CNBC: “Apple declares resounding victory after decision reached in Epic Games appeal”
3 min read
An appeals court on Monday mostly sided with Apple over its App Store rules in a suit with Epic Games. The decision signals that Apple’s control over the App Store and the fees it charges likely won’t significantly change as a result of an ongoing legal challenge by Epic Games.
Apple hailed it as a victory.
“Today’s decision reaffirms Apple’s resounding victory in this case, with nine of 10 claims having been decided in Apple’s favor,” a company spokesman told CNBC. “For the second time in two years, a federal court has ruled that Apple abides by antitrust laws at the state and federal levels.”
Apple fiercely controls the App Store, which is the only way to sell iPhone apps to consumers. The tech giant’s employees check every update before they go live and can reject entire apps, and the company takes as much as 30% of all digital sales inside iPhone apps. The store remains a critical source of profit for the company, contributing to Apple’s $78.1 billion in services revenue in fiscal 2022.
App and game developers have chafed under store rules and fees for years, and Epic Games claimed to represent not only itself but also the interests of the broader developer ecosystem by suing Apple claiming that it violated antitrust law.
“Apple prevailed at the 9th Circuit Court,” Epic Games CEO Sweeney said in tweets sent after the decision. “Though the court upheld the ruling that Apple’s restraints have ‘a substantial anticompetitive effect that harms consumers’, they found we didn’t prove our Sherman Act case.”
“Fortunately, the court’s positive decision rejecting Apple’s anti-steering provisions frees iOS developers to send consumers to the web to do business with them directly there. We’re working on next steps,” Sweeney continued.