Fortnite manufacturer Epic Games and Apple clashed in court on Monday during the opening of a lawsuit in the iPhone maker’s App Store with major implications for the mobile world, bomb trade for alleged monopolistic actions and what is best for consumers.
In essence, Apple planted “a flower in the fenced garden (which was turned into a flytrap for Venus,” the lawyer said during an introductory statement in a federal court in California, claiming that the titanium technology receives 78% profit from applications.
“The evidence will show unequivocally that Apple is a monopoly,” she said.
Apple’s lawyer Karen Dunn fired in response, telling the judge that Epic’s lawsuit was part of a “self-proclaimed war against charges for mobile platforms” that runs counter to the law and the facts.
Apple is no more a monopoly than the grocery market, which sells a wide range of goods in competition with other stores, Dunn maintains, pointing out that people can play Epic games on platforms, including consoles, PCs and smartphones made. from Apple’s competitors.
“Apple didn’t create a secure and integrated ecosystem to prevent people from doing it, it did it to invite developers – without compromising the privacy, reliability and quality that consumers want,” Dunn said.
If Epic prevails, Dunn said: “The result for users and developers will be: Less security. Less confidentiality. Less reliability. Lower quality. Less choice. All the things that antitrust law seeks to protect. “
CEO of Epic Tim Sweeney, the first witness, said that Apple’s actions forced its company to either accept unfavorable conditions or lose the massive base of iPhone users.
“As Fortnite expands beyond gaming … it’s essential to include more than a billion iPhone users,” Sweeney said in a statement.
Asked why he was waiting so far to file a lawsuit, he said: “It took me a long time to realize all the negative consequences of Apple’s policies.”
The trial, which resumed Tuesday before District Court Judge Yvonne Gonzalez Rodgers, comes with Apple, which is under pressure from a wide range of app makers to control the App Store, which critics say is monopolistic behavior.
The two companies are discussing whether Apple has the right to set ground rules, control payment systems and remove non-compliant applications from its market. A share of Apple’s revenue from iPhone applications of as much as 30 percent is also at stake.
Sweeney testified that Epic provoked a public confrontation with Apple by hiding a “Hot Fix” in the Fortnite app to bypass the iPhone manufacturer’s payment system in breach of contract.
“I wanted the world to see that Apple has full control over the availability of all the software included iOSSaid Sweeney.
Business model at risk
In this case, a key element of Apple’s business model is at stake, said Tejas Narechania, a law professor at the University of California.
“It will tell us a lot about how we structure the industries and the technology industry forward,” he said.
Wedbush Securities analyst Dan Ives called the case a “game battle of Game of Thrones,” with Epic seeking to bypass both Apple and Google’s application platforms “while trying to get support from other app developers / manufacturers in” movement of the plot “” against Apple.
But Ives said Apple has strong protection.
“Apple is successfully and again defending its moat from the App Store, and this time it does not differ in our opinion,” Ives said in a research note.
Epic, which seeks to return to the App Store without being forced to use Apple’s payment scheme, is not alone in its criticism.
The European Union is official blame Apple of unfairly pushing competitors to stream music based on a complaint filed by a Swedish-based Spotify and others who argue that the California group sets rules that prefer its own Apple Music.
The recently formed Coalition for Application Justice, which includes Spotify and Epic, has called on Apple to open up its market, arguing that its commission is a “tax” on competitors.
Apple launched Fortnite from its online mobile market last year after Epic avoided sharing revenue with the iPhone maker.
Apple does not allow users of its popular devices to download applications from anywhere except its App Store, and developers must use Apple’s payment system, which takes its discount.
Due to the legal dispute, Fortnite fans using iPhones or other Apple devices no longer have access to the latest game updates.