>> WELCOME BACK TO 2 IN BELL'S
EVERYBODY, A FEDERAL JUDGE MADE
A RULING IN THE EPIC GAMES
VERSUS APPLE CASE SAYING THAT
THE TECH GIANT
IS BREAKING WELL LAW BY FORCING
PEOPLE TO PAY FOR APPS AND
IN-APP ITEMS THROUGH
THE APP STORE APPLE IS TOLD IT
MUST ALLOW ALL APPS TO LINK TO
EXTERNAL WEBSITES FOR IN-APP
PURCHASES WITHIN 90 DAYS,
HOWEVER, THE JUDGE REJECTED
CLAIMS THAT APPLE IS RUNNING A
MONOPOLY OVER HOW DEVELOPERS
CAN PROCESS MOBILE GAME PATE
PAYMENTS WHICH THE MAKERS OF
FORTNIGHT INTEND TO APPEAL HERE
TO DISCUSS IS JOHN DEVINE
SENIOR FINANCIAL MARKET EDITOR
AT US NEWS AND WORLD REPORT
JOHN WELCOME BACK TO THE SHOW
WHAT'S YOUR REACTION TO
THE EPIC APPLE RULING WHO WON
THIS CASE BECAUSE NEITHER SIDE
IS TOO THRILLED WITH THE
OUTCOME.
>> IT'S IT'S GOOD NEWS AND BAD
NEWS FOR APPLE I MEAN THE
HEADLINE HERE IT'S WHAT YOU
IT'S NOT IT'S NOT A PLEA UNDER
THE
SHERMAN ANTITRUST. AS AS THE
JUDGE SO THAT'S A WIN FOR A
WHOLE AND THAT'S WHY
YOU'RE SEEING I THINK YOU
THAT ON THE OTHER THE
ABILITY TO FOR DEVELOPERS NOW
LINK TO EXTERNAL OUTSIDE OF
THE APPS STORE WITHIN THE OPS
IS A AND I
IS REALLY THE ONLY REASON WE
SAW APPLE
FALL FRIDAY OF TO A RELATIVELY
LARGE DEGREE WAS DOWN. I THINK
MORE THAN 3%
TALKED ABOUT 80 BILLION DOLLARS
OFF ITS MARKET
AND I THINK THAT'S BECAUSE IT
REPRESENTS THAT THERE'S SORT OF
A CHECK AND A PULSE ARMOR
SO I THINK THAT OVERALL
IT WAS NOT POSITIVE FOR APPLE,
BUT IT DOES REPRESENT SOURCE
SYMBOLICALLY
FOR INVESTORS.
>> SO ACCORDING TO THE RULING
BOWL GAMES MAKES UP
70% OF APPLE'S APP STORE
REVENUE BUT THE JUDGE DENIED
THAT APPLE HAS A MONOPOLY CAN
YOU BREAK THIS DOWN FOR US HOW
IS THAT JOHN.
>> YOU KNOW, I'M NOT REALLY
SURE I'M NOT A LEGAL SCHOLAR
185 PAGE TO ME IT
SEEMS SO I AGREE YOU KNOW IT'S
A LITTLE BIT PERPLEXING BUT YOU
KNOW THE BOTTOM LINE
EPIC SEEMS TO AGREE THAT THAT
DOESN'T MAKE SENSE EITHER IT'S
BEING APPEALED TO THE
FEDERAL COURTS YOU KNOW WE'LL
GET HOPEFULLY SOME MORE CLARITY
ON THAT ONE IN 4.
>> AND LIKE WE MENTIONED
EARLIER IN THE SHOW EPIC GAMES
IS APPEALING THIS THEY
ANNOUNCED
THIS YESTERDAY. EPIC CEO
TWEETING THIS QUOTE EPIC IS
FIGHTING FOR FAIR
COMPETITION AMONG IN A PAYMENT
METHODS AND APP STORES FOR A
BILLION CONSUMERS. THERE'S THAT
QUOTE ON OUR SCREEN. WHAT IS
YOUR OUTLOOK ON THEIR APPEAL.
>> WELL I THINK OBVIOUSLY THE
IT IS RULING THAT WE SAW ON
FRIDAY
AS GOOD.
>> FOR DEVELOPERS WHO SOUGHT
COMPANIES LIKE MUCH GROUP WHICH
IS THE ONLINE DATING OF THE
GO MORE THAN
OTHER PROMINENT DEVELOPERS ARE
UP SO THAT USE APPLE WOULD FOR
DISTRIBUTION LIKE A NETFLIX
AND SPOTIFY BOTH
ROSE ON THE DAY WHEN YOU KNOW
THE REST THE STOCKS WERE
SO I THINK
PROBABLY A LITTLE BIT ROSIER
THAT WAS FOR THE RULING FOR
COMPANIES LIKE THAT.
