The maker of the popular Fortnite video game said in a court
filing Sunday that it will take the ruling to the Ninth Circuit Court of
Appeals in San Francisco.
In a 185-page decision rendered Friday, US District Judge
Yvonne Gonzalez Rogers ordered Apple to dismantle a lucrative part of the
competitive barricade guarding its closely run iPhone app store, but she
rejected Epic's allegations that Apple ran a monopoly.
Epic's notice of appeal said it would appeal the final
judgment “and all orders leading to or producing that judgment.”
The ruling continues to chip away at the so-called “walled
garden” that Apple has built around its crown jewel, the iPhone, and its app
store, without toppling it completely.
The decision also provided Apple with some vindication. The
judge didn't brand Apple as a monopolist or require it to allow competing
stores to offer apps for iPhone handsets, iPad devices, and iPods.
Those were two of the biggest objectives sought by Epic,
which filed what it would hoped would be a landmark antitrust case last year
after brazenly defying an exclusive payment system that funnels 15 percent to
30 percent of all in-app digital transactions on iPhone gadgets to Apple.
Such transactions can include everything from Netflix or
Spotify subscriptions to the sale of digital item such as songs, movies or
virtual tchotchkes for video games. Epic cast that highly lucrative fee as a
price-gouging tactic that wouldn't be possible if competing stores were allowed
to offer iPhone apps.
While parts of her decision raised questions about whether
Apple's fees were driving up prices for consumers, Gonzalez Rogers left the fee
structure intact and upheld the company's right to block other stores from
offering apps for its iPhone. She sided with Apple on every other key point of
the case.
But the judge did conclude Apple has been engaging in unfair
competition under California law, prompting her to order the company to allow
developers throughout the US to insert links to other payment options besides
its own within iPhone apps. That change would make it easier for app developers
to avoid paying Apple's commissions, potentially affecting billions of dollars
in revenue annually.
Apple did its best to frame the decision as a complete
victory, even as it acknowledged it may appeal the portion of the ruling that
will make it easier for app developers sidestep Apple's commissions.