Apple Faces Criminal Contempt Probe Over App Store Antitrust Violation

Updated on 2025-05-02T16:36:50+05:30

Apple Faces Criminal Contempt Probe Over App Store Antitrust Violation

Apple Faces Criminal Contempt Probe Over App Store Antitrust Violation

Apple is facing a potential criminal contempt investigation after a U.S. judge ruled it violated a court order meant to open its App Store to more competition. The case stems from a 2020 antitrust lawsuit filed by "Fortnite" creator Epic Games, which challenged Apple’s tight control over app distribution and in-app payments on iOS. In 2021, Judge Yvonne Gonzalez Rogers ordered Apple to allow developers to guide users to external payment methods—bypassing Apple's 30% commission. Despite the U.S. Supreme Court allowing the injunction to take effect in 2024, the judge now says Apple willfully defied the order.

She criticized Apple for implementing a 27% fee on external purchases and using “scare screens” to deter users—practices she said were designed to sidestep the injunction. Gonzalez Rogers also referred Apple and a finance executive to federal prosecutors, citing efforts to conceal internal decisions and false testimony. Criminal contempt referrals can lead to fines or jail time.

Apple denies wrongdoing and plans to appeal the ruling at the 9th U.S. Circuit Court of Appeals, possibly requesting a pause on the enforcement. However, given the strong factual record from the trial, Apple may face challenges in overturning the decision. The case could eventually reach the U.S. Supreme Court.