In a recent turn of events, the Supreme Court of the United States (SCOTUS) denied the appeals from Apple and Fortnite maker Epic Games in a three-year-old antitrust case on Tuesday, January 16, 2024. For the unversed, both parties appealed against the verdict in the Epic Games vs. Apple lawsuit. The District Court judge decided in favor of the tech giant on nine of ten counts in the September 2021 ruling.
Fortnite’s return to the App Store now seems impossible after the US Supreme Court snubbed Apple and Epic Games’ appeals. Epic Games’ founder and CEO, Tim Sweeney, showcased his displeasure via X after the court rebuffed his company’s appeal against Apple. At the same time, the rejection of Apple’s appeal also means that the tech giant will now have to allow US developers to insert alternative payment options in apps.
“A sad outcome for all developers” – Epic Games’ Tim Sweeney After SCOTUS Rejects Appeal
Tim Sweeney labeled the Supreme Court’s rejection of the appeal as “A sad outcome” in a thread where he also wrote about Apple’s anti-steering rule and how the battle in the court was lost after the recent events. Here’s what Sweeney posted:
“The Supreme Court denied both sides’ appeals of the Epic v. Apple antitrust case. The court battle to open iOS to competing stores and payments is lost in the United States. A sad outcome for all developers.”
He added,
“Now the District Court’s injunction against Apple’s anti-steering rule is in effect, and developers can include in their apps “buttons, external links, or other calls to action that direct customers to purchasing mechanisms, in addition to IAP”.”
The thread continues,
“As of today, developers can begin exercising their court-established right to tell US customers about better prices on the web. These awful Apple-mandated confusion screens (talking about the screengrabs from Spotify and Netflix apps) are over and done forever.”
Sweeney concluded his thread by highlighting how regulators worldwide have passed new laws to counter Apple’s “anticompetitive app store practices.” He also pointed out the EU’s Digital Market Act, which is effective March 7, 2024.
For those unaware, Apple had won the lawsuit against Epic Games, as the court ruled that the tech giant “did not engage in antitrust behavior” on nine of ten counts. However, the verdict deemed Apple’s anti-steering restrictions as “anticompetitive.”
Thus, Apple might not charge any commission from the US software developers over the in-app purchases after including alternative payment options in the applications. One must note that Apple claims up to 30% commission from devs for in-app transactions (App Store).