Apple Faces Historic UK Lawsuit Over App Store Commissions
Apple is under trial at London’s Competition Appeal Tribunal, accused of exploiting its dominance by overcharging app developers a 30% commission through its App Store. The lawsuit, representing 20 million UK iPhone and iPad users, alleges Apple inflates costs for consumers. Parallel cases target Google and other tech giants.
Apple is on trial at London's Competition Appeal Tribunal, accused of misusing its dominance by imposing a 30% commission on app developers through its App Store. This practice is said to have cost British consumers up to 1.5 billion pounds, the tribunal was told on Monday.
The mass lawsuit, representing around 20 million iPhone and iPad users in the United Kingdom, claims consumers faced excessive charges for app purchases due to Apple's practices. Apple, however, defends its position, arguing the lawsuit lacks merit and ignores the security and privacy benefits of its integrated iOS system.
Rachael Kent, the academic leading the lawsuit, argues Apple generates exorbitant profits by preventing competition in app distribution. Her legal team suggests this dominance allows Apple to levy high commissions that ultimately impact consumers. Similar lawsuits are pending against other tech giants like Google, Meta, and Amazon in the UK.
(With inputs from agencies.)