London Daily

Focus on the big picture.
Saturday, Dec 13, 2025

Microsoft, Justice Dept., 35 states accuse Apple of hurting competition in Epic Games fight

Microsoft, Justice Dept., 35 states accuse Apple of hurting competition in Epic Games fight

The lawsuit accuses Apple of using its app store to stifle competition and maintain a monopoly over the app market

The Justice Department, 35 state attorneys general and Microsoft are accusing Apple of hurting competition in amicus briefs filed Friday.

The briefs come in response to Fortnite creator Epic Games' ongoing legal battle with Apple over the tech giant's app store policies that began in 2020.

"Apple’s conduct has harmed and is harming mobile app developers and millions of citizens within the [states'] boundaries," the state attorney generals' brief led by Utah Attorney General Sean Reyes states. "Meanwhile, Apple continues to monopolize app-distribution and in-app payment solutions for iPhones, stifle competition, and amass supracompetitive profits within the almost trillion-dollar-a-year smartphone industry."

This illustration picture shows a person logging into Epic Games' Fortnite on their smartphone in Los Angeles on August 14, 2020.


The complaint added that "Apple must account for its conduct under a complete rule of reason analysis."

Epic Games' lawsuit against Apple began when it announced plans to implement its own in-app payment system in Fortnite last year to avoid paying Apple a commission fee of up to 30%.

In response to the move, Apple removed Fortnite from its app store and restricted access to its iOS developer account. Epic fired back with an antitrust lawsuit, accusing Apple of using its app store to stifle competition and maintain a monopoly over the app market.

iPhone 11 and iPhone 11 Pro models are displayed as customers shop at Apple's flagship 5th Avenue store on September 20, 2019 in New York City.


The briefs filed in the U.S. Court of Appeals for the Ninth Circuit back Epic Games' recent appeal against a ruling in Oakland, California, district court. The ruling found Apple's commission fees were not anti-competitive, but that the tech giant did engage in some anti-competitive behavior under California's Unfair Competition law.

The 35 attorneys general, Justice Department and Microsoft are now urging a reconsideration of its ruling as it related to the Sherman Act.

"The district court committed several legal errors that could imperil effective antitrust enforcement, especially in the digital economy," the Justice Department said in its brief. "The court read Sections 1 and 2 of the Sherman Act narrowly and wrongly, in ways that would leave many anticompetitive agreements and practices outside their protections."

Gamers play the video game 'fortnite' developed by Epic Games on a laptop from the Razer company during the 'Paris Games Week' on October 25, 2018 in Paris, France.


The Justice Department also described the district court’s opinion as "ambiguous."

Microsoft also filed a brief stating that if "Apple is allowed to step between any company with online services and users of iPhones, few areas of the vast mobile economy will be safe from Apple’s interference and eventual dominance," as The New York Post reported.

"Consumers and innovation will suffer — indeed, they already have," the company said, adding that the "district court’s reasoning failed to give sufficient weight to these immense competitive risks and, if broadly affirmed, could insulate Apple from meritorious antitrust scrutiny and embolden further harmful conduct."

An Apple spokesperson said in a statement to FOX Business that it is "optimistic that the ruling will be affirmed on appeal, and that Epic’s challenge will fail."

"We remain committed to ensuring the App Store is a safe and trusted marketplace for consumers and a great opportunity for developers," the spokesperson said.

Apple's stock price climbed more than 3.5% in after-hours trading following the release of its highest quarterly revenue increase in the company's history on Thursday at $123.9 billion. In early January, the tech behemoth became the first U.S. company to hit $3 trillion in market value. Microsoft was valued at around $2.5 trillion at the time.

