AIRLINK 197.55 Increased By ▲ 7.91 (4.17%)
BOP 10.27 Increased By ▲ 0.18 (1.78%)
CNERGY 6.95 Increased By ▲ 0.27 (4.04%)
FCCL 34.42 Increased By ▲ 0.28 (0.82%)
FFL 17.66 Increased By ▲ 0.57 (3.34%)
FLYNG 24.60 Increased By ▲ 0.77 (3.23%)
HUBC 127.73 Increased By ▲ 1.68 (1.33%)
HUMNL 13.83 Increased By ▲ 0.04 (0.29%)
KEL 4.88 Increased By ▲ 0.11 (2.31%)
KOSM 6.69 Increased By ▲ 0.11 (1.67%)
MLCF 44.15 Increased By ▲ 0.87 (2.01%)
OGDC 224.91 Decreased By ▼ -0.05 (-0.02%)
PACE 7.50 Increased By ▲ 0.12 (1.63%)
PAEL 42.86 Increased By ▲ 1.12 (2.68%)
PIAHCLA 17.22 Increased By ▲ 0.03 (0.17%)
PIBTL 8.54 Increased By ▲ 0.13 (1.55%)
POWER 9.12 Increased By ▲ 0.07 (0.77%)
PPL 194.30 Increased By ▲ 1.21 (0.63%)
PRL 38.76 Increased By ▲ 1.42 (3.8%)
PTC 24.34 Increased By ▲ 0.32 (1.33%)
SEARL 99.87 Increased By ▲ 5.33 (5.64%)
SILK 1.00 Increased By ▲ 0.01 (1.01%)
SSGC 43.76 Increased By ▲ 3.83 (9.59%)
SYM 18.58 Increased By ▲ 0.81 (4.56%)
TELE 9.12 Increased By ▲ 0.46 (5.31%)
TPLP 12.96 Increased By ▲ 0.57 (4.6%)
TRG 64.10 Increased By ▲ 1.45 (2.31%)
WAVESAPP 10.37 Increased By ▲ 0.09 (0.88%)
WTL 1.78 Increased By ▲ 0.03 (1.71%)
YOUW 4.02 Increased By ▲ 0.05 (1.26%)
BR100 11,968 Increased By 154.1 (1.3%)
BR30 36,684 Increased By 449.7 (1.24%)
KSE100 114,230 Increased By 982.8 (0.87%)
KSE30 35,984 Increased By 272.3 (0.76%)

LONDON: Apple has abused its dominant position by charging app developers an unfair 30% commission through its App Store, costing British consumers up to 1.5 billion pounds ($1.8 billion), a London tribunal heard on Monday.

The U.S. tech company is facing a mass lawsuit brought on behalf of around 20 million iPhone and iPad users in the United Kingdom, who were allegedly overcharged for app purchases.

Apple, however, says the case is meritless and overlooks the benefits to consumers of the integrated approach of its iOS operating system, which prioritises security and privacy.

The lawsuit at London’s Competition Appeal Tribunal is the first mass lawsuit against a tech giant to come to trial under Britain’s burgeoning class action-style regime, with many other cases waiting in the wings.

A similar $1.1 billion case against Google over the commission it charges app developers for access to its Play Store begins later in 2025.

Apple clarifies Siri privacy stance after $95mn class action settlement

Apple is facing a separate case brought on behalf of app developers over its App Store commissions, while Google, Meta and Amazon are also fighting high-value mass lawsuits in Britain.

‘100% monopoly’

Rachael Kent, the British academic bringing the case which began on Monday, argues Apple has made “exorbitant profits” by excluding all competition for the distribution of apps and in-app purchases.

This dominant position, her lawyers argue, allows Apple to impose restrictive terms on app developers and charge excessive commission, which they say is ultimately borne by consumers.

“Apple is not just dominant … it holds a 100% monopolyposition,” Kent’s lawyer Mark Hoskins said in court filings.

But Apple – which has faced mounting pressure from regulators in the U.S. and Europe over the fees it chargesthird-party developers – says 85% of developers do not pay any commission at all.

The company’s lawyer, Marie Demetriou, said in court filings that the commission reflects “the enormous benefits conferred through Apple’s innovation by the iOS ecosystem as a whole”.

Kent’s case simply ignores Apple’s intellectual property rights, Demetriou added, describing the contention that Apple must let developers use its technology as they wish as “expropriation of property rights masquerading as competition”.

The seven-week trial is expected to hear evidence from Apple’s chief financial officer Kevan Parekh later this week.

Comments

200 characters