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Epic Games v. Apple: the fight for the future of the App Store
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Today, An hour agoJay PetersNew App Store details from Phil Schiller testimony.Schiller wasnt sure if Apple would be allowed to charge a fee for in-app purchases made through alternative payment methods following Judge Yvonne Gonzalez Rogerss Epic v. Apple ruling, according to the Associated Press. Ultimately, Apple instituted the fees.Top Apple exec concedes he had doubts about app store fees imposed on alternative payment options[apnews.com]Sep 30, 2024Sean HollisterTim Sweeney says his Epic lawsuits are all about freeing the youth:We want our kids to grow up in a world thats better than this one. I grew up in an awesome world for developers and opportunity, the early days of Apple II computers and PCs, and anybody growing up, coming of age in this industry right now, is best case going to be an Apple and Google serf. That has to change. That must change.Not surprising to hear the man behind Nineteen Eighty-Fortnite say this, but it really does encapsulate his war with the tech industry. More on the latest lawsuit here.Sep 28, 2024Wes DavisApples homework is due Monday no matter what, says judgeImage: Cath Virginia / The VergeApple, the most valuable company in the world, will have to work this weekend to meet a legal deadline on Monday. Thats after Magistrate Judge Thomas S. Hixson on Friday denied the companys request for more time to produce 1.3 million documents related to App Store changes it made in January to comply with a 2021 court order.Judge Yvonne Gonzalez Rogers, who presided over the Epic lawsuit that resulted in those changes, told Apples legal team on May 31st it would need to produce all documents related to how it decided the new App Store rules after Epic challenged them. Document discovery was then referred to Hixson, who quoted part of a transcript from the hearing when he set Mondays deadline back in August:Read Article >May 28, 2024Lauren FeinerWhy Epics lawsuit against Apple just wont quitImage: Cath Virginia / The VergeIn 2020, Epic Games sued Apple for antitrust violations. Its been years since the trial wrapped and judgment was rendered, but for the past few weeks, Apple and Epic Games have been back in front of Judge Yvonne Gonzalez Rogers once more. Gonzalez Rogers mostly ruled in favor of Apple last time. Things might not go so well for the company this time.As a reminder, this whole case got started when Epic challenged Apples up to 30 percent fees to developers for in-app purchases through a splashy campaign where it basically ignored Apples App Store guidelines and put in its own mobile payment processing system in its popular game Fortnite. That got the Fortnite app kicked off of the App Store, setting up the perfect scenario for Epic to sue Apple over its rules. Apple filed a countersuit, accusing Epic of breaching its contract.Read Article >May 11, 2024Wes DavisOnly 38 of 65,000 developers have applied for Apples outside payment links.Epic argues that the 27 percent fee Apple charges third-party developers violates a 2021 court order to allow outside payment links. The judge, according to Bloomberg, seems skeptical of Apple, too:Youre telling me a thousand people were involved and not one of them said maybe we should consider the cost to the developers? the judge said. Not a single person raised that issue of the thousand that were involved?Apple Says No Major App Developers Accept New Outside Payments[Bloomberg]May 8, 2024Sarah JeongThe judge in Epic v. Apple thinks Apples being shady about buttons and linksImage: Cath Virginia / The VergeEpic Games and Apple are in court for evidentiary hearings for the next couple of weeks over whether Apple violated the anti-steering injunction set down by Judge Yvonne Gonzalez Rogers in 2021 after their landmark trial.These hearings are going to be a lot of nitty-gritty details about App Store guidelines. Today, for example, involves a lot of questioning about buttons. (Apple restricts button styles for links that go outside of their in-app payment system.)Read Article >Apr 30, 2024Thomas RickerEpic says Fortnite is returning to EU iPads.The announcement follows the EUs ruling to treat iPadOS the same as iOS, allowing residents to download apps from outside the Apple App Store, uninstall preloaded apps, and select default services like browsers from choice screens. iPad and iPhone users outside of Europe will have to continue streaming Fortnite through a browser.Apr 24, 2024Thomas RickerApple and Epic