TLDRs;
- Apple faces a new legal showdown with Epic Games over external payment links in the App Store.
- A 2025 ruling restricts Apple from charging commissions on off-store transactions in the U.S. market.
- Developers like Epic and Spotify are moving quickly to integrate external payment systems.
- Payment companies such as Stripe could benefit as Apple’s $10B U.S. App Store faces mounting disruption.
Apple is once again at the center of a courtroom showdown with Epic Games, reigniting a dispute that has shaped the global debate around app store fairness and digital commerce.
The tech giant appeared before the U.S. 9th Circuit Court of Appeals in San Francisco on October 21, 2025, to challenge a ruling that could fundamentally reshape how app developers process payments on iOS.
The ongoing case stems from an April 2025 decision by U.S. District Judge Yvonne Gonzalez Rogers, who found Apple had “willfully” violated a 2021 court order requiring it to permit links to alternative payment methods. That ruling effectively blocks Apple from collecting its traditional commission, ranging from 15% to 30%, on transactions processed outside the App Store.
The renewed court battle underscores a crucial question on whether Apple can maintain control over its lucrative app ecosystem, or will regulators and rivals force it to open the gates to more competition.
Epic’s Long War for Developer Freedom
Epic Games, the maker of Fortnite, has been at the forefront of this conflict since 2020, when it intentionally bypassed Apple’s in-app payment system, prompting Apple to remove Fortnite from the App Store. The move ignited a global debate over whether Apple’s “walled garden” approach unfairly stifles competition and innovation.
For Epic and other developers, the issue is not just ideological, it’s financial. Apple’s commissions on in-app purchases have long been a point of contention for app creators who argue that the fees eat into already slim margins. The recent ruling empowers developers to direct users to external payment platforms, potentially saving them millions of dollars annually.
Apps like Fortnite and Spotify have already begun testing new systems that allow players and subscribers to complete transactions via external links, avoiding Apple’s commission structure altogether. If widely adopted by other high-grossing apps, Apple could see a significant erosion in its App Store revenue base.
Billions in Revenue at Stake for Apple
According to Appfigures, Apple’s U.S. App Store generated roughly $10 billion in 2024, a figure heavily reliant on commissions from digital transactions. With the latest ruling in place, analysts estimate the company could lose billions in high-margin revenue if developers shift a meaningful share of their transactions outside the App Store.
Apple maintains that its payment model ensures security, privacy, and a consistent user experience. In its appeal, the company argues that allowing alternative payment methods introduces risks such as fraud and fragmented customer support. But critics counter that Apple’s stance masks a deeper concern,losing control over one of its most profitable business lines.
The financial stakes are not limited to Apple. The decision could set a precedent affecting all digital marketplaces, from Google Play to console ecosystems like Xbox and PlayStation, where platform fees similarly shape the economics of digital distribution.
New Opportunities for Payment Providers
As Apple defends its model, a new wave of opportunities is emerging for third-party payment providers. Developers are increasingly seeking payment orchestration tools, systems that can route transactions through multiple processors and manage subscriptions outside Apple’s environment.
Companies like Stripe and Adyen are positioning themselves to capture this demand, offering seamless web checkout and unified payment experiences across devices. For smaller developers and independent studios, bypassing Apple’s commission could mean the difference between profitability and closure.
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