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Apple faces possible further court action in UK over App Store charges
CGTN
The new iPhone 12 and iPhone 12 Pro on display during launch day on October 23, 2020 in London, UK. /CFP

The new iPhone 12 and iPhone 12 Pro on display during launch day on October 23, 2020 in London, UK. /CFP

Apple was on Tuesday facing possible further court action over its App Store after it was accused of "overcharging" millions of app-purchasers in the UK.

The claim, filed by digital economy expert Rachael Kent but not yet given the green light by Britain's Competition Appeal Tribunal, calls on the U.S. technology giant to repay customers.

As many as 19.6 million UK users could be eligible for compensation totaling up to 1.5 billion pounds ($2.1 billion), the file claims.

It comes after Britain's competition regulator launched an investigation into Apple in March, focusing on the U.S. technology giant's use of its App Store.

Kent, a lecturer at King's College, University of London, argues that because the App Store is the only way to get apps onto an iPhone or iPad, it is behaving like a monopoly.

"The App Store was a brilliant gateway for a range of interesting and innovative services that millions of us find useful, myself included," she said in a statement. "But thirteen years after its launch, it has become the only gateway for millions of consumers."

"Apple guards access to the world of apps jealously and charges entry and usage fees that are completely unjustified," Kent said. "This is the behavior of a monopolist and is unacceptable."

Responding to the accusations, Apple described the planned lawsuit as "meritless," pointing to the company's "unwavering commitment to consumers and the many benefits the App Store has delivered to the UK's innovation economy."

The claim states that typically, 30 percent of the cost of purchasing an app goes to Apple.

"This ... is an unlawful raid on Apple's customers' purses, bears no relationship to the costs of providing the services in question," it said.

The legal development comes in a week when Epic Games – maker of popular video game Fortnite – and Apple have clashed in court at the start of a blockbuster trial on the App Store, trading barbs over alleged monopolistic actions.

Last month, the EU formally accused Apple of unfairly squeezing out music streaming rivals through its App Store.

Source(s): AFP

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