Latest News U.S. Federal Court Judges Participate in Epic Games Contest Whether Apple is in compliance with its order to allow the use of payment steering

A review of evidence presented in the Epic Games v. Apple trial is focusing on whether Apple is actually complying the terms of U.S. District Judge Yvonne Gonzalez Rogers' order that permitted app developers with the hope of "steer" customers to utilize alternatives to payment methods that are unavailable in the App Store's native app store.

The hearings to hear the evidence on the subsequent Apple compliance started on May 8. AP states that the judge Gonzalez Rogers " questioned whether Apple is putting up high-risk barriers to discourage users from utilizing other payment methods in iPhone apps" even in the face of the direction given by a judge.

   Hearing focused on whether Apple Policy remains anti-steering  

The AP article also explains how the reasoning of judge Gonzalez Rogers' tone suggested Apple's policy has mostly focused in protecting the company's earnings rather than being a part of the the intention of using her choice to permit consumers to be guided by the company and to improve iPhone users' capacity to easily switch to alternative choices for paying through the application. The article explains that, in the Epic document, Apple is still blocking the developers from directing users to other payment options with lower costs.

The AP report goes on to state that as part of the hearing, Apple chief executive officer, who is responsible for the iPhone App Store, Matthew Fischer said that Apple has only accepted and approved requests for 38 apps with hyperlinks to payment system, "a fraction of the about 2 million iPhone apps available in the U.S."

PC Mag points out that the low number of apps with in-app purchase only 38 of the 65,000 developers offering in-app purchase- is likely due to the price due to those 27 percent Apple costs and the expense of fees that credit card companies charge. This would most likely result in a more expensive cost for developers of apps overall.

Apple Executive 'Unaware' of the cost increase issue

The LAW360 story that was published on May 10, 2017 describes the incident that occurred when Epic lawyer Yonatan Along and Judge Gonzalez Rogers questioned Apple Finance Vice President Alex Roman. The article also referred to the lower fee of 3%, which can be accessed by Apple which is 27 percent of transactions outside an app using Apple devices, as opposed to the normal 30 percent cost and Epic provided proof to demonstrate that the cost to process payments in the U.S. is 3.5% which includes a yoga app CEO who testified that the company pays 3.5 percentages to 6.5 percent fees for payments processing. Following the incident, Roman claimed that he was not conscious of this. Even stated that the goal was to establish the fee to allow businesses to give users an affordable cost. They then inquired of Roman as to whether he had been aware of the fact that he was aware. The judge Gonzalez Rogers is quoted as telling Roman that "'It appears that you have a tendency to take choices in the absence of any data or knowledge to guide you,' she added. "It is my impression that the intent was to keep ... your previous amount of earnings you used to earn.'" Download the LAW360 report here.

   I'm thrilled to be on the Judge side with Epic  

Director of Operations David Nachman states that "We're happy to see that the judge has decided with Epic in this case. We're hoping that the judge will order Apple to let steering be given to game designers and app developers without any charges or limitations. We want to enable international commerce to developers of digital and software products which is why we're joined by our customers in embracing this move towards an open and welcoming commerce experience that is mobile-friendly."

   Additional Antitrust Act against Apple initiated by US Justice Department  

Additionally, to in addition to the Epic Games matter, there is also the matter of Epic Games. U.S. Justice Department launched an antitrust lawsuit against Apple in march 2024, alleging that Apple holds monopoly rights on the mobile phones that includes (among numerous other aspects) on the subject of electronic payment.

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