Apple Seeks Delay on Ruling Affecting App Store Payments

Apple Inc. is trying to postpone enforcement of a negative U.S. court ruling. This ruling forces the company to allow app makers to route consumers to other payment platforms. This ruling follows an extended judicial fight with Epic Games. Indeed, they have been some of the most vocal challengers of Apple’s commission practices on its App Store.

In 2021, Apple was ordered by a court to alter its payment practices after a lawsuit brought by Epic Games. The ruling compels Apple to permit apps on its U.S. App Store to offer functionality that makes off-app purchases possible. Second, Apple must stop collecting the standard 30 percent commission on payments made through these new alternative systems. The court previously ordered Apple to cease displaying “scare screens.” These screens warned users about the “risk” of proceeding when making in-app purchases outside of Apple’s ecosystem.

Yet Apple has failed to fully comply with the ruling. Rather than pursue this route, the company filed an emergency motion to request a partial stay on the court’s ruling. The company claims that forcing the company to adopt these changes would cause them to lose millions of dollars in revenue. Under Apple’s logic, this would mean that it today charges app developers a 27% commission on transactions processed through any external system.

Apple issued a statement expressing concern for the ruling’s potential impact. They cautioned that the new restrictions would result in “serious and irreparable injury” to their business model. The business contends that the restrictions it has been required to bear have grown out of activity that has never been firmly established in courts as illegal. They argue these restrictions are punishment for supposed violations of a prior state-law injunction.

“Without a stay, these extraordinary intrusions into Apple’s business will cause grave irreparable harm.” – Apple

The ongoing legal tussle has highlighted broader issues regarding app store practices and the authority of platform owners over their ecosystems. Epic Games has been leading the charge for a more open platform, insisting that Apple’s monopolistic policies kill competition and innovation.