Epic fights Apple’s bid to seal key data behind proposed fees on linked-out purchases

Epic says Apple is making overly broad requests to seal information it says is central to determining what the company can charge developers for linked-out purchases. Here are the details.

Epic says Apple is trying to ‘conceal information from the public’

A few days ago, Apple submitted its proposal outlining how much it believes it should be allowed to charge as a commission on purchases completed outside the App Store through external links.

Apple’s proposal calls for:

• 15% for standard apps, which are subject to a 30% in-app purchase (“IAP”) commission;
• 10% for the Video Partner Program (“VPP”), the News Partner Program (“NPP”), the Mini Apps Partner Program (“MPP”), and subscription renewals; and
• 5% for Small Business Program apps.

In addition to the proposal itself, Apple submitted supporting expert reports, alongside a request to seal portions of those filings containing financial data, link-out adoption estimates, developer survey results, and other information Apple considers commercially sensitive.

Epic has now filed an opposition to Apple’s request, arguing “Apple again seeks to conceal
information from the public and unnecessarily hamper proceedings.”

According to Epic, Apple has not sufficiently justified why portions of its proffer and supporting expert reports should remain sealed or redacted.

Epic argues that there is a high bar for keeping court records out of public view, particularly when the information at issue is central to determining Apple’s proposed commission rates.

The company cites past cases in which courts rejected sealing requests for failing to demonstrate specific harm. Among them, it points to decisions finding that “broad allegations of harm, unsubstantiated by specific examples or articulated reasoning” and “tepid and general justifications” are insufficient to justify withholding information from the public.

Epic also says that some of the information Apple wants to seal is outdated, while other parts are publicly available. Epic takes particular issue with Apple’s bid to seal data showing the rate at which apps have adopted external purchase links since the court’s contempt order compelling it to allow developers to direct users to external purchasing options.

From the filing:

Apple repeatedly seeks to seal its assessment of developers’ rates of link-out adoption. For example, Apple seeks to redact the percentage of apps, based on size, that it says have adopted link-outs since the Court’s Contempt Order. (…) That information is important to these proceedings and, in any event, is not competitively sensitive, so it should not be sealed.

Epic closes out its opposition filing by asking the court to deny certain of Apple’s sealing requests, pointing to a separate 19-page exhibit in which it objects, in whole or in part, to more than 60 proposed redactions across Apple’s proffer and supporting expert reports.

Should the court side with Apple or with Epic? Let us know in the comments.

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