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The iPhone maker fell short of persuading regulators after providing insufficient details on alternative payment systems.
As efforts to break up Big Tech gain momentum in the US, countries around the world are contemplating similar antitrust issues.
In their rebuttal, the group of states argued that the trial verdict had failed to take all the relevant facts into account.
Apple was similarly forced to cede ground to developers in South Korea, signalling what is to come for the rest of the world.
The decision is in accordance with South Korea's new law that regulates app stores through safeguards and penalties.
The order highlights restraints on app developers as unfair in a preliminary evaluation of Apple's allegedly abusive conduct.
The higher court will now begin hearing Apple's arguments against the original ruling, which could take several months to conclude.