Apple Faces Legal Setback as Judge Rules on Anticompetitive Practices

This week, Judge Yvonne Gonzalez Rogers threw out the plaintiffs’ core legal underpinnings with a significant ruling of law. She found Apple Inc. has indeed willfully violated a 2021 injunction that prohibits the company from committing anticompetitive pricing acts. The court’s ruling against Apple came after finding that the company had illegally charged fees on…

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Apple Faces Legal Setback as Judge Rules on Anticompetitive Practices

This week, Judge Yvonne Gonzalez Rogers threw out the plaintiffs’ core legal underpinnings with a significant ruling of law. She found Apple Inc. has indeed willfully violated a 2021 injunction that prohibits the company from committing anticompetitive pricing acts. The court’s ruling against Apple came after finding that the company had illegally charged fees on all purchases made outside of its apps. This sham of a breach may even lead to criminal contempt proceedings.

For many, the case has become a chapter in the long-standing Apple/ Epic Games rivalry. How far this has gone to be even worth Judge Gonzalez Rogers now referring the case to the U.S. attorney for criminal review. The court’s determination that Apple violated the injunction raises questions about the company’s control over its App Store and its pricing strategies.

Judge Gonzalez Rogers expressed strong disapproval of Apple’s actions, stating, “That it thought this Court would tolerate such insubordination was a gross miscalculation. As always, the coverup made it worse. For this Court, there is no second bite at the apple.”

This ruling leaves the possibility for Epic Games’ massively successful gaming platform, Fortnite, to return. It might come back to the U.S. iOS App Store as soon as next week! This development could mark a significant shift in the ongoing battle between the two companies, especially if Apple chooses to adhere to the court’s directives.

Aside from the litigation, Judge Gonzalez Rogers has made a public offer to Apple about potential solutions. If passed, this proposal would instigate dramatic reforms to Apple’s harmful App Store policies. It closely addresses commission fees and the price-fixing scheme.

Tim Sweeney, CEO of Epic Games, expressed approval with the court’s ruling and Judge Gonzalez Rogers’ plan to negotiate an injunction. He stated, “If Apple extends the court’s friction-free, Apple-tax-free framework worldwide, we’ll return Fortnite to the App Store worldwide and drop current and future litigation on the topic.”

This case illustrates the still ongoing examination of Apple’s business practices, and its power over the app ecosystem. What happens there will not only determine the fate of Fortnite, but likely establish important legal precedents governing the way digital marketplaces conduct business in the future.