Antitrust actions & laws

Judge Holds Apple in Contempt for App Store Violations

MAY 1 2025·Updated MAY 2 2025

Story

Above: The Epic Games logo is being displayed on a smartphone with the Apple App Store icon. Image credit: Jonathan Raa/Contributor/NurPhoto via Getty Images

The Facts

U.S. District Judge Yvonne Gonzalez Rogers on Wednesday ruled that Apple willfully violated her 2021 injunction aimed at fostering competition within its App Store, referring the company to federal prosecutors for potential criminal contempt proceedings.
CBS News
Yahoo! News
www.ft.com
The original injunction required Apple to allow developers to direct users to alternative payment methods outside the App Store. Instead, Apple imposed a 27% commission on external purchases (compared to its standard 30% in-app fee) and added warning screens that discouraged users from using external payment links.
Breitbart
Investopedia
CNN
Judge Rogers accused Apple's vice president of finance, Alex Roman, of providing testimony that was "replete with misdirection and outright lies" regarding Apple's compliance efforts. She also criticized CEO Tim Cook for not following advice from executive Phil Schiller to comply with the injunction.
VentureBeat
ap
Reuters
The judge ordered Apple to stop collecting commissions on purchases made via external links immediately and to cease impeding developers' ability to communicate with users about alternative payment options. She also mandated that Apple cover Epic Games' legal fees related to the contempt proceedings.
TechCrunch
Wsj
Following the ruling, Epic Games CEO Tim Sweeney announced plans to return Fortnite to the iOS App Store next week. He proposed that if Apple extends the "friction-free, Apple-tax-free framework worldwide," Epic would drop current and future litigation.
VentureBeat
New York Post
Apple responded to the ruling, saying, "We strongly disagree with the decision. We will comply with the court's order, and we will appeal." The company had previously argued it made "extensive efforts" to comply with the injunction while preserving its business model and protecting consumers.
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CNN
Reuters

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The Spin

Pro-establishment narrative

This ruling finally forces Apple to compete fairly in the digital marketplace. The 27% commission was a transparent attempt to maintain Apple's supracompetitive margins while appearing to comply with the court order. The court has dramatically altered the risk calculus for dominant platforms in the digital economy by establishing that rent-seeking behaviors warrant civil penalties and potential criminal consequences.

Wired

The Sydney Morning Herald

Establishment-critical narrative

Apple's App Store policies protect consumers while providing a secure platform for developers. The company has legitimate business interests in maintaining quality control and security over transactions that originate on its platform. The court's decision fails to recognize the significant value Apple provides through its ecosystem and the investments required to maintain it, potentially undermining innovation and consumer protection in the long run.