Apple will move the US Supreme Court in an effort to undo a ruling in an antitrust case brought by “Fortnite” maker Epic Games. The order, issued by the San Francisco-based 9th US Circuit Court of Appeals, could force the iPhone maker to change payment practices in the App Store.
The ruling could bar Apple from prohibiting developers from providing an option to make payments by taking consumers outside of the App Store. Apple currently takes up to 30% commission for all purchases on the platform and the move will essentially hit revenue generated by the company.
Apple said that the lower court’s order reached too far in issuing a nationwide injunction against the company, noting that it violated a California state unfair competition law.
“Apple said its petition in the Supreme Court that it will raise ‘far-reaching and important’ questions about the power of judges to issue broad injunctions,” a report by news agency Reuters said.
In the case, Epic challenged key parts of the judge’s ruling that favoured Apple. In its appeal, the video game maker sought to revive its antitrust claims against Apple over its restrictive app distribution and payment services.
The video game company can also ask the US Supreme Court to hear its appeal.
Why Epic sued Apple
In 2020, Epic sued Apple challenging the fee, called Apple tax, that the company imposes on in-app payments. Epic sought an injunction to stop Apple’s practice. Epic Games has also been in disagreement with Google.
Fortnite was removed from the App Store and Google Play store in August 2020 after it flouted one of their app store rules. Epic Games started its own in-app payment scheme in Fortnite.
The ruling could bar Apple from prohibiting developers from providing an option to make payments by taking consumers outside of the App Store. Apple currently takes up to 30% commission for all purchases on the platform and the move will essentially hit revenue generated by the company.
Apple said that the lower court’s order reached too far in issuing a nationwide injunction against the company, noting that it violated a California state unfair competition law.
“Apple said its petition in the Supreme Court that it will raise ‘far-reaching and important’ questions about the power of judges to issue broad injunctions,” a report by news agency Reuters said.
In the case, Epic challenged key parts of the judge’s ruling that favoured Apple. In its appeal, the video game maker sought to revive its antitrust claims against Apple over its restrictive app distribution and payment services.
The video game company can also ask the US Supreme Court to hear its appeal.
Why Epic sued Apple
In 2020, Epic sued Apple challenging the fee, called Apple tax, that the company imposes on in-app payments. Epic sought an injunction to stop Apple’s practice. Epic Games has also been in disagreement with Google.
Fortnite was removed from the App Store and Google Play store in August 2020 after it flouted one of their app store rules. Epic Games started its own in-app payment scheme in Fortnite.
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