愛污传媒

Skip to main content

Epic ruling invites future efforts to paint Apple as monopolist, experts say

Epic Games CEO Tim Sweeney enters the Ronald V. Dellums building in Oakland, Calif., to attend his company's federal court case against Apple on May 3, 2021. (AP Photo/Noah Berger) Epic Games CEO Tim Sweeney enters the Ronald V. Dellums building in Oakland, Calif., to attend his company's federal court case against Apple on May 3, 2021. (AP Photo/Noah Berger)
Share
WASHINGTON -

A U.S. judge stopped short of labelling Apple Inc. an "illegal monopolist" on Friday, but a closely-watched antitrust ruling provides a roadmap for similar claims against the iPhone maker in the future, legal experts said.

Ruling on an antitrust case brought by Epic Games, creator of the online game "Fortnite," U.S. District Judge Yvonne Gonzalez Rogers said Epic did not present sufficient evidence of Apple having unlawful monopoly power in the relevant market, which she defined as "digital mobile gaming transactions."

But the California judge made clear that the decision was limited to the facts before her.

"While the Court finds that Apple enjoys considerable market share of over 55% and extraordinarily high profit margins, these factors alone do not show antitrust conduct," Gonzalez Rogers said. "The Court does not find that it is impossible; only that Epic Games failed in its burden to demonstrate Apple is an illegal monopolist."

The judge did find that Apple's rules on its lucrative App Store business violated California state competition laws.

The question of whether Apple abused monopoly power "remains very much unsettled," said Joshua Paul Davis, a professor of antitrust law at the University of San Francisco School of Law.

"Given how controversial these issues are right now, I would expect this not to be the final say," he said.

In her ruling, Gonzalez Rogers noted that Epic Games had "overreached" in a trial earlier this year by trying to define the relevant market as all app distribution and in-app payments on iPhones.

"As a consequence, the trial record was not as fulsome with respect to antitrust conduct in the relevant market as it could have been," Gonzalez Rogers said.

Apple's legal team said it was still reviewing whether to appeal the decision.

"We're extremely pleased with this decision," Apple's General Counsel Katherine L. Adams told reporters. "It underscores the merit of our business, both as an economic and competitive engine."

Valarie Williams, a partner at law firm Alston & Bird, called Gonzalez Rogers' decision a "road map" to future plaintiffs pursuing monopoly claims against Apple.

Future plaintiffs could bring a case that adopts Gonzalez Rogers's market definition and introduces additional evidence, Williams said.

Sam Weinstein, a professor of antitrust law at Cardozo School of Law, agreed the judge's ruling could encourage other market participants to learn from Epic's case and try to launch a stronger blow against Apple.

Language in the ruling could even signal that the judge thinks "it's only a matter of time" before Apple becomes a monopoly, Weinstein said.

"This is only one particular piece of litigation framed in one particular way," said Davis. "The court was pretty explicit that different litigants could come forward with different evidence...and that could potentially change the result."

----

Reporting by Jan Wolfe and Mike Scarcella; additional reporting by Stephen Nellis and Diane Bartz; editing by Noeleen Walder and Sonya Hepinstall

CTVNews.ca Top Stories

The president and CEO of New Brunswick-based Covered Bridge Potato Chips is taking an 'extended leave of absence' after being charged with domestic violence this past weekend.

A memorial is growing outside a Walmart in Halifax after a 19-year-old employee was found dead inside an oven in the store Saturday night.

A search has started at Prairie Green Landfill for the remains of two victims of a serial killer.

He is a familiar face to residents of a neighbourhood just west of Roncesvalles Avenue.

Canada's discount airline is suspending operations to and from Saskatoon.

A new report suggests that Canadians' exposure to a radioactive gas is increasing, putting millions of people at a higher risk of developing lung cancer.

Local Spotlight

He is a familiar face to residents of a neighbourhood just west of Roncesvalles Avenue.

A meteor lit up our region's sky last night 鈥 with a large fireball shooting across the horizon over Lake Erie at around 7:00 p.m.

Residents of Ottawa's Rideauview neighbourhood say an aggressive wild turkey has become a problem.

A man who lost his life while trying to rescue people from floodwaters, and a 13-year-old boy who saved his family from a dog attack, are among the Nova Scotians who received a medal for bravery Tuesday.

A newly minted Winnipegger is hoping a world record attempt will help bring awareness for the need for more pump track facilities in the city.

A Springfield, Ont. man is being hailed a 'hero' after running into his burning home to save his two infant children.

Hortense Anglin was the oldest graduate to make her way across the platform at York University's Fall Convocation ceremony this week. At the age of 87, she graduated with an Honours degree in Religious Studies.

Looking for a scare with good intentions this Halloween season? The ghosts and ghouls of Eganville, Ont. invite families to tour the Haunted Walk at Lekbor Manor.

The image of a sleepy Saskatchewan small town with 'not a lot going on' is a well-known anecdote. However, one Saskatchewan company is hoping to change that 鈥 and allow communities both on and off the beaten path to share their stories and advertise what they have to offer.

Stay Connected