Latest News U.S. Federal Judge as well as Epic Games Contest Whether Apple is conforming to the ruling that allows payments Steering (PS)

May 23, 2024

A hearing regarding the details that are relevant to the Epic Games v. Apple matter will focus on the question of whether Apple actually adheres to U.S. District Judge Yvonne Gonzalez Rogers' order to permit developers of applications to be able in the near future to "steer" users to use other payment methods outside the app's native App Store.

The court hearings on Apple's compliance to the laws began on Wednesday May 8. AP is reporting that Judge Gonzalez Rogers " questioned whether Apple is putting up a series of unneeded obstructions to hinder the use of different methods of payment to pay for iPhone applications" regardless of the court's directive.

The HTML0 hearing was focused on the question of whether Apple Policy remains anti-steering

The AP report further describes the way judge Gonzalez Rogers' tone suggested Apple's actions are aimed to make money for Apple rather than ensuring that it is in line with the goals of her choice to let customers steer the payment options. The plan also seeks to improve iPhone users' ability to quickly switching between different payments options within an app. The article explains in the Epic document that Apple does not allow users from steering their iPhones towards other payment methods with less cost.

The AP article notes that during the the course of the meeting Apple Chief Executive Officer of the iPhone App Store, Matthew Fischer said that Apple has only granted permission for the use of 38 applications to show connections to payment networks, "a fraction of the about two million iPhone apps available throughout the U.S."

PC Mag points out that there are 38 applications -- 38 out of the 65,000 apps developers that offer in-app purchases are likely because of cost including the 27% Apple fee, and the cost added by credit card fees may result in an increase of total expenses for app developers.

Apple CEO "unaware" of Higher Overall Costs

The LAW360 report from April 10, 2015 details the proceedings that occurred. The legendary lawyer Yonatan Even as well as the judge Gonzalez Rogers questioned Apple Finance Vice President Alex Roman. They also emphasized the lesser amount Apple gives users Apple -- 27 percent for transactions made using applications that aren't accessible via Apple devices, in contrast to the standard $30 per each transaction. Furthermore, Epic added evidence to show the cost for payments within those in the U.S. is 3.5 per cent. Furthermore, the yoga app's CEO admitted that he was charged 3.5 percent up to 6.5 percent in fees for the processing of payments. In the end, Roman admitted that he didn't know about the fees, Even stated that the purpose was to set a figure that could allow companies to give users cheaper price. The court asked Roman to elaborate on his beliefs regarding the matter. Justice Gonzalez Rogers is quoted as declaring to Roman that "'It sounds like you all tend to make a decision without a basis or factual information," she remarked. "It appears to me that it was intended to protect ... the previous revenue that you've had before.'" The LAW360 article is available here.

HTML0 We're delighted to offer The Judge's Perspective in partnership with Epic

Chief Executive Officer and Chief Executive and Chief Executive Director David Nachman states that "We're delighted to have the judge in favor of Epic in this case We're confident that the court will order Apple to let steering be allowed for game developers and app developers without fees or restrictions. Epic's mission is to broaden markets for software and digital products businesses, which is the reason we're accompanied by our customers to be elated at the speedy progress towards the freedom of commerce on mobile."

Further Protest Against Antitrust against Apple initiated with the US Justice Department

In connection with the Epic Games lawsuit in the U.S. Justice Department case U.S. Justice Department launched an antitrust case against Apple in March 2024 and stated that Apple is the sole major company that makes smartphones, which also applies (among numerous other aspects) to electronic payment.

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