Australia’s Federal Court has ordered Apple to allow competing app stores, direct app downloads from websites, and alternative in-app payment options for iPhone users with Australian Apple Accounts. The changes take effect at noon Melbourne time on March 1, 2027, though Apple may seek a court-approved extension until May 3, 2027, by filing supporting evidence between February 1 and February 15.
Justice Jonathan Beach issued the orders on October 22, 2026, in a 235-page remedies judgment following an August 2025 liability ruling. In that earlier decision, the court found that Apple had contravened section 46 of the Competition and Consumer Act 2010 by misusing substantial market power in the markets for iOS app distribution services and iOS in-app payment solutions. The case was brought by Epic Games, maker of Fortnite, as part of its long-running global challenge to Apple’s App Store rules.
Under the orders, Apple must enable Australian account holders to discover, download, install, and update apps—including alternative app stores—through channels other than the App Store. Developers worldwide who are members of the Apple Developer Program can participate. Apple must supply the necessary tools and APIs on substantially the same terms as those available for App Store distribution and is barred from charging fees for access to alternative channels, imposing obstructive conditions, or penalizing developers for using them. It also cannot require developers to use its own in-app purchase system exclusively for digital content, and it must permit steering users to external payment methods. Apple is prohibited from charging fees on purchases made in apps distributed outside the App Store.
Security measures remain permitted: apps distributed outside the App Store must undergo an automated scan for genuine security or privacy reasons and be notarized by Apple or a suitably qualified third party. Apple is not required to distribute competing stores through its own App Store and retains the ability to maintain proportionate protections.
Separately, and without waiting for the March 2027 deadline, Apple must readmit Fortnite and other eligible Epic Games apps to the Australian App Store upon receiving a written application from Epic, provided the apps comply with applicable developer rules consistent with the court’s orders. Epic Games has described the outcome as a significant victory for developers and Australian iOS users and indicated that Fortnite would return promptly. The court also ordered Apple to pay 85 percent of Epic’s legal costs from the liability trial.
Apple has said it disagrees with key findings, including the court’s market definition, and plans to request a stay and appeal the decision. A company spokesperson stated that Apple seeks a resolution that respects its intellectual property and protects the safe, secure experience users and developers expect from the App Store.
The Australian orders apply only to users whose Apple Account region is set to Australia. They form part of a broader pattern of regulatory and court actions in jurisdictions including the European Union, Japan, and Brazil that have required Apple to open aspects of its iOS ecosystem, though the precise terms differ by market. The ruling marks one of the more developer-favorable outcomes to date by limiting Apple’s ability to impose fees on alternative distribution and payment routes while preserving security scanning requirements.
MacDailyNews Take: Apple’s overall Services revenue continues to grow strongly, with limited, if any, visible impact from the EU-mandated changes. We expect the same from any Aussie dictates if/when imposed.
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