Apple Takes Revenge, Fortnite Application Blocked on iPhone

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Intan Rakhmayanti Dewi, CNBC Indonesia

Tech

Thursday, 07/03/2024 22:00 WIB

Jakarta, CNBC Indonesia – Apple’s feud with Epic Games is heating up by blocking video game maker Fortnite from launching its own online marketplace on iPhone and iPad in Europe.

The two companies have been embroiled in a legal dispute since 2020, when Epic Games alleged that Apple’s way of charging commissions of up to 30% on in-app payments on iPhone Operating System (iOS) devices violated US antitrust rules.

Efforts by regulators and competitors like Epic to pave the way for market rival Apple devices pose a major threat to Silicon Valley companies’ profits and control over their own ecosystem.

European lawmakers forced Apple to allow these third-party markets through a law called the Digital Markets Act (DMA) which came into effect this week, as quoted by , Thursday (7/3/2024).

Separately, Brussels antitrust regulators fined Apple 1.84 billion euros (Rp. 31 trillion) for thwarting competition from music streaming rivals through restrictions on its App Store, Apple’s first penalty for breaking EU rules.

Epic attempted to take advantage of DMA, but Apple blocked the attempt on Wednesday (7/3) citing Epic’s past breaches of contract in a long-running legal dispute.

Apple terminated a new developer account that Epic created in Sweden. Epic has created the account in an effort to bring Fornite and other games back to iPhones in Europe by running its own game store on Apple devices. Apple must allow third-party stores on its devices, under new European law.

A developer account is important because software makers can’t distribute apps to iPhones and iPads without one.

Apple previously terminated several Epic developer accounts in 2020 after Epic knowingly violated Apple’s in-app payment rules, using those rule violations and subsequent removal from the App Store as the centerpiece of a legal campaign against Apple.

The Cupertioni US company said the court decision had made it clear that it had the “sole discretion” to terminate the accounts of any Epic Games developer in connection with a “gross” breach of the company’s developer agreement.

“Given Epic’s past and current behavior, Apple chose to exercise its right to terminate Epic Games’ account,” Apple said.

Epic alleged that by closing its account, Apple removed one of Apple’s biggest potential App Store competitors. “This is a serious violation of DMA and shows that Apple has no intention of allowing real competition on iOS devices,” Epic Games said.

The European Commission, the EU’s executive arm, did not immediately respond to a request for comment.

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Video: Apple will be fined IDR 8.4 trillion by the European Union

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