Updates from Apple Inc.
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Apple’s app on its App Store was released by a US judge, who ordered the manufacturer of the iPhone Friday to stop disrupting apps it wants to pay for outside of its store.
To date, Apple has banned apps including links, or notifying their customers, that they can register or purchase electronic products outside the App Store, for example through a website. Currently, the Cupertino company has paid a fine of 15-30% on its fees.
U.S. District Judge Yvonne González Rogers said The practice was “non-competitive” and “continuously” barred Apple from suspending apps from including “buttons, external links or other calls to action that prompted customers to purchase a product, in addition to In-App Purchases”.
Apple shares fell 2.5% on the story.
The ruling was overturned by a lawsuit filed by Epic Games, maker of Fortnite, in August 2020. Epic filed a change for Fortnite earlier that month to overturn the Apple Store’s paid app, prompting Apple to suspend the game.
Tim Sweeney, Epic’s chief executive, called Apple the only exception and said interviewed by CNBC “If any developer would accept their payment and avoid the 30% tax with Apple and Google we would be able to save money for all our customers and players.”
However, the judge said he could not say that Apple was independent “under state or federal bans”. He also said that it would not be possible to show that Apple was working on its own, but that “Epic Games failed to show” this.
He said the $ 100bn gaming market was “ready to invest” but said Epic “has arrived”. He also denied Epic’s demands for customers to go through the App Store and download apps, saying they didn’t find Apple’s app and violated competition rules.
Apple this month provided limited permission for the manufacturers of so-called “app readers” such as Netflix and Spotify, allowing them to integrate links to their pages to streamline App Store revenue. But gaming apps – about three-quarters of App Store revenue – were unavailable on the new deal.
Apple welcomed the verdict, and slammed the judge for admitting that “doing well is not against the law”. It did not state in its statement that it intended to appeal against the decision.
“Apple is facing stiff competition in every aspect of our business, and we believe that our customers and clients choose us because our products and services are the best in the world,” Apple said. “We remain committed to ensuring that the App Store is a stable and reliable market.”
Epic did not respond immediately. It is unknown when Fortnite will return to the App Store.