The Federal Court of Australia has issued judicial orders requiring Apple to open the iPhone operating system to competing app stores, direct web sideloading, and alternative payment options for Australian users, effective from 12:00 PM Melbourne time on March 1, 2027.
These decisions are based on the court's ruling issued in August 2025, which found Apple guilty of misusing its market power by restricting app distribution and payment options on its devices. These changes cover users whose Apple Account is set to the Australia region, with participation available to members of the Apple Developer Program worldwide.
Details of Changes and Regulatory Obligations
Under the new orders, Apple must allow users to find, download, install, and update apps via competing stores and websites without imposing access fees or obstructing their use. Developers must also be provided with the necessary tools under terms nearly identical to those applied to the official App Store, with a prohibition on penalizing developers for using alternative stores or external payment gateways.
Developers will be able to offer alternative payment methods and provide links to other payment methods within apps on the App Store itself, without being required to provide Apple's own purchasing system alongside the alternatives, and without being required to report those transactions or undergo audits by Apple. Developers are also permitted to offer lower prices via competing payment services.
Fee Limits and Security Conditions
The court has placed strict limits on Apple's ability to collect fees; it is completely prohibited from charging any fees on purchases made via alternative payment services or websites for apps distributed outside the App Store. As for apps within the official store, fees have been capped to be equivalent to the fees charged for payments for physical goods or services, plus actual and reasonable additional costs incurred by Apple for digital transactions.
Regarding security, security checks will continue; apps downloaded outside the store will be subject to automated security or privacy checks and notarization by Apple or a qualified third party, without imposing disproportionate installation barriers. Apple's right to remove or disable externally installed apps is limited to specific cases involving harmful content, genuine security risks, or legal requirements.
Apple's Position and Reactions
Apple announced to Reuters its plans to appeal the ruling and request that the court stay the implementation of the decisions, citing intellectual property rights and App Store security. Apple may apply for an extension of the deadline until May 3, provided it submits supporting evidence between February 1 and February 15.