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Microsoft Refuses To Hold Back As Apple Accuses It Of Using Epic As 'Staking Horse' In Legal Battle

benzinga2021-05-21

Microsoft Inc left no holds barred in relation to a trial involving Apple Inc and “Fortnite'' maker Epic Games where the iPhone maker suggested that the latter was acting as a “stalking horse” for Microsoft, BloombergreportedThursday.

What Happened:Microsoft’s comments against the Tim Cook-led company came after Apple made accusations in a filing in front of a judge to make an adverse credibility finding against an Xbox executive Lori Wright, according to Bloomberg.

Wright has testified on behalf of Epic. Her testimony could be ignored should a finding be made against her by the judge.

Apple had filed a similar request earlier but in its latest filing, it said, “a reasonable observer might wonder whether Epic is serving as a stalking horse for Microsoft.”

“Microsoft shielded itself from meaningful discovery in this litigation by not appearing as a party or sending a corporate representative to testify.”

Microsoft told Bloomberg that Apple is attempting to “distract from legitimate concerns from many companies across the industry about its App Store policies and practices, including its refusal to allow game streaming in the Apple App Store.”

Why It Matters:The lawsuit is related to Fortnite’sremoval from the App Storelast year after Epic allegedly circumvented policies related to in-game purchases.

The Redmond, Washington-based tech giant said that Wright's testimony was involuntary but forthright and thoughtful, reported Bloomberg.

“That Apple does not like Ms. Wright’s testimony is clear,” said Microsoft — adding, “That Apple has no basis to challenge the substance of her testimony is equally clear.”

Epic reportedly said that Apple was “not surprised” by Wright’s testimony which it called “predictable."

Last year, Microsoft had filed a motion in support of Epic in its legal battle with Apple overaccess to developer tools.

In August,Microsoft had criticized Appleover its App Store policies after its gaming application was denied entry to the marketplace.

Price Action:Apple shares closed 2.1% higher at $127.31 in Thursday’s regular session and gained almost 0.2% in the after-hours trading. On the same day, Microsoft shares closed almost 1.4% higher at $246.48 in the regular session and gained nearly 0.2% in the after-hours trading.

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