevent developers from including links and buttons to alternative payment options in their apps, potentially reducing the commissions paid to Apple.

Apple's Announcement

In a recent court filing, Apple expressed its plans to appeal the ruling issued by the 9th US Circuit Court of Appeals, which mostly upheld Judge Rogers' order. The company seeks the review of the ruling by the US Supreme Court, aiming to address significant questions concerning the authority of judges to issue broad injunctions.

The Judge's Order

Judge Yvonne Gonzalez Rogers' order is centered around the inclusion of alternative payment options within apps. The order prevents Apple from prohibiting developers from incorporating links and buttons to these alternative options. By doing so, the ruling challenges Apple's established practice of exclusively using its own payment system within the App Store.

Epic Games' Lawsuit

Epic Games' lawsuit against Apple was motivated by its objective to halt Apple's practices rather than seek monetary damages. The lawsuit questioned the fees imposed on in-app payments and the restrictions imposed on app distribution and payment services. Although Judge Rogers ruled against most of Epic's claims, she did issue the order that Apple is currently contesting.

Appeals to the 9th Circuit

Both Epic Games and Apple presented appeals to the 9th Circuit following Judge Rogers' ruling. Epic Games aimed to challenge aspects of the judge's decision that favored Apple, while Apple objected to the order regarding the App Store. In April, the 9th Circuit upheld the majority of Judge Rogers' decision, refusing to reconsider it in a subsequent ruling.

The Supreme Court Option

In addition to seeking review from the 9th Circuit, Epic Games has the option to request that the US Supreme Court hear its appeal. This avenue would provide another opportunity for Epic Games to present its antitrust allegations against Apple concerning restrictive app distribution and payment services.

Epic's Antitrust Allegations

Epic Games, in its appeal to the 9th Circuit, sought to revive its antitrust allegations against Apple. These allegations pertain to the restrictive practices of app distribution and payment services within the App Store. The outcome of the review sought by Epic Games may potentially impact the way Apple operates its App Store.

Apple's Argument

Apple's attorneys argued in their filing that the 9th Circuit exceeded its authority by issuing a nationwide injunction against Apple. The injunction was issued based on allegations of Apple violating a California state unfair competition law. Apple aims to address these concerns through its petition to the US Supreme Court.

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