Epic Games vs Apple: This is the latest ruling

The legal battle between Epic Games and Apple has taken a dramatic turn after a U.S. judge found Apple in willful violation of a 2021 court order meant to curb its anticompetitive behavior on the App Store. The ruling could redefine how Apple handles external payment systems and reshape the mobile app economy in the United States.

Judge finds Apple defied the injunction and misled the court

Judge Yvonne Gonzalez Rogers ruled that Apple deliberately obstructed the injunction’s purpose, introducing new fees and technical barriers that suppressed competition. The court accused Apple of using “scare screens” to deter users from leaving the App Store’s payment system and mandating static URLs that limit personalization and conversion for developers using external payment options.

The judge highlighted internal emails showing Apple executives prioritized preserving revenue over legal compliance. According to the ruling, Tim Cook ignored Apple Fellow Phil Schiller’s plea for compliance and sided with finance executives, who orchestrated a strategy to sustain App Store profits. The situation worsened when Vice-President of Finance Alex Roman was found to have lied under oath, prompting the court to refer the matter for potential criminal contempt proceedings.

Apple banned from charging fees and interfering with alternatives

As a result of the ruling, Apple is now prohibited from collecting a 27% commission on purchases made outside its ecosystem and from interfering with developers who inform users about alternative payment methods. Epic’s CEO, Tim Sweeney, celebrated the verdict as a victory for developers and consumers, comparing it to the recent European crackdown on Apple’s practices under the Digital Markets Act.

This decision marks a significant blow to Apple’s control over the App Store, opening the door for broader payment flexibility and challenging the foundation of Apple’s app economy.