On Monday, Apple Square will take on Epic Games, the maker of the popular video game Fortnight, which seeks to overthrow the so-called ‘wall garden’ of the Apple App Store.
On Monday, Apple faces one of its most serious legal threats in recent years: a test threatening to lift the Iron Control over its App Store, which brings in billions of dollars every year when it feeds more than 1.6 billion iPhones, iPods and more. Devices.
The federal court case is brought by Epic Games, the maker of the popular video game Fortnight. The epic wants to overthrow the so-called “wall garden” of the App Store, co-founded by Steve Jobs, co-founder of Apple, which began building 13 years ago.
The epic allegations that Apple once turned a small digital storefront into an illegal monopoly are squeezing them significantly into mobile app revenue. Apple takes 15 percent to 30 percent commission on purchases made within apps that include everything from games to digital items to subscriptions. Apple denies Epic claims.
Apple’s most successful formula helped turn the iPhone maker into the world’s most profitable company, with a market value of $ 2.2 trillion.
Best by comparison to the privately owned epic, with an estimated market value b 30 billion. Its aspirations to get the big key as part of its plan to offer an alternative app store on the iPhone. North Carolina also wants to free up Apple’s commissions. Epic claims to have bought hundreds of millions of dollars from Apple before exiting Fordnight from its App Store last August.
Epic then sued Apple, sparking courtroom drama that could shed new light on how Apple manages its App Store. Apple CEO Tim Cook and epic CEO Tim Sweeney will testify in federal court in Oakland, California, which is set to allow social distance and will require masks at all times.
Both sides do not want an arbitral tribunal hearing, leaving the decision to U.S. District Judge Yvonne Gonzalez Rogers, who is already likely to hold a stake in the case and appeal his verdict.
Most of the evidence revolves around arcane but important arguments about market definitions.
The iPhone is so deeply ingrained in society that the device and its environment have become a monopoly that Apple can use to unjustly enrich itself and prevent competition.
Apple says it faces significant competition from various alternatives to video games on iPhones. For example, about two billion other smartphones do not run the iPhone software or work with its App Store – it relies mainly on Google’s Android system. Epic has filed a separate lawsuit against Google, accusing it of illegally tampering with apps through its own App Store for Android devices.
Apple Epic portrays itself as a company hungry for revenue sources beyond the aging Fortnight. It says Epic wants to freeload the iPhone ecosystem, which Apple has invested more than $ 100 billion over the past 15 years.
Apple’s App Store revenue estimates range from b 15bn to b 18bn annually. Apple denies those estimates, although it has not released its own figures. Instead, it insists it does not collect a cent from the 85 percent of applications in its store.
Apple claims that this is a legitimate way for a company to recoup its investment while at the same time financing an application review process that is necessary to protect the security of applications and their users. About 40 percent of the 100,000 applications submitted for review each week are rejected for some sort of issue, says Kyle Andir, Apple’s chief compliance officer.
The epic will try to prove that Apple is using the security issue to cover up its true motivation – maintaining a high-profit monopoly from app makers that may not be available on the iPhone.
But the small company may face an upward war. The judge expressed some doubts in court last year before denying Epic’s request to reinstate Fortnight in the pending App Store at the end of the trial. At the time, Gonzஸ்lez Rogers insisted that the epic’s claims were “within the bounds of the law of hopelessness.”
The case is expected to last for most of May, with a decision due in the coming weeks.