The Federal Court of Australia has ruled that Apple must significantly modify its App Store policies following an antitrust lawsuit filed by Epic Games. The court determined that Apple abused its market dominance in iOS app distribution and in-app payment systems, violating the Competition and Consumer Act 2010.
Starting March 1, 2027, Apple must allow Australian iPhone users to install apps from third-party stores and websites. Apple may request an extension until May 3, 2027, subject to court approval. The ruling also mandates that developers be allowed to use alternative payment systems and include links to external payment channels within their apps.
The court ordered the immediate reinstatement of Epic Games' developer account and its applications, including Fortnite, on the Australian App Store. Apple is prohibited from charging fees for using alternative distribution channels or requiring developers to report transactions processed through third-party payment systems.
Apple has confirmed its intention to appeal the decision and will seek a stay of execution. The court rejected Epic's request to apply these injunctions globally and confirmed that Apple may continue to perform security scans and notarization for apps distributed outside the App Store.
Apple is required to cover 85% of Epic Games' legal costs incurred during the initial stage of the proceedings. The court also restricted Apple's ability to remotely uninstall apps installed from outside the App Store and set specific requirements for the company's notarization process.
