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Meta, Microsoft, and X are collaborating to resist Apple's intention to allow other external payment methods in their App Store
Meta Platforms Inc, Microsoft Corp, X Corp, and Match Group Inc have collectively appealed to a federal judge to reject Apple's suggested plan to introduce external payment methods in its App Store.
Meta Platforms Inc, Microsoft Corp, X Corp, and Match Group Inc collectively called on a federal judge to reject Apple's suggested strategy of allowing its App Store to accept external payment methods.
In a unique joint submission, the firms contended that Apple's proposition does not comply with the 2021 verdict that determined the iPhone maker was breaching California's unfair business practices laws. The decision required Apple to allow app developers to guide users to their personal payment systems.
The companies highlighted parallels with the points raised by Epic Games Inc during its current antitrust litigation against Apple. They claimed that Apple's proposed strategy introduces additional restrictions on app developers, thereby obstructing the competitive environment that the injunction sought to encourage.
The combined submission is the most recent progression in the continuing argument regarding Apple's strict regulation of its app store, which is one of the globally dominant platforms, equivalent to Alphabet Inc.'s Google Play.
In 2021, a court of appeals supported the verdict of an Oakland trial judge that stated Apple's business strategy broke California law. The law violation was due to Apple's restriction on developers discussing other payment methods, which could possibly lead to increased prices for users. Apple charges a fee for every transaction made on its app store.
Even though Epic and Apple both requested the Supreme Court to re-evaluate the rulings of the lower court, the request was turned down in January. Following this, Apple stated its plans to let every third-party application sold in the US incorporate an external link to a developer's site for processing in-app transactions. Despite this, Epic has recently charged Apple with disrespecting the court, claiming that the firm has made external links economically unviable by introducing new charges.
Apple has put forward a nine-page proposal comprising of 2,900 words. This proposal details a variety of prerequisites and limitations for developers who want to include a link for external purchases in their applications, as per the report submitted by Meta, Microsoft, X, and Match.
Apple insists that it is adhering to the court's decision while still protecting the privacy and safety of its app store users. However, it continues to pursue a portion of the profits from developers who choose not to participate in the system, which can vary from 12 to 27 percent.
The continuous legal battle involving Apple and several other technology powerhouses highlights the intricate issues related to app market control and the wider repercussions on competition and customer options within the digital landscape.
(Incorporating information from various sources)
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