The Federal Court of Australia has ordered Apple to change its App Store practices in Australia after finding that the company’s conduct breached competition law. The decision, delivered by Justice Beach on 22 October 2026, follows Epic Games’ long-running legal dispute with the iPhone maker over app distribution and payments on iOS.
The ruling sets out remedies to address the violations and establishes a deadline for their implementation, while Apple has said it disagrees with several of the court’s findings and will seek a stay and appeal the outcome.
What the Australian court ordered
The court’s orders cover alternative app distribution, payments and the conditions developers face when using competing services. The key requirements include:
- Third-party app marketplaces: Apple must allow iOS apps to be distributed through alternative app stores in Australia.
- Direct downloads: Australian users must be able to download apps directly from developers through channels outside the App Store.
- Alternative payments: Developers can use payment systems other than Apple’s in-app purchase (IAP) service without being required to offer IAP as an additional option.
- External purchase links: Apple cannot prevent developers from directing users outside their apps to complete purchases.
- Limits on fees: The orders restrict fees and commercial conditions that could undermine competition. Epic Games Newsroom also said Apple would be barred from charging fees on purchases made in third-party app stores.
- Access to developer tools: Restrictions on tools, software development kits or APIs must not be used to obstruct alternative app distribution.
- Protection against retaliation: Apps and developers cannot be disadvantaged for using alternative marketplaces, payment providers or external purchase links.
- Installation and security: Disproportionate barriers to installing or updating apps through alternative channels are prohibited, while legitimate security checks and app review requirements can remain.
- Payment security notices: Developers must receive reasonable advance written notice of security requirements for alternative payment methods, subject to exceptions for urgent risks.
- Protection against circumvention: Technical restrictions, contractual terms and other measures cannot be used to undermine the court’s remedies.
The orders apply to the Australian App Store and users with an Australian Apple Account, rather than providing the worldwide relief sought by Epic. They are scheduled to take effect on 1 March 2027. Apple can apply between 1 and 15 February 2027 for an additional two months to implement the changes, provided it supports the request with evidence.
The court rejected Apple’s proposal to make the injunctions expire automatically after five years. However, the company can seek to have them varied or discharged if circumstances change. The court also ordered Apple to pay 85% of Epic’s costs for the original liability trial, while costs associated with the remedies hearing remain to be decided.
Apple intends to challenge the ruling
Apple disagreed with several of the court’s findings and said it would challenge the outcome. An Apple spokesperson told Reuters:
We will request a stay and appeal the outcome to seek a resolution that respects our intellectual property and protects the safe, secure experience that consumers and developers expect from the App Store.
The court considered arguments concerning intellectual property, international treaties and security requirements. However, it concluded that the remedies were necessary to address the competition law violations and prevent restrictions that would obstruct alternative distribution and payment options. Legitimate security checks and app review requirements can remain, provided they are consistent with the orders.
The ruling is limited to Australia and does not grant Epic the worldwide relief it sought. The changes will therefore apply to developers and users covered by the Australian orders rather than automatically changing App Store rules in other markets.
Fortnite returns to Australia’s App Store
Epic Games Newsroom announced on X that Fortnite would return to the Australian App Store the following day. The post said the Federal Court had directed Apple to open up iOS after finding that the company had violated competition law. It also highlighted the changes expected in Australia from March 2027:
- Alternative distribution: iOS users will be able to access third-party app stores and download apps directly from developers.
- Payment options: Developers will be able to use alternative payment systems without being required to offer Apple’s IAP service as an additional option.
- External purchases: Developers will be able to direct users outside their apps to complete purchases.
- Third-party store fees: Apple will be barred from charging fees on purchases made in third-party app stores, according to Epic’s announcement.
The judgment separately requires Apple to readmit Fortnite and other Epic Games apps following a written request, subject to the developer agreement and App Store review guidelines to the extent that they are consistent with the court’s orders.
Epic Games CEO Tim Sweeney also described the remedies as a victory for consumers and developers. In a post on X, he wrote:
The Australian Epic v Apple antitrust remedies were just issued, and are a huge victory for consumers and developers. We are studying the verdict and will share more soon.
Sweeney added that the court had freed Fortnite in Australia and that the game would return alongside the Epic Games Store “soon”, without specifying a date for the store’s return in that post. Epic Games Newsroom said the changes would benefit developers worldwide and iOS users in Australia by opening up the mobile app ecosystem, although the court’s orders themselves apply to Australia.
Epic sued Apple in the United States in 2020, challenging its control over transactions within iOS apps and restrictions on app distribution. The dispute has since attracted scrutiny from courts and regulators in several markets.
What happens next?
Apple’s planned appeal and request for a stay leave the next stage of the dispute unresolved. The current orders set 1 March 2027 as the implementation date, subject to further court decisions or an approved extension. The outcome will determine when Australian users and developers can begin using the alternative distribution and payment options covered by the judgement.