US Judge Denies Apple Motion on Commission Rate for Linked-Out App Purchases

• A federal judge will continue to assess Apple's commission rate for linked-out app purchases.
• The Supreme Court is reviewing a civil contempt finding against Apple related to its App Store practices, after denying the main appeals in the Epic Games v. Apple case in January 2024.
• Apple's commission rate could impact app developers' revenue and set a precedent for future antitrust claims against tech giants.

“The court is to determine an appropriate commission, that is a factual issue,” the Barack Obama appointee said.

A federal judge has denied Apple's motion to stop proceedings in a lower court, where the tech giant's commission rate for linked-out app purchases will be determined. This decision comes as the Supreme Court reviews a civil contempt finding against Apple related to its App Store practices, following its denial of the main appeals in the landmark Epic Games v. Apple case in January 2024. The lower court must now hash out with parties' attorneys what a final commission figure will be for Apple to impose on external storefronts that begin in its App Store. U.S. District Judge Yvonne Gonzalez Rogers emphasized the need to determine an appropriate commission rate, citing evidentiary issues that will not be addressed by the Supreme Court.

The Epic Games v. Apple case has been a long-standing antitrust dispute between the tech giant and the popular online video game developer. In 2020, Epic Games brought claims against Apple, alleging that its App Store practices were anticompetitive and forced companies to use proprietary tools for app development and distribution. The case has seen several twists and turns, including a split decision by Judge Rogers in September 2021, which ruled in favor of Apple on nine of 10 counts. However, the Ninth Circuit upheld Rogers' findings in April 2023, and the Supreme Court denied Apple's appeal in January 2024.

The determination of Apple's commission rate for linked-out app purchases has significant implications for app developers' revenue. A final figure could impact the way apps are distributed and sold on external storefronts, potentially setting a precedent for future antitrust claims against tech giants. As lawyers watch this case unfold, they may see it as a test of the limits of Apple's App Store practices and the power of federal judges to regulate tech companies' business models.

A federal judge will continue to assess Apple's commission rate for linked-out app purchases, potentially leading to a final figure that could impact app developers' revenue. Lawyers should watch for updates on this case as it may set a precedent for future antitrust claims against tech giants.

Source: Original reporting via Courthouse News