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Apple must open iPhone to alternative app stores in Australia after Epic Games ruling

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Apple must open iPhone to alternative app stores in Australia after Epic Games ruling

An Australian federal judge has ordered Apple to make sweeping changes to its App Store rules following a years-long antitrust battle with Epic Games. Apple has confirmed that it plans to appeal. Here are the details.

Apple must allow iPhone users with Australian Apple Accounts to install apps from third-party app stores and websites starting March 1, 2027, a federal judge ordered today in a 235-page decision. Apple has until February 15 to request an extension until May 3, 2027, subject to court approval.

Today’s order follows a ruling last year that Apple violated Australian competition law by restricting alternative app distribution and payment methods, in a lawsuit brought by Epic Games similar to its long-running legal battle with Apple in the US.

In his decision, Justice Jonathan Beach said Apple held “a substantial degree of power in the iOS app distribution services market and the iOS in-app payment solutions market,” and used its developer agreements and App Store guidelines to restrict competition.

The ruling also cited Apple’s actions against Epic Games in 2020, including its refusal to allow Epic Direct Pay, Fortnite’s removal from the App Store, and the subsequent termination of Epic’s developer account.

Justice Beach described the latter two actions as “a paradigm example of Apple’s enforcement of its restrictive terms, in contravention of” section 46 of Australia’s Competition and Consumer Act 2010 , which prohibits corporations with substantial market power from engaging in conduct that has “the purpose, or has or is likely to have the effect, of substantially lessening competition” in that market.


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