An appeals court this week denied Apple’s request to pause a ruling that mandates the company to allow app developers to direct users to external payment options. Apple had been ordered to update its App Store policies in April, but quickly appealed and sought a temporary stay. On Wednesday, the 9th U.S. Circuit Court of Appeals declined, stating that Apple “bears the burden of showing that the circumstances justify an exercise of [our] discretion” and found no grounds for a stay.
Implications for Apple and Developers
This decision means Apple must comply with the original ruling as the appeal continues. An Apple spokesperson reiterated their disagreement with the district court’s decision, emphasizing their aim to maintain a safe and trusted App Store experience while offering opportunities for developers.
The case originated in 2020 when Epic Games sued Apple over the 30% commission fee Apple charges on in-app purchases. The ruling has already prompted changes, such as the return of Epic’s Fortnite to the App Store and updates to apps like Kindle and Spotify, now supporting third-party payment methods.
Chris Best, CEO of Substack, praised the changes, highlighting the positive impact on independent media. He said, “It just means that you’ve always been able to discover things in the Substack app, and you have options for how you charge for it now, which we think is a big win for independent media.”
Epic Games CEO Tim Sweeney also welcomed the ruling, tweeting hopes for the upcoming WWDC to celebrate “freedom that developers and users have long deserved.”
Author’s Opinion
This ruling represents a crucial step toward breaking monopolistic control over app payment systems. Allowing third-party payments not only benefits developers by lowering fees but also empowers users with more options. While Apple’s concerns about safety and user experience are valid, the market must evolve to foster innovation and fairness in digital commerce.
Featured image credit: PickPik
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