Although Tim Sweeney, the CEO of Epic Games, has yet to receive the full benefits of his fight over payments to the iOS app store, he recently won a major victory when a US court found Apple guilty of violating a 2021 injunction and even forwarded the iPhone manufacturer's actions to criminal prosecutors. When Epic Games began its battle with Apple, it sought to circumvent Apple's 30% tax by using its payment processing system in Fortnite for iOS.
The US courts decided in favor of Epic on one aspect, even if it lost that battle in a 2021 trial: Apple was informed it couldn't block iOS app developers from sending consumers to websites that use their payment processors. After examining the evidence, the court has strongly sided with Sweeney, who has been protesting Apple's failure to comply with the court's decision ever since.
"Apple's response to the Injunction strains credulity," Judge Yvonne Gonzalez Rogers wrote in her ruling today. "The facts came to light following two rounds of evidence hearings. Despite being aware of its obligations under the injunction, Apple hindered its goals and continued its anticompetitive practices to protect its revenue stream. An Apple representative told PC Gamer, "We strongly disagree with the decision," when asked for comment. "We will comply with the court's order, and we will appeal."
In reaction to the initial order, Apple began charging a 27% fee for out-of-app payments rather than just permitting developers to link to them. Additionally, Sweeney has voiced concerns about Apple's adherence to relevant European legislation regarding the company's "scare" displays, which seemed to alert consumers to the dangers of out-of-app transactions. Epic Games held an evidentiary hearing in 2024 to investigate Apple's alleged noncompliance with the injunction.
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Tim Sweeney prepared for peace after this triumph
The court ordered Apple to provide records about its injunction compliance preparations after becoming worried that the company was not being honest about how it arrived at the 27% cost, according to today's decision. Although Apple stalled, the court did not like what it saw during a second hearing earlier this year.
Unless it wins its appeal, Apple will not have any extra flexibility after today's ruling: no additional fees for out-of-app iOS sales in the US will apply to any developer, not just Epic. Even though Sweeney hasn't received his original request to integrate his payment processor directly into the app, the US hasn't allowed it since the first 2021 verdict. He claims that he is prepared for peace after this triumph.
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