Australian Court Rules Against Apple and Google in Epic Games Case

SYDNEY, Australia — An Australian court has concluded that the app stores of Apple and Google are uncompetitive, marking a partial victory for Epic Games in a prolonged legal battle against these tech giants. This ruling emerged amidst Epic’s claims that the fees imposed by these companies on game downloads are excessively high and that they restrict users from accessing alternative app stores.

The federal court’s judgment, spanning over 2,000 pages, determined that both Apple and Google’s app stores lack protections against anti-competitive behaviors. Though the court did not release the full judgment on Tuesday, reported summaries indicated that the court found no intentional violations of the law by the smartphone manufacturers.

In a statement on X, Epic Games highlighted the court’s findings, claiming that both companies misuse their control over app distribution and in-app payments to stifle competition. Epic Games, headquartered in the U.S. and supported by China’s Tencent, stated, “The Epic Games Store and Fortnite will come to iOS in Australia! This is a WIN for developers and consumers in Australia!”

In response, Apple expressed satisfaction regarding the court’s dismissal of several of Epic’s claims, though it strongly disagreed with some of the outcomes. The Cupertino-based tech giant reaffirmed its position, stating, “Apple faces fierce competition in every market where we operate.”

Google also released a statement welcoming the rejection of specific claims by Epic, but noted that it disagrees with the court’s description of its billing practices. The company stated, “We will review the full decision when we receive it and assess our next steps.”

Judge Jonathan Beach, responsible for the ruling, noted that while Apple has an interest in protecting security through its centralized app distribution system, there is also a significant anti-competitive motive involved. He highlighted that Apple and Google’s practices prevent direct downloading or sideloading of applications and block developers and users from utilizing alternative payment methods.

This latest ruling provides a green light for other developers pursuing claims against Apple and Google, potentially opening the door for compensation related to app pricing. As the debate over app store policies continues, both Apple and Google remain committed to evaluating their business strategies in light of the recent ruling.