are going back to court.If Epics Tim Sweeney is excited it can only mean bad news for Google or Apple. In this instance, Judge Yvonne Gonzalez Rogers has ordered an evidentiary hearing for May 8th to explore whether Apple is failing to abide by this Courts injunction, which requires it to implement certain practice changes relative to in- and out-of-app purchases.Apr 13, 2024Wes DavisApple files its response to Epics latest court accusations.In a 37-page filing (PDF) yesterday, Apple accused Epic of asking the court to micromanage its business operations to Epics advantage, and insisted that its new fee structure is fair and competitive in view of the substantial value Apple provides to developers.Epic accused Apple in March of violating a 2021 ruling requiring it to let app developers link to outside payments.Apple denies violating US court order in Epic Games lawsuit[Reuters]Mar 13, 2024Wes DavisEpic asks judge to enforce the Apple App Store injunctionIllustration: Alex Castro / The VergeEpic Games isnt done with Apple. A 2021 ruling forced Apple to allow developers of App Store apps to link to outside payments, and Epic has now filed a motion asking Judge Yvonne Gonzalez Rogers to enforce her original order.Epic says Apples updated developer policy that still reserves 27 percent of outside payments (or 12 percent for small developers) for Apple itself is still unjustified. Epic argues these fees are essentially the same as those the company charges for using its payments system.Read Article >Mar 6, 2024Jon PorterApple kills Epics iOS game store plans over App Store criticismIllustration by Alex Castro / The VergeEpics plans to release its own third-party app store on iOS in the EU could be in trouble after Apple terminated the developer account it planned to use. In a blog post published today, the company shared a letter sent by Apples lawyers, which called Epic verifiably untrustworthy and said Apple does not believe that Epic will comply with its contractual commitments under its developer agreement.Please be advised that Apple has, effective immediately, terminated the Developer Program membership of Epic Games Sweden AB, the letter which is dated March 2nd states. It cites Apples contractual right to terminate its Developer Program License Agreement with the company at Apples sole discretion.Read Article >Jan 31, 2024Wes DavisEpic preps its challenge to Apples bad-faith outside payments changesIllustration by Nick Barclay / The VergeEpic is not pleased with how Apple has responded to court orders. It thinks Apples new 27 percent tax on developers that link to non-Apple payment methods defies a court order to let developers provide those links and yesterday notified the court that it plans to lay out exactly how.To refresh, District Court Judge Yvonne Gonzalez Rogers ordered Apple in 2021 to let developers link to outside payment methods, and it immediately appealed (despite having called it a resounding victory). Apples final appeal of the court order was denied earlier this month, and the company was forced to change its tune on in-app payments. But it barely did so the 27 percent commission isnt much less than Apples 30 percent in-app payments fee, while other requirements for allowing outside payment links are so onerous that developers may not want to do so. For instance, developers will have to create transaction reports for Apple every 15 days so the company can make sure its getting its money.Read Article >Jan 24, 2024Emma RothApple thought it dealt with Epic v. Apple has it really?Illustration by Alex Castro / The VergeAlmost three years after the Epic v. Apple trial reached its conclusion, Apple is finally following a court order to let app developers link to outside payment methods. But its solution is being met with backlash.Apple is giving developers the green light to send app users outside the built-in iOS payment system for the first time, following the instructions of a California court ruling in 2021. Under the terms of the injunction, Apple cant prevent developers from including links, buttons, and other calls to action that direct users to outside payment methods. In a filing outlining the changes, Apple says it has fully complied with the order but has it really?Read Article >Jan 17, 2024Thomas RickerApple offers Epic extremely generous discount on $81,560,362 legal bill.In a January 16th filing, Apple asked the court to award it $73,404,326 in relief to cover its out-of-pocket expenses, lawyer fees, and other costs arising from Epics lawsuit. A bargain, if you ask Apple:Although it would be reasonable for Apple to seek the total amount of its Losses in this matter, it has provided a 10% discount in recognition of Epics win on one out of ten of its claims. This 10% overall reduction is extremely generous, given the undisputed fact that the UCL claim did not constitute nearly 10% of the litigation, as this Court recognized.Meeeoooow.Attorney Fees #876 in Epic Games, Inc. v. Apple Inc.