Australian court orders Apple to permit rival iPhone app stores

Australia's Federal Court has directed Apple to open iPhones to competing app marketplaces, downloads from websites and alternative payment providers for Australian users. The requirements take effect at noon on March 1, 2027, Melbourne time.

Apple told Reuters it intends to challenge the decision and request a suspension of enforcement, citing intellectual property rights and security concerns surrounding the App Store. It may also seek court approval for an extension until May 3 by submitting supporting evidence between February 1 and February 15.

The orders follow an August 2025 ruling that Apple's restrictions on app distribution and payments constituted misuse of market power. They apply to people with Australia set as their Apple Account region. Members of the Apple Developer Program can participate regardless of where they are based.

Under the requirements, Apple must provide developers with tools on terms substantially equivalent to those available for App Store distribution. It cannot charge users for access to rival distribution channels, obstruct their use or penalize developers who choose competing stores or payment providers.

Developers may include other payment options and links in App Store apps without also offering Apple's purchasing system. Apple cannot demand reports or audits of those transactions or block developers from charging less through competing payment providers. Purchases using alternative payments or websites within apps obtained outside the App Store cannot attract Apple fees.

Apps obtained outside Apple's store will still require automated checks for security or privacy issues, along with notarization by Apple or an eligible third party. Installation restrictions must not be disproportionate. Apple need not carry rival marketplaces in its own store, but cannot prohibit their preinstallation on iPhones.