Apple vs Epic Games: Court junks iPhone maker’s plea for stay on ruling over in-app payments

By: |
November 10, 2021 6:52 PM

The Cupertino-based tech giant faces a multitude of antitrust lawsuits — both inside and outside the United States — that seek to make the App Store open to competition.

Apple vs Epic Games (Reuters)The legal dispute stems from Fortnite’s removal from the App Store last year. (Reuters)

Tech giant Apple will have to adhere to the December 9 deadline to allow developers to include external payment options in their apps after failing to convince a US Federal judge in its motion for a stay.

Also Read | Apple vs Epic Games: In Federal Judge’s ruling in antitrust case, iPhone maker loses but wins

Unless an appeals court grants the iPhone maker a reprieve, Apple will have to permit developers to steer customers to payment modes outside the App Store — an overhaul that could cost the company billions of dollars a year. The original ruling has its roots in a case lodged by Fortnite-maker Epic Games, which accused Apple of running a monopoly.

The legal dispute stems from Fortnite’s removal from the App Store last year. At that time, Apple had accused Epic Games of violating its policies by incorporating in the game a direct payment method to avoid paying a 30% cut for in-app purchases.

Also Read | Apple vs Epic Games: Is Epic Games really winning? Apple refuses to reinstate Fortnite on iOS until final verdict

In its latest motion, Apple had pleaded with US District Judge Yvonne Gonzales Rogers to stay a part of her injunction that said the tech giant must undo its rule that forbade developers from using web links within apps to inform consumers about third-party payment methods.

Apple said it would file a motion in the Federal Appeals Court in San Francisco to put the order on hold. “Apple believes no additional business changes should be required to take effect until all appeals in this case are resolved,” Bloomberg quoted a statement from the company.

Judge Rogers had given Apple 90 days to comply with her original order.

Also Read | Apple vs Epic Games: iPhone-maker appeals to overturn ruling it called a ‘resounding victory’

The Cupertino-based tech giant faces a multitude of antitrust lawsuits — both inside and outside the United States — that seek to make the App Store open to competition.

Also Read | Apple vs Epic Games: iPhone-maker updates App Store payment rules

Apple recently updated the App Store policy, allowing developers to contact users about payment methods — a concession granted to companies challenging the tight control over its marketplace. As part of the updated policy, developers can directly contact consumers about alternative payment modes.

Get live Stock Prices from BSE, NSE, US Market and latest NAV, portfolio of Mutual Funds, Check out latest IPO News, Best Performing IPOs, calculate your tax by Income Tax Calculator, know market’s Top Gainers, Top Losers & Best Equity Funds. Like us on Facebook and follow us on Twitter.

Financial Express is now on Telegram. Click here to join our channel and stay updated with the latest Biz news and updates.

Next Stories
1India to have 500 mn 5G subscriptions, average traffic per smartphone to touch 50 GB/month by 2027-end: Ericsson
2Google Play best apps, games of 2021: BGMI, Bitclass, Clubhouse top list in India
3New Twitter CEO Parag Agarwal: Tesla CEO Elon Musk hails Indian-origin talent in US tech