One of the biggest cases brought against Apple from Fortnite creator Epic

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  • A high-profile legal battle set to begin today between Apple (NASDAQ:AAPL) and Fortnite creator Epic Games will determine how a “market should be classified in the digital age.” It’s one of the biggest cases brought against Apple since the company was founded in 1976 and the consequences could be huge. A verdict could see developers no longer having to do app “checkouts” with Apple, or having to pay a 30% “app tax” to the tech giant, which would dent its fastest growing Services business.

 

  • What happened: The legal fight started last year when Epic created its own direct payment method within Fortnite, circumventing fees paid for App Store purchases. Apple then issued a warning to Epic regarding the workaround, but the latter refused to remove it, and Apple kicked the developer off its platform. A lawsuit then emerged, which is finally seeing its day in court.

 

  • Executives testifying at the trial will include Epic CEO Tim Sweeney and Apple CEO Tim Cook, though neither side wanted a jury trial, leaving the decision to U.S. District Judge Yvonne Gonzalez Rogers.