Tech Titans Meta, Microsoft, and X Corp Unite Against Apple’s External Payment Option Plan for App Store

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Meta, Microsoft, and X are collaborating to oppose Apple's idea of allowing other external payment options in its App Store

Meta Platforms Inc, Microsoft Corp, X Corp, and Match Group Inc have collectively appealed to a federal judge to reject Apple's proposed idea of integrating external payment options into its App Store.

Meta Platforms Inc, Microsoft Corp, X Corp, and Match Group Inc collectively requested a federal judge to reject Apple's proposed idea of allowing its App Store to incorporate external payment methods.

In a unique joint submission, the firms contended that Apple's proposed plan doesn't comply with the 2021 verdict that accused the iPhone maker of breaching California's unfair competition laws. The decree required Apple to allow app developers to guide users to their individual payment mechanisms.

Companies have pointed out parallels to the points made by Epic Games Inc in its ongoing legal dispute over anti-competitive practices with Apple. They claim that Apple's strategy introduces fresh restrictions on app developers, stifling the competitive environment that the court order intended to encourage.

The combined submission is the most recent progression in the continuous conflict regarding Apple's strict regulation of its app store, which is one of the leading platforms globally, in company with Alphabet Inc.'s Google Play.

In 2021, an appellate court supported an Oakland trial judge's ruling that Apple's business practices breached California legislation by limiting developers' ability to discuss alternate payment methods. This could lead to increased expenses for consumers. Apple charges a fee for every transaction done via its app store.

Though both Epic and Apple requested a Supreme Court reassessment of the decisions made in lower courts, the Supreme Court rejected the request in January. Following this, Apple stated its plan to let all third-party apps sold in the US have an external link to a developer's website for processing in-app purchases. Nevertheless, Epic has recently claimed that Apple is in contempt of court, stating that the company made outside links practically useless by introducing new charges.

The suggested strategy by Apple, which extends over nine pages and contains 2,900 words, details an array of stipulations and limitations for developers who wish to include a link for external purchases in their applications, as per the legal document submitted by Meta, Microsoft, X, and Match.

Apple asserts that it adheres to the court's directive while also protecting the privacy and safety of its app store customers. However, it persists in its pursuit of a share of the profits from developers who choose to leave the system, with percentages varying from 12 to 27.

The continuing legal battle between Apple and several technology powerhouses highlights the intricacies involved in app marketplace governance and its wider effects on competition and user options within the digital landscape.

(Incorporating information from various sources)

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