A federal judge on Friday said Apple can no longer force developers to use its payment system in their apps, a move that will allow companies to avoid Apple’s commission of up to 30 percent on some app sales.

The order could upend the economics of a $100 billion online market and is a major setback for Apple, which counts on revenue from its App Store to fuel its expansive profits.

The order came as part of the ruling in a prominent legal case between Apple and Epic Games, the maker of the popular game Fortnite that sued Apple last year over its App Store policies.

See:

Biden Administration Issues Executive Order “Promoting Competition” Including Consumer Data Ownership and Banking.\

Canada’s payment system needs more competition

NCFA Canada Welcomes Competition Bureau’s recommendations to encourage competition and innovation in Canada’s financial services sector

To Support Disruptive Technologies, Take Bigness Seriously

In the ruling, Judge Yvonne Gonzalez Rogers of U.S. District Court for the Northern District of California said that Apple violated California’s laws against unfair competition. But she ruled in favor of Apple on other counts, including that Epic breached its contract with Apple when it allowed Fortnite users to pay it directly, instead of via Apple, inside of its iPhone app last year.

The decision could have a major ripple effect across the digital economy. If Epic prevails after expected appeals, companies would have a new way to avoid the App Store commission, which runs as high as 30 percent. The change would be a boon to the bottom lines of businesses that say they are forced to share too much of their sales with Apple.

Continue to the full article --> here