Federal Court Justice Jonathan Beach ruled on Thursday that Apple had contravened the Competition and Consumer Act with an "intricate web of terms and technical measures," and ordered the company to pay 85 per cent of Epic Games' legal costs from the months-long trial. Apple has until March 2027 to make the changes.
The judgment sets out the consequences of the Federal Court's decision in August last year, in which both Apple and Google were found to have misused their market power in how their app stores were run.
Epic Games, and lawyers in a parallel class action, had long alleged Apple and Google were running illegal monopolies by effectively banning other app stores from their devices and forcing apps to use their payment platform, where they collect between 15 and 30 per cent in fees. The iPhone maker had cited security and intellectual property concerns in its defence throughout the case.
The decision signals the immediate return of Fortnite to Apple's Australian app store from today, after a six-year hiatus. It is the latest chapter in a six-year anti-trust legal battle between Apple and Epic Games spanning Europe, the UK, the US and Australia.
Consumer advocates are hopeful the changes will result in increased competition and lower prices for millions of Apple users. An estimated 15 million Australian Apple users will soon be able to download apps from the open web as well as rival app stores.
Apple told Reuters it disagreed with many of the court's findings and would seek to challenge them. "We will request a stay and appeal the outcome to seek a resolution that respects our intellectual property and protects the safe, secure experience that consumers and developers expect from the App Store," an Apple spokesperson said.