Key points
- Australian Federal Court orders Apple to permit third-party app stores on iOS devices in Australia.
- Justice Jonathan Beach ruled Apple misused market power to maintain a monopoly on app distribution.
- Apple must restore Epic Games' Fortnite to the Australian App Store by March 1, 2027.
An Australian court has ordered Apple to open its iOS ecosystem to rival app stores and restore Fortnite, marking a significant legal defeat for the technology company's closed software model.
How it unfolded
- August 2020: Apple removes Fortnite from the Australian App Store after Epic Games attempts to bypass the 30 percent commission fee on in-app purchases.
- Recent ruling: Justice Jonathan Beach of the Federal Court of Australia finds that Apple misused its market power to maintain a monopoly over app distribution.
- March 1, 2027: The orders take effect, requiring Apple to allow third-party app stores and restore Epic Games' titles.
Who is affected
The ruling directly impacts Apple, Epic Games, and Australian iOS users. According to TechRadar, Justice Jonathan Beach stated that Apple devised a deliberate strategy of foreclosure regarding iOS app distribution. The court found that Apple systematically implemented practices to circumvent regulatory constraints. Apple denies having a monopoly in Australia or any global market. The company plans to appeal the decision, stating it respects intellectual property and protects a safe consumer experience. Epic Games CEO Tim Sweeney celebrated the ruling on X.
View the original post on X
View the original post on X
What happens next
Apple has until February 15 to appeal the decision. The company intends to request a stay and appeal the outcome. Both orders are set to take effect at noon Australian Eastern time on March 1, 2027, unless stayed. The ruling requires Apple to fully open its iOS ecosystem in the country to third-party competitors. Apple claims the market definition used was rejected by other courts. Last year, the US Supreme Court also ruled on Apple's anti-competitive conduct and pricing.
The background in plain language
This case centers on the concept of a "walled garden," where a company controls all access to its software ecosystem. Courts examine whether this control creates an unfair monopoly. App distribution refers to how users get software onto their devices. In-app payments are transactions for digital goods within apps. Regulators often require companies with dominant market positions to allow competition, ensuring consumers have choices and fair pricing for digital services.
What to do and how to stay safe: Apple
- Monitor official announcements from Apple regarding changes to the Australian App Store and iOS settings.
- Check if your device region settings affect app availability or payment options.
- Review app sources to ensure you download software from trusted and verified stores.
- Stay informed about legal developments that may impact future software distribution models.
Step-by-step guide: Mobile Device Security for Small Business: Control Without Cost
General security guidance from the Circuit Observer newsroom. It is not confirmed advice from the organisations named in this story.
Frequently asked questions
When does the ruling take effect?
The orders are set to take effect at noon Australian Eastern time on March 1, 2027.
What did the court rule Apple did?
The court ruled that Apple misused its market power to maintain a monopoly over app distribution and payments.
Will Fortnite return to the Australian App Store?
Yes, the ruling orders Apple to restore Fortnite and other Epic Games apps to the Australian App Store.