Newsletter

Related Articles

0:00
0:00
Close
Ex-ICC Prosecutor Alleges UK Threatened to Withdraw Funding Over Netanyahu Arrest Warrant Bid
UK Disciplinary Tribunal Clears Carter-Ruck Lawyer of Misconduct in OneCoin Case
‘Pink Ladies’ Emerge as Prominent Face of UK Anti-Immigration Protests
Nigel Farage Says Reform UK Has Become Britain’s Largest Party as Labour Membership Falls Sharply
Google DeepMind and UK Government Launch First Automated AI Lab to Accelerate Scientific Discovery
UK Economy Falters Ahead of Budget as Growth Contracts and Confidence Wanes
Australia Approves Increased Foreign Stake in Strategic Defence Shipbuilder
Former UK Prime Minister Boris Johnson proclaims, “For Ukraine, surrendering their land would be a nightmare.”
Microsoft Challenges £2.1 Billion UK Cloud Licensing Lawsuit at Competition Tribunal
Fake Doctor in Uttar Pradesh Accused of Killing Woman After Performing YouTube-Based Surgery
Hackers Are Hiding Malware in Open-Source Tools and IDE Extensions
Traveling to USA? Homeland Security moving toward requiring foreign travelers to share social media history
UK Officials Push Back at Trump Saying European Leaders ‘Talk Too Much’ About Ukraine
UK Warns of Escalating Cyber Assault Linked to Putin’s State-Backed Operations
UK Consumer Spending Falters in November as Households Hold Back Ahead of Budget
UK Orders Fresh Review of Prince Harry’s Security Status After Formal Request
U.S. Authorises Nvidia to Sell H200 AI Chips to China Under Security Controls
Trump in Direct Assault: European Leaders Are Weak, Immigration a Disaster. Russia Is Strong and Big — and Will Win
"App recommendation" or disguised advertisement? ChatGPT Premium users are furious
"The Great Filtering": Australia Blocks Hundreds of Thousands of Minors From Social Networks
Mark Zuckerberg Pulls Back From Metaverse After $70 Billion Loss as Meta Shifts Priorities to AI
Nvidia CEO Says U.S. Data-Center Builds Take Years while China ‘Builds a Hospital in a Weekend’
Indian Airports in Turmoil as IndiGo Cancels Over a Thousand Flights, Stranding Thousands
Hollywood Industry on Edge as Netflix Secures Near-$60 Bln Loan for Warner Bros Takeover
Drugs and Assassinations: The Connection Between the Italian Mafia and Football Ultras
Hollywood megadeal: Netflix acquires Warner Bros. Discovery for 83 billion dollars
The Disregard for a Europe ‘in Danger of Erasure,’ the Shift Toward Russia: Trump’s Strategic Policy Document
Two and a Half Weeks After the Major Outage: A Cloudflare Malfunction Brings Down Multiple Sites
UK data-regulator demands urgent clarity on racial bias in police facial-recognition systems
Labour Uses Biscuits to Explain UK Debt — MPs Lean Into Social Media to Reach New Audiences
German President Lays Wreath at Coventry as UK-Germany Reaffirm Unity Against Russia’s Threat
UK Inquiry Finds Putin ‘Morally Responsible’ for 2018 Novichok Death — London Imposes Broad Sanctions on GRU
India backs down on plan to mandate government “Sanchar Saathi” app on all smartphones
King Charles Welcomes German President Steinmeier to UK in First State Visit by Berlin in 27 Years
UK Plans Major Cutback to Jury Trials as Crown Court Backlog Nears 80,000
UK Government to Significantly Limit Jury Trials in England and Wales
U.S. and U.K. Seal Drug-Pricing Deal: Britain Agrees to Pay More, U.S. Lifts Tariffs
UK Postpones Decision Yet Again on China’s Proposed Mega-Embassy in London
Head of UK Budget Watchdog Resigns After Premature Leak of Reeves’ Budget Report
Car-sharing giant Zipcar to exit UK market by end of 2025
Reports of Widespread Drone Deployment Raise Privacy and Security Questions in the UK
UK Signals Security Concerns Over China While Pursuing Stronger Trade Links
Google warns of AI “irrationality” just as Gemini 3 launch rattles markets
Top Consultancies Freeze Starting Salaries as AI Threatens ‘Pyramid’ Model
Macron Says Washington Pressuring EU to Delay Enforcement of Digital-Regulation Probes Against Meta, TikTok and X
UK’s DragonFire Laser Downs High-Speed Drones as £316m Deal Speeds Naval Deployment
UK Chancellor Rejects Claims She Misled Public on Fiscal Outlook Ahead of Budget
Starmer Defends Autumn Budget as Finance Chief Faces Accusations of Misleading Public Finances
EU Firms Struggle with 3,000-Hour Paperwork Load — While Automakers Fear De Facto 2030 Petrol Car Ban
White House launches ‘Hall of Shame’ site to publicly condemn media outlets for alleged bias
×