DOJ and State Attorneys General File Lawsuit Against Apple, Echoing Epic Games’ Complaints
On Thursday morning, the Department of Justice and 17 state attorneys general launched a significant lawsuit against Apple, alleging monopolistic practices in the smartphone market. This legal action parallels the ongoing battle between Apple and Epic Games, the creator of Fortnite, which has long accused Apple’s iOS App Store of antitrust violations.
Epic’s Grievances Reflected in the Lawsuit
Although not explicitly mentioned in the 88-page lawsuit, Epic’s complaints are mirrored throughout the extensive discussion of the App Store’s anticompetitive practices. The suit states, ”Apple often enforces its App Store rules arbitrarily. And it frequently uses App Store rules and restrictions to penalize and restrict developers that take advantage of technologies that threaten to disrupt, disintermediate, compete with, or erode Apple’s monopoly power.”
The Core of Epic’s Complaint: Apple’s Revenue Cut
Epic’s primary grievance with the App Store is the mandatory 30% cut of in-app purchases that developers must give to Apple. Unlike Android devices, iPhones do not allow sideloading apps, granting Apple complete control over any app in its App Store. For nearly a decade, Epic CEO Tim Sweeney has been a vocal critic of this revenue cut, deeming it monopolistic and predatory toward smaller companies. In 2020, Epic enabled Fortnite players to pay Epic directly, bypassing Apple’s cut. Consequently, Apple removed Epic from the App Store, igniting a legal battle that continues four years later.
Past Rulings in Apple’s Favor
Despite a judge’s ruling
1 Comment
Oh boy, looks like Epic Games just found their unexpected hero moment!