Apple Asks US Supreme Court to Review Epic Games Contempt Ruling

Apple Inc. (AAPL) asked the U.S. Supreme Court on Thursday to review a lower court ruling that held the iPhone maker in civil contempt over fees it charges on certain outside purchases made by App Store customers.

Details of the Action

Apple filed a petition with the Supreme Court challenging the contempt order issued by a lower court. This move escalates a years-long legal battle with "Fortnite" maker Epic Games, which sued Apple in 2020 seeking to loosen its control over in-app transactions and app distribution restrictions.

Company's Position

Apple argues the contempt ruling is unwarranted and maintains that its App Store policy changes comply with a prior injunction. In 2021, a judge issued an injunction requiring Apple to let developers include links in their apps directing users to non-Apple payment methods.

Precedents and Context

The case began in 2020 when Epic Games sued Apple for antitrust violations. Although the judge mostly dismissed Epic's lawsuit, the injunction was issued. Epic accuses Apple of failing to fully comply, leading to the contempt finding.

Potential Financial Impact

The direct financial impact remains unclear, but the case could affect Apple's App Store revenue model, which generates billions annually. If the Supreme Court upholds the contempt order, Apple may need to further adjust its policies.