Epic Games v. Apple judge Yvonne Gonzalez Rogers has ruled that, effective immediately, Apple can no longer take a cut from purchases made outside apps and has blocked the tech giant from restricting how developers can point people to third-party payment options. The judge was also not happy that Apple has seemingly not complied with a previous court order and has referred the case to the U.S. Attorney’s Office for possible contempt charges. Apple is already planning to appeal the ruling.
This is the latest development in the Epic v Apple court case that started back in 2020 after Epic added its own payment option to Fortnite on iOS and Apple pulled the game as a result. The Fortnite maker’s case against Apple was focused primarily on the large fees the tech giant took from all in-app purchases and its strict restrictions against allowing other app stores and third-party options on iOS devices.
In 2021 the judge sided with Apple on most points, but declared the company needed to allow app makers to use third-party payment systems that could avoid Apple’s cut. In 2023, after a series of appeals, Apple declared a “resounding victory” over Epic, though it was still forced by the court to allow third-party payment options and to not take a cut of outside app purchases. Epic alleges that Apple never complied with that order. Now Apple finds itself in a lot of trouble with judge Yvonne Gonzalez Rogers.
“That [Apple] thought this Court would tolerate such insubordination was a gross miscalculation,” wrote the judge in a ruling filed on April 30 in California. “Apple willfully chose not to comply with this Court’s Injunction. It did so with the express intent to create new anticompetitive barriers which would, by design and in effect, maintain a valued revenue stream; a revenue stream previously found to be anticompetitive.”
Elsewhere in the filing, the judge says that an Apple executive lied under oath when talking about forcing devs to pay a 27 percent fee for outside app purchases and wrote that Apple CEO Tim Cook “chose poorly” when listening to execs at the company who convinced him to ignore the injunction.
“Vice-President of Finance, Alex Roman, outright lied under oath. Internally, Phillip Schiller had advocated that Apple comply with the Injunction, but Tim Cook ignored Schiller and instead allowed Chief Financial Officer Luca Maestri and his finance team to convince him otherwise. Cook chose poorly,” wrote the judge. In the filing the judge also suggested that Apple’s actions might constitute contempt charges and has referred the case to the U.S. Attorney’s office.
As explained in the filing, Apple must now “immediately” comply with the court’s orders to allow developers to include third-party payment options, to not take a cut of those purchases, and to not block or hinder devs from including these outside payment methods through various means and UI messages.
Following the aggressive court filing against Apple, Epic CEO Tim Sweeney posted on social media that Fortnite will return to the United Stats iOS app store next week. The CEO also offered Apple a “peace proposal.”
“If Apple extends the court’s friction-free, Apple-tax-free framework worldwide, we’ll return Fortnite to the App Store worldwide and drop current and future litigation on the topic.”
“We strongly disagree with the decision. We will comply with the court’s order and we will appeal,” said Apple’s senior director of corporate communications, Olivia Dalton in a statement sent to The Verge.
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