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The Fight for Developer Autonomy in Dominant App Marketplaces: Apple vs Epic Games

  1. With the advent of digital applications as the primary mode of accessing content and software services, app stores have become the most critical marketplaces for consumers and also for developers. Among the very few players running application marketplaces is the apple. Among these is the Apple’s App Store holds a dominant position having over 2 million apps generating more than $90 billion in revenue annually. It commands approximately 27% of the global app marketplace revenue, making it one of the most lucrative and influential digital marketplaces in the world. Over the years, Apple has managed to have near sovereign control over the app distribution, payment processing, and developer rules which has sparked legal and regulatory scrutiny for apple’s app store neutrality and developer autonomy.


  2. In August of 2020, the producing studio of the infamous Fortnite game sued Apple for its anti-competitive practices in app store and more specifically, apple not allowing in app purchases through any other payment method except Apple pay. To counter the lawsuit filed by Epic Games, apple removed Fortnite from its app store causing massive losses to Epic games. Additionally, Eppic Games started to add third party payment options in its app purchases bypassing apple’s contract with it. This also led to Apple filing a counterclaim against Epic for breach of contract. In September of 2021, the district of US decided to rule in favour of apple in 9 of 10 counts but also holding apple guilty of anti-competitive practices in its app Store. From 2021 to 2025, both companies filed multiple appeals until the Supreme Court declined to hear anymore and uphold earlier decision of 9th circuit which compelled apple to include third party payment options and to include metadata buttons, external links, or other calls to action that direct customers to purchasing mechanisms.





  1. The Apple-Epic lawsuit threw light on a growing industry practice the unchecked control that major platforms exercise over the developers who rely on them. Apple just like Google’s app store unilaterally sets rules and regulations that effect hundreds of developers who use the app store to put forth their innovation and ideas. The platform has often justified its practice under the cover of maintaining a consistent user experience and security measures. However, this ignores the backbone of any application marketplace which is its developers who are the value creators and the ones driving traffic towards the app store. They are subjected to opaque rules, unreasonably high commissions and forced use of their integrated tools. The concept of Developer Autonomy is becoming more relevant than ever when such tech giants like apple and google treat these developers as mere tenants and not partners.


  2.   One of the most troubling aspects of these tech giants is their role as a private lawmaker. Companies like Apple and Google not only makes its rules, policies favouring them but governs access, monetization and ensures compliance of the same by adjudicating disputes themselves. It is a common practice of apple to address a breach of its policies with heavy penalties, increased commissions and removal of in app purchases dictated on its own terms. Apple’s review system has often been accused of lacking independence, transparency, procedural fairness and not having netural third parties in resolving conflicts between developers and Apple. In effect, Apple has for long played the role of the Judge, Jury and executioner ignoring developer Autonomy and also remains safeguarded from legal violations of competition law.


  3. Parallelly, with over 1.2 Billion smartphone users and a growing developer community, India is becoming a major market for these app marketplaces with similar concerns growing. To address the same, the Competition Council of India (CCI) has begun probing these issues and requiring that all anti-trust laws must be met for these companies to do business in India. CCI’s pending probe against google includes issues addressing developer autonomy with Google’s app store. However, India’s regulations often respond after problems arise, rather than preventing them in advance. As digital platforms become a key part of everyday life—from education to finance—it is important to address their unchecked power not just as a business issue, but as a serious legal concern.


  4.  The legal battle between Epic Games and Apple threw light on the very thin line, often violated by companies which is between platform control and developer autonomy. As the dominant rech companies continue to bully developers into being consistent with their policies and frameworks, the courts must address this issue with clear laws and regulation. Despite developers being the backbone of innovation, developer autonomy is still not considered an adequate part of competition law and antitrust law. Apart from courts recognising the same, a robust regulatory framework for safeguarding developer rights is essential to foster innovation, creativity and value addition not particularly in the US, but globally.

 
 
 

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