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Apple's Epic Win: App Store Rules Stay Strong Against Fortnite Creator's Challenge

By WOM

April 24, 2023

SUMMARY

  • Apple mostly triumphs over Epic Games in a lawsuit surrounding App Store control and fees
  • Court upholds decision that Apple didn't violate antitrust law by banning competing app marketplaces
  • One claim loss for Apple may change the way developers link to outside payments in apps

Hey there, guess what? Apple's been duking it out in court with Epic Games over App Store rules, and it looks like Apple's still the top dog in this game. They're holding on tight to their App Store reign, with their control and fees remaining pretty much untouched by Epic's legal battle. Apple's definitely feeling like a winner today.

So, Apple's got this App Store, right? It's the only way to get iPhone apps, and Apple's team gives every update a once-over before letting it fly. They also take a sweet 30% cut of all digital sales within iPhone apps. Talk about a cash cow – it brought in a whopping $78.1 billion for Apple in fiscal 2022.

Of course, not everyone's happy about this. App and game developers have been grumbling about the store's rules and fees for ages. Epic Games, the masterminds behind Fortnite, decided to take one for the team and sue Apple, claiming they were violating antitrust law. This all started when Epic introduced its own payment system in Fortnite, which got them kicked out of the App Store.

The case went to a weeks-long trial in California, where the CEOs of both Apple and Epic took the stand. But on Monday, the Ninth Circuit Court basically said, "Sorry, Epic, no dice." Apple didn't violate antitrust law by banning competing app marketplaces on iPhones.

But wait, there's a plot twist! Apple lost one claim, which means they have to let developers put links in their apps so users can make purchases outside the App Store. The appeals court didn't overturn this decision, and the future of outside payment links is still up in the air. Apple's thinking about taking this thing all the way to the Supreme Court. Stay tuned!


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