The News: U.S. Supreme Court Rejects Appeals From Apple as well Epic in Antitrust Case -
The 16th of January, on the 16th of January, the U.S. Supreme Court denied requests to hear appeals from both Apple and Epic Games regarding the antitrust litigation Epic brought against Apple at the end of 2020. Reuters reported.
In 2021 U.S. District Judge Yvonne Gonzalez Rogers denied the bulk of Epic's arguments against Apple however, she ruled against Epic's policies against developers sending users away from Apple's network to make digital purchases. Then in 2023, the 9th U.S. Circuit Court of Appeals in San Francisco agreed with much of Judge Rogers 2021 decision.
What Does Apple Think? Apple Responds
The Associated Press reported that this removes the hold of an order to give devs the ability to choose other payment options. Apple also filed court papers on the 16th of January which outline the company's plans to comply with the order but still retain the majority of their costs.
AP continued that Apple's Tuesday court filing indicates that they plan to:
- Let developers use hyperlinks to websites that link to external sites However, Apple charges 12%-27 percent commission on payment via links to external websites.
- Warn consumers using an "scare screen" when they click on an advertisement that takes the user to an alternative payment option, notifying them that Apple is not responsible to those transactions in regards to privacy or security.
- Institute an application process for pre-approval that AP describes as "potentially difficult" before allowing external-pointing links or buttons to appear within iPhone or iPad apps, citing Apple's "effort to limit the risk of fraud, scams and confusion."
What is it? Epic Games is Reacting
AP said that the report that outlines the plans "provoked assertions that Apple has acted in bad faith, and sets the stage for more dispute over legal issues," apparently quoting Epic Games' Chief Executive Officer Tim Sweeney's X (formerly called Twitter) blog post in which he said "Apple submitted a false 'compliance plans for the District Court's injunction."
Sweeney then threaded the list of "glaring difficulties we've identified in the past," concluding with " Epic will challenge Apple's bad-faith compliance plan before District Court" as well as the attachment of an image the aforementioned "scare screen" Apple has included in the Developer Support update on the external purchase link.
Earlier on Tuesday, Sweeney had posted mixed views, stating his displeasure with there was a "shocking" decision by the Supreme Court choosing not to hear appeals in this case was "A tragic outcome for all developers" however, he also noted that " developers can begin using their right as a court judge to inform US customers about better prices when they shop online."
Additional Epic Games v. Apple Case Developments
On Wednesday, January 17, Reuters reported that Apple also asked the court on Tuesday for Epic Games pay them over $73 million in legal costs and other expenses. Reuters states that Apple's request was prompted by "a lower court ruling that said Epic Games violated a developer agreement it signed in 2010," in which "Epic was required to pay for the costs of legal, losses, and any other charges arising from a violations."