Apple prevents Fortnite maker Epic Games from launching its own iOS store in the EU

Apple and Epic have been embroiled in a legal battle since 2020 over the iPhone maker’s practice of imposing commissions of up to 30 percent on in-app payments.

Apple escalated its feud with Epic Games on Wednesday, blocking the Fortnite video-game maker from launching its own online marketplace on iPhones and iPads in Europe.

The two companies have been in a legal battle since 2020, when the gaming firm alleged that Apple’s practice of charging up to 30 percent commissions on in-app payments on its iPhone Operating System (iOS) devices violated US antitrust rules.

The latest challenge from Epic comes as Apple struggles with concerns about tepid demand for its iPhones in China, and its stock has tumbled 12 percent so far this year, underperforming its big tech peers in the US Its shares were largely unchanged on Wednesday.

On Wednesday, Apple blocked Epic’s attempts to leverage the Digital Markets Act (DMA), citing Epic’s history of contract breaches in their protracted legal dispute.

Apple terminated a newly created developer account by Epic in Sweden, which Epic had set up to reintroduce Fortnite and other games to iPhones in Europe via its own game store. This move was in line with the requirement for Apple to permit third-party stores on its devices, as mandated by the new European law.

Developer accounts are vital as software creators cannot distribute apps to iPhones and iPads without them. Apple had previously terminated some of Epic’s developer accounts in 2020 after Epic deliberately violated Apple’s in-app payment rules, using the ensuing ban from the App Store as the centerpiece of its public relations and legal campaign against Apple.

Apple stated that court rulings have affirmed its “sole discretion” to terminate any Epic Games developer account due to Epic’s “egregious” breaches of the company’s developer agreements.

“In light of Epic’s past and ongoing behavior, Apple chose to exercise that right” to terminate Epic Games’ account, Apple said.