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Apple and Epic Games Back in Court Over App Store Fees and Rules

Apple fights legal rulings on App Store fees and external payments while Epic Games accuses Apple of ignoring court orders. Find out what's at stake.

Key Takeaways:

  • Court Battle Continues Over App Store Fees: Apple and Epic Games are back in court, discussing whether Apple can charge commissions on payments made outside the App Store as part of their ongoing legal fight.
  • Apple Disputes Contempt Ruling and External Payment Fees: Apple claims the court’s earlier order only required allowing external payment links, not banning fees, and argues its 27% commission on these payments is fair compared to in-app purchases.
  • Epic Accuses Apple of Ignoring Court Orders: Epic Games states that Apple introduced the 27% external fee only after being caught violating the 2021 court order, undermining the purpose of allowing alternative payment options.
  • UK Court Imposes $2 Billion Fine on Apple: The UK’s Competition Appeal Tribunal ruled that Apple’s App Store fees breach competition laws, ordering the company to pay around $2 billion to affected users, as part of a landmark case.
  • Next Steps and Global Implications: The US appeals process is ongoing, with decisions possibly coming in 2025 or 2026, while the UK ruling pressures Apple to alter its policies amid global regulatory challenges.

Apple and Epic Games are back in court again, continuing their long fight over how Apple runs its App Store and the fees it charges developers. The latest hearing, reported by Bloomberg, took place in the Ninth U.S. Circuit Court of Appeals. Judges are now deciding whether Apple can charge commissions on payments made outside the App Store.

Apple Fights Back Against Contempt Ruling

Apple told the court that the earlier judge went too far in her ruling. The 2021 order only required Apple to let app developers add links to other payment options. But the judge later banned Apple from taking any fees at all for external payments. Apple’s lawyer, Gregory Garre, said this decision was unfair and that Apple deserves compensation for giving developers access to its platform and massive user base.

Apple said it followed the court’s rules by allowing outside payment links but added a 27% commission on those transactions. The company argued this fee is reasonable compared to the usual 30% charged for in-app purchases. Apple also said that if the judge had an issue with its system, they should have asked for changes instead of punishing the company for contempt.

Epic Games Says Apple Ignored Court Orders

Epic Games, the maker of Fortnite, accused Apple of breaking the 2021 court order. Epic’s lawyer, Gary Bornstein, said Apple only introduced the 27% external fee after being caught violating the injunction. Epic claimed Apple’s actions defeat the whole purpose of allowing alternative payment options since developers still cannot offer cheaper prices.

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Judge Yvonne Gonzalez Rogers had earlier found Apple in contempt for not following her order. She banned Apple from collecting external commissions and even referred the company and one of its executives for possible criminal contempt. But one of the appeals judges, Milan Smith, said the ruling might be too broad and could cost Apple billions.

UK Tribunal Adds Pressure With $2 Billion Fine

While Apple faces Epic in the U.S., it also lost a major case in the U.K. According to AppleInsider, the U.K.’s Competition Appeal Tribunal (CAT) ruled that Apple’s App Store fees break competition laws. The court ordered Apple to pay about $2 billion to roughly 36 million iPhone and iPad users.

The lawsuit, led by Dr. Rachael Kent from King’s College London, said Apple’s 30% App Store fee raised prices and reduced competition. The tribunal agreed, calling Apple’s rules “unjustifiable.” Dr. Kent called it a “landmark win” for consumers and small developers, saying the case shows that “no company is above the law.”

Apple disagreed with the decision and said it plans to appeal. The company argued that the App Store gives users a safe and trusted way to download apps while helping developers succeed.

What’s Next for Apple and Epic

The U.S. appeals court has not yet made a final decision. A ruling could arrive later in 2025 or early 2026. If either company loses, they can take the case to the U.S. Supreme Court. Meanwhile, the U.K. ruling increases global pressure on Apple to rethink its App Store policies and fees as regulators and courts continue to challenge its practices.

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Ravi Teja KNTS
Ravi Teja KNTS

I’ve been writing about tech for over 5 years, with 1000+ articles published so far. From iPhones and MacBooks to Android phones and AI tools, I’ve always enjoyed turning complicated features into simple, jargon-free guides. Recently, I switched sides and joined the Apple camp. Whether you want to try out new features, catch up on the latest news, or tweak your Apple devices, I’m here to help you get the most out of your tech.

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