In a significant legal development, Apple Inc. may face criminal contempt charges following a ruling by US District Judge Yvonne Gonzalez Rogers. The judge found that the tech giant had willfully violated an injunction stemming from a case initiated by Epic Games, the creator of the popular game Fortnite. This injunction was put in place to curb Apple's anti-competitive conduct and allow alternative payment methods in the App Store. In her ruling, Judge Gonzalez Rogers claimed that a senior Apple executive "outright lied" under oath during the trial.
Late Wednesday, Apple issued a statement expressing strong disagreement with the court's findings, vowing to comply with the order while also indicating plans to appeal the judgement. The referral to the US Attorney for the Northern District of California signals potential criminal proceedings against Apple if warranted.
At the heart of the controversy is the case brought by Epic Games in 2021, which argued that Apple’s monopoly in the App Store stifled competition by taking up to a 30% commission on purchases. The judge's previous decision mandated that Apple allow developers to link to their own payment systems, promoting fair competition.
However, the latest contempt order claims that Apple actively interfered with the competition and violated the injunction, with the court determining that internal company documents indicated a deliberate decision to pursue anti-competitive strategies. These included new policies that imposed commission fees on off-app purchases and additional obstacles for customers wishing to use outside payment platforms.
In a post on social media platform X, Epic Games CEO Tim Sweeney announced plans to reinstate Fortnite in the US iOS App Store next week, extending an offer to Apple in light of the recent ruling. Sweeney proposed a "peace proposal" in which Epic would return the game to the App Store and cease ongoing litigation, provided Apple extended its altered pricing framework globally.
Sweeney further asserted that Apple’s previously standard commission fees were now rendered "unlawful" both in the United States and Europe under the Digital Markets Act. This ongoing legal battle highlights the increasing scrutiny of major tech companies regarding their practices and the regulatory challenges they face in an evolving digital landscape.
