Apple is often accused of inscrutability when it comes to the app review process, but open-source developers like Wolfire seem to bear the brunt of policing their own piracy issues. When problems are found, developers and customers .

Rosen says he has few problems with self-policing, but that Apple needs to do better due diligence. "They clearly did not even search for 'Lugaru' before approving this other app," he noted.

Mostly, though, he wants Apple to respond faster when a problem is reported. PayPal, he said, has been "instantaneous" about shutting down payments to Websites that sell his pirated software. Life inside Apple's walled garden, he says, has proven somewhat less secure than the rough-and-tumble of the open Internet.

Wolfire hasn't decided how to proceed against iCoder.

"We're not a big company like EA with a big legal team ready to go," Graham said. "We don't want to set a precedent that people can get away with this kind of thing, but we also want to focus our resources and attention on" game development.