[CourtListener]Jan 16, 2024Jay PetersApples App Store policies now let US developers link to outside paymentsIllustration: The VergeApple has updated its App Store policies to spell out how developers can link to outside payment platforms, as reported by 9to5Mac. Developers will still owe Apple a cut if they use an outside payment platform. Apple will take a 27 percent cut (as opposed to the 30 percent in many cases) or 12 percent if a developer is part of the App Store Small Business Program, according to a support page about external purchase links.Section 3.1.1(a) of the App Store Review Guidelines lays down more of the new rules for developers who want to link to alternative payment methods, like how they have to apply for an entitlement to enable them. Developers also cant exclusively receive payments from outside Apples walled garden; theyll also have to offer Apples in-app purchase system in their apps.Read Article >Jan 16, 2024Adi RobertsonSupreme Court rejects Epic v. Apple antitrust caseIllustration by Alex Castro / The VergeThe Supreme Court has denied a request to hear an antitrust dispute between Apple and Fortnite publisher Epic Games. It rejected two petitions, one from each company, this morning leaving the case largely, but not entirely, a win for Apple.Epic v. Apple began in 2020 after Epic implemented its own payment system for Fortnites virtual currency, bypassing Apples commission on in-app purchases. Apple banned Epic from its iOS App Store and Epic filed a lawsuit in response, claiming the App Store and Apples overall walled-garden approach to iOS violated US antitrust laws. Judge Yvonne Gonzalez Rogers rejected most of Apples claims and the Ninth Circuit Court of Appeals largely affirmed the decision.Read Article >Sep 28, 2023Richard LawlerApple also wants the Supreme Court to rule on its antitrust case vs. Epic Games.Yesterday, Epic Games filed a request for the Supreme Court to review lower court rulings in their lawsuit over Apples App Store rules, hoping to get a new interpretation thats more in their favor,Now, on Thursday, Apple submitted its own request, linked below, seeking a review to throw out the judges requirement that it change App Store rules barring developers from telling users about other payment options.Epic v. Apple - Cert Petition PDFA[DocumentCloud]Sep 28, 2023Richard LawlerEpic Games asks the Supreme Court to hear its case against Apples App Store rulesIllustration: Alex Castro / The VergeAfter years of back-and-forth battling between Fortnite publisher Epic Games and Apple, the gaming company filed a writ of certiorari asking the US Supreme Court to review a lower court ruling in their antitrust case. Epic has argued that Apple unfairly monopolizes the mobile app space with iOS and its in-app purchasing system, thereby making billions on commissions.Epic is asking the Supreme Court to review its case by way of clarifying points of antitrust law that the Ninth Circuit Court of Appeals relied on in making its ruling in April. On Thursday, Reuters reported Apple has filed an argument (PDF) asking the Supreme Court to throw out the order from the lower courts that requires changes to its App Store rules.Read Article >Aug 9, 2023Adi RobertsonSupreme Court says Apple can keep its App Store payment rules for nowIllustration by Alex Castro / The VergeThe Supreme Court has rejected Fortnite publisher Epics request to make Apple loosen its App Store rules as a legal battle progresses. As first reported by Bloomberg and Reuters, Justice Elena Kagan declined to vacate a stay on a lower court order about Apples anti-steering rules, which limit how iOS app developers can direct users to alternate payment methods. Kagan did not issue an explanation for the decision, but Epics petition was noted as denied on the Supreme Courts website.The district court order was one of Epics limited wins in a high-profile antitrust case over iOS App Store in-app purchase fees. A judge determined that Apple had violated Californias Unfair Competition Law by preventing developers from using links to direct users to payment methods outside the App Store.Read Article >Jul 17, 2023Richard LawlerApple can delay App Store changes to file Supreme Court