Apple has been handed a major blow in its legal battle against Epic Games.

Apple

Apple

A court in California has ruled that the tech giant cannot prevent app developers from directing users to third-party payment options.

'Fortnite' developers had challenged the up to 30 per cent cut Apple takes from purchases and claimed that the Apple store was monopolistic.

Apple had argued that all apps should use the company's in-app payment options but a judge ruled that "the court cannot ultimately conclude that Apple is a monopolist".

Judge Yvonne Gonzalez-Rogers also issued a permanent injunction, stating that Apple could no longer prohibit developers linking to their own purchasing mechanisms.

For example, a movie-streaming service will now be able to tell customers to subscribe via its own website, without using Apple's in-app purchasing mechanism.

However, the judge also ruled that Epic Games failed to demonstrate that Apple was operating an illegal monopoly.

She said: "Apple enjoys considerable market share of over 55% and extraordinary high-profit margins.

"These factors alone do not show antitrust conduct. Success is not illegal."

A spokesperson for Apple said: "Today the Court has affirmed what we've known all along: the App Store is not in violation of antitrust law.

"Apple faces rigorous competition in every segment in which we do business, and we believe customers and developers choose us because our products and services are the best in the world."

Epic Games boss Tim Sweeney described the ruling as "not a win for developers or consumers" and has vowed to "fight on".