Apple has failed in its attempt to halt a court ruling that limits its ability to collect fees from in-app purchases made outside its proprietary iPhone payment system. In a two-page decision issued late Thursday, a three-judge appeals panel denied Apple’s request to pause an April 30 order that blocks the tech giant from charging commissions on transactions processed through alternative payment platforms.
The ruling could redirect billions in revenue away from Apple as it continues its effort to overturn the decision, which significantly curtails its earnings from in-app commerce on iPhones.
The April order came from U.S. District Judge Yvonne Gonzalez-Rogers, who issued a stern rebuke of the company. In addition to finding Apple in civil contempt of court, she recommended a criminal investigation into whether an Apple executive committed perjury while testifying in her courtroom in Oakland, California.
The latest development adds another chapter to a nearly five-year legal clash launched by Epic Games, which accused Apple of transforming its App Store into a “price-gouging monopoly.” At the heart of the antitrust dispute were Apple’s 15% to 30% commissions on digital purchases within iPhone apps—a model that barred developers from offering alternative payment options.
While Apple is still pursuing an appeal in the Ninth Circuit Court of Appeals, Judge Gonzalez-Rogers’ ruling blocking certain commission practices will remain in force, potentially weighing on the company’s bottom line.
“The long national nightmare of the Apple tax is ended,” Epic Games CEO Tim Sweeney wrote in a post after the appeals court’s decision.
Apple has not yet responded to requests for comment.
Though Gonzalez-Rogers largely sided with Apple in her 2021 ruling, she required the company to allow app developers to include links to third-party payment systems. That decision survived multiple appeals, including a challenge to the U.S. Supreme Court in 2024. Apple responded by implementing a new commission structure of 12% to 27%, prompting Epic to accuse the company of violating the court’s order and seek contempt proceedings.
Following a new series of hearings that spanned nine months across 2023 and 2024, Gonzalez-Rogers issued another sweeping decision against Apple, intensifying the legal pressure on the company.
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