UK: Apple sued for $1.8 billion over anti-competitive practices

Deepak Gupta July 7, 2022
Updated 2022/07/07 at 2:02 PM

There is no doubt that, today, Apple continues to be one of the most powerful and important companies in the technological segment. However, especially for being a big brand, when there are problems they also end up taking on equally significant proportions.

Thus, the latest information indicates that a UK court has now sued the apple brand for 1.8 billion dollars due to the anti-competitive practices of its App Store.




Court sues Apple for anti-competitive practices in the App Store

According to the data provided by the channel The Register, a UK court has sued Apple for anti-competitive practices in its app store App Store. That same process could lead the Cupertino company to pay a fine of 1.8 billion dollars, something like 1.77 billion euros.

The court accepted a request for a Class Action Order (CPO) against the apple brand, which is in fund an admission or order for class litigation similar to class actions that exists in the United States. This CPO was presented by Dr. Rachel KentProfessor of Education in Digital Economy and Society at King's College, London, who has worked in consultancy and on the NHS, having carried out research on user intent on digital platforms and applications.

According to court decision document"in essence, Dr. Rachel Kent alleges that Apple has excluded all competition from potential or actual rivals through its strict terms and conditions, among other restrictions, imposed on iOS in order for it to be dominant (or achieve a monopoly position) in the distribution of apps and services from payment". The complainant further says that programmers are forced to follow company regulations.

As might be expected, the apple brand denies these accusations and, as such, requested the annulment of the judgment or, alternatively, requests a summary judgment on the excessive amount claimed. However, for now, the process is still ongoing.

Among the main arguments against Apple is an App Store cost and net income report, in which it is indicated that there is a growing profit margin that is supposed to be due to abusive pricing and over-invoicing. According to Dr. Kent, the case could affect around 19.6 million iOS users in the UK.

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