Apple Found in Contempt for Violating App Store Competition Order - PRESS AI WORLD
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Apple Found in Contempt for Violating App Store Competition Order

Credited from: CBSNEWS

  • A federal judge ruled Apple violated an injunction related to competition in its App Store.
  • Apple may face criminal contempt charges for attempts to maintain its revenue stream.
  • The ruling is part of an ongoing antitrust case initiated by Epic Games.

In a significant ruling, U.S. District Judge Yvonne Gonzalez Rogers found that Apple willfully violated a 2021 court order intended to open its App Store to greater competition by allowing alternative payment options. This decision could lead to criminal contempt proceedings against the company and a top executive, according to Channel News Asia, Reuters, and LA Times.

Judge Gonzalez Rogers described Apple’s actions as an effort to “maintain a revenue stream worth billions” directly in contravention of her orders. She stated that Apple imposed a new 27 percent fee on transactions outside the App Store, which she considered a violation of the injunction designed to foster competition, according to New York Times, BBC, and CBS News.

The judge emphasized that Apple’s “continued attempts to interfere with competition will not be tolerated,” and referenced apparent misrepresentations from Apple executives during court proceedings. For instance, Apple’s vice president of finance, Alex Roman, was accused of "outright lying under oath," which may contribute to the case being referred for criminal investigation, as reported by India Times, TRT World, and The Hill.

In litigation stemming from Epic Games' antitrust lawsuit initiated in 2020, the court's previous decision had only partially favored Apple, recognizing anticompetitive behaviors without classifying it as an illegal monopoly. The focus now shifts to the potential repercussions for Apple, as it battles a myriad of antitrust pressures, including an overarching U.S. Department of Justice investigation that aims to scrutinize Apple's market practices, as highlighted by Channel News Asia and Anadolu Agency.

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