In brief
In a significant legal development, a US district judge has determined that Apple has willfully violated a court injunction in a case initiated by Epic Games, the creators of Fortnite. This injunction aimed to curb Apple's anticompetitive practices and mandated changes to its App Store to allow for external payment options. Judge Yvonne Gonzalez Rogers stated she would refer Apple's conduct to the US Attorney for the Northern District of California for potential criminal contempt proceedings.
This ruling marks a continuation of the legal battle that began in 2021 when Epic Games argued that Apple’s dominance in app payments stifles competition and results in excessive profits from its 30% commissions on in-app purchases. The judge's original order had mandated that Apple could not prevent developers from redirecting users to their purchasing systems. However, in a contempt ruling, she asserted that Apple not only ignored this order but that internal communications revealed a systematic effort to sidestep the injunction.In her detailed findings, Judge Gonzalez Rogers criticized CEO Tim Cook for rejecting recommendations to adhere to the court's injunction and stated that Apple's vice president of finance, Alex Roman, had "outright lied" under oath regarding the company's intentions. She provided evidence that Apple even imposed a new 27% commission on off-app purchases, a stark increase from previous practices. Tim Sweeney, CEO of Epic Games, responded positively, suggesting a return of Fortnite to the App Store if Apple adopts a more user-friendly payment model globally. As the situation unfolds, Apple remains steadfast, declaring its intention to appeal the decision and comply with the ruling.