pleaIllustration: The VergeOn Monday, Apple was granted a motion putting a hold on the appeals court ruling that would push the company to undo its anti-steering rules and let outside developers link to third-party payment mechanisms. The mandate is stayed for 90 days so Apple can file its request that the Supreme Court take up the case.Apples anti-steering rules limit how developers can direct users to subscription or in-app purchase payments outside Apples App Store ecosystem, where it takes a cut of revenue. A district court found that Apple had not generally violated antitrust law with its walled garden approach to iOS, but it ordered it to drop rules against letting developers include calls to action for outside payment methods.Read Article >Jul 3, 2023Jay PetersApple is going to ask the Supreme Court to hear its appeal of the ruling in Epic Games v. Apple.It plans to ask the Supreme Court on Friday, according to an article from Reuters. In that ruling, Apple was ordered to drop its App Store anti-steering rules, and an appeals court upheld that earlier this year.Apple to ask US Supreme Court to undo App Store order in Epic Games case[Reuters]Apr 24, 2023Adi RobertsonandEmma RothApples App Store can stay closed, but developers can link to outside payments, says appeals courtIllustration: The VergeAn appeals court has upheld the status quo in Epics antitrust lawsuit against Apple, affirming a decision that was largely a victory for Apple. In a ruling delivered on Monday, the Ninth Circuit Court of Appeals found that Apples closed App Store and security restrictions didnt violate antitrust law but that Apple couldnt maintain anti-steering rules that prevent users from learning about alternate payment options.Apple spokesperson Marni Goldberg provided The Verge with the following statement:Read Article >Jan 29, 2022Jay PetersEpic largely lost to Apple, but 35 states are now backing its fight in a higher courtIllustration by Alex Castro / The VergeEpic Games may have largely lost its major lawsuit against Apple, but its not going out without a fight and it has some major support in its corner. Soon after the Epic Games v. Apple ruling was issued, Epic appealed, and on January 27th, a large number of organizations filed amicus briefs in support of Epics battle, including a coalition of 35 state attorneys general, Microsoft, and the Electronic Frontier Foundation (EFF).During the fight, Epic was trying to make the case that Apple has a monopoly over iOS apps, and was asking for changes that would effectively force Apple to take a smaller percentage of all the transactions that go through that store. If Epic were successful in pushing Apple to accept alternate payment processors, for instance, it could dramatically change how Apple, the most profitable company in the world, operates its highly lucrative App Store. In the original case, the judge ultimately ruled in favor of Apple in nine of ten counts Epic brought against it, but both Epic and Apple appealed the parts that they lost.Read Article >Jan 20, 2022Russell BrandomEpic pushes to overturn App Store ruling in opening appeal briefIllustration by Alex Castro / The VergeEpic Games has filed its opening brief to the Ninth Circuit Court of Appeals, seeking to overturn the previous ruling that Apples control over the iOS App Store does not qualify as a monopoly. The company first gave notice of it appeal in September, but Thursdays filing is the first time it has laid out its argument at length.Epic proved at trial that Apple retrains trade...by contractually requiring developers to exclusively use Apples App Store to distribute apps and Apples IAP for payments for digital content within apps, the filing reads. If not overturned, [the district court] decision would upend established principles of antitrust law and...undermine sound antitrust policy.Read Article >Dec 8, 2021Russell BrandomEpic v. Apple ruling put on hold after appeals court grants a stayIllustration by Alex Castro / The VergeAn appeals court has paused one of the most consequential parts of the Epic v. Apple ruling, placing a stay on the enforcement of the injunction issued by the lower court. As a result of the stay, Apple can maintain its IAP system as the sole source of in-app payments on iOS, despite the district courts earlier ruling that the exclusive arrangement is illegal.The stay, issued Wednesday afternoon, does not reverse the earlier ruling but puts enforcement on hold until the appeals court can fully hear the case, a process that will likely take months.Read Article >
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