>> HOW COULD THIS IMPACT THE
ROUGHLY 19 BILLION DOLLARS A
YEAR THAT THE
APPLE APP STORE BRINGS IN AN
OVERALL HOW DO YOU THINK
CUSTOMERS THE MORE IMPORTANT
QUESTION COME CUSTOMERS WILL BE
AFFECTED BY THIS RULING.
>> YEAH I THINK THOUGH TAKE
AWAY FOR CUSTOMERS IS HONESTLY
IT'S A MATTER OF CONVENIENCE A
LOT OF THINGS LIKE THIS SIZE
BUT ESPECIALLY WHEN IT COMES TO
PAYMENT AND CHECKING AND YOU
KNOW
THAT'S BEEN WORKING OFFICE
STAVER BECAUSE THE
REALLY UNDERSTAND THE POINT
QUITE WELL AND TRY TO INTEGRATE
EVERYTHING INTO THERE BECAUSE
SISTER. SO THAT IT'S A MATTER
OF
THIS PROCESS. WHAT WELL THESE
DEVELOPERS ARE NOW ALLOWED
INCLUDE
WASTE HEY, I'M I'M
NOT SURE THAT CONSUMERS WILL
REALLY FLOCKED TO THAT SOME
LESSONS
VERY VERY MEAN YOU COULD MAKE A
AN ANTITRUST ARGUMENT AGAINST
AMAZON PRETTY EASILY. BUT
YOU KNOW IS ANYBODY REALLY
GOING TO GIVE UP ONE DAY
SHIPPING I DON'T THINK THAT'S
GOING GOOD POINT.
>> SO LET'S TALK ABOUT TOMORROW
BIG DAY APPLE'S CALIFORNIA
STREAMING EVENT WE'RE EXPECTED
TO SEE NEW DETAILS BEHIND
NEW PHONE. WHAT ARE WE
EXPECTING WHAT DO YOU THINK WE
CAN EXPECT FROM THE STONE AND
RUMORS OF A NEW WATCH.
>> I MEAN TYPICALLY WE SEE AN
AWFUL EVENTS
LIKE THIS. THEY'RE ALSO INTO
IPHONES YOU KNOW THEY'LL HAVE
BETTER
BATTERY STORAGE.
>> YOU KNOW
>> THE SCREEN IS SLIGHTLY
IMPROVED BETTER CAMERAS.
SO I
THERE'S RUMORS THAT THERE MAY
THAT'S
IT HAS TO DO WITH OUR BE
PRETTY EXCITING. I THINK THAT
THERE'S GOING TO BE IMPROVED 5
G CAPABILITY. AND THERE'S
RUMORS OF ALSO
SOME SATELLITE. CAPABILITIES
FOR EMERGENCY SITUATIONS.
SO YOU KNOW HONESTLY EACH YEAR,
IT'S SORT OF INCREMENTAL
IMPROVEMENTS THAT THAT APPLE
DOES TO ITS IPHONE BECAUSE
THAT'S GREAT BUSINESS MILLIONS
OF LOYAL FOLLOWERS THAT ARE
WILLING TO SHOW.
MORE THAN $1000 FOR ITS PHONES
EACH YEAR AROUND AS LONG AS
THEIR
IMPENDING PLOTS.
>> JOHN I JUST GOT THE 12 2
WEEKS AGO, AND I LOVE THAT I'M
ALREADY BEHIND BUT ALL MOVE ON
FROM THAT ANYTHING YOU'RE
LOOKING FORWARD TO TOMORROW.
>> OH YEAH I THINK IF THERE ARE
MUCH OF REALITY
THAT COULD YOU KNOW SOMETHING
THAT EXCITES THE MARKET
AND INVESTORS. APPLE DOESN'T
ALWAYS MOVE STOP ISN'T ALWAYS
MOVE A WHOLE LOT AROUND THESE
EVENTS BUT I THINK THERE'S
SOMETHING YOU HAS REALLY MADE A
STRONG MOVE
INTO THE OF MONTHS THAT REALITY
OR VIRTUAL REALITY MARKETS
JUST YET. BUT I THINK THAT
THAT'S SORT OF THE NEXT AREA
COULD BE EXCITING AND YOU KNOW
THEY'RE EXPECTED RELEASED
SOME NEW APPLAUSE, WELL AND
PEOPLE FORGET HOW PICK. EVEN
ABOUT BUSINESSES. YOU KNOW THAT
BUSINESS LIKELY MAKES MORE
REVENUE ZONE, ADOBE WHICH
ITSELF IT'S WORTH OVER
300 BILLION DOLLARS SO AAPL O
YOU KNOW HAS HAS A