Apple Vs Epic: US Court Asks iPhone Maker To Allow Developers Accept Payments Via Other Platforms

Soon after the ruling, Apple shares dropped about 3.4 per cent, knocking $87 billion off the company's market value.

(File Photo/ Getty)

San Franciso: Hours after technology conglomerate Apple on Friday rejected US game maker Epic Games's request that its hit title "Fortnite" be re-released in South Korea, a US judge issued a ruling striking down some of Apple's restrictions on how developers can collect payments in apps, Reuters reported. 

The ruling stated that the tech giant cannot restrict developers from providing buttons or links in their apps that direct customers to other payment gateways outside of Apple's own in-app purchase system. Apple's in-app payment system charges developers commissions of up to 30 per cent.

The judge further ruled that Apple cannot even bar developers from communicating with customers via contact information that the developers obtained when customers signed up within the app, the report added. 

Soon after the ruling, Apple shares dropped about 3.4 per cent, knocking $87 billion off the company's market value.

"As the Court recognized ‘success is not illegal. Apple faces rigorous competition in every segment in which we do business, and we believe customers and developers choose us because our products and services are the best in the world," Apple said in a statement.

The judge stated that Epic failed to demonstrate Apple is an illegal monopolist, but did show the smartphone giant engaged in “anticompetitive conduct” under California laws.

The judge even issued a nationwide injunction halting Apple "anti-steering provisions" that limits app developers from pointing users outside of Apple’s ecosystem.

Epic's 'Fortnite' was removed from Apple's App Store last year after the game maker introduced its own direct payment system to circumvent Apple's commissions.

"As we've said all along, we would welcome Epic's return to the App Store if they agree to play by the same rules as everyone else. Epic has admitted to breach of contract and as of now, there's no legitimate basis for the reinstatement of their developer account," news agency IANS quoted Apple as saying in an official statement. 

According to Apple, Epic has refused to comply with its App Store review guidelines. 

(With inputs from agencies)