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Apple found at fault in landmark UK lawsuit over App Store commissions


Apple found at fault in landmark UK lawsuit over App Store commissions

A London tribunal has ruled that Apple abused its market dominance by imposing unfair App Store commissions on developers, in a landmark judgment that may lead to hundreds of millions of pounds in damages.According to Reuters report, the Competition Appeal Tribunal (CAT) delivered the decision after hearing a mass claim brought on behalf of millions of iPhone and iPad users in the United Kingdom.

What the tribunal ruled

The tribunal found that, between October 2015 and December 2020, Apple shut out competition in app distribution and imposed commissions higher than what would have been competitive. The panel accepted arguments that while a 17.5% commission would have been appropriate, Apple generally charged around 30%. The CAT also agreed that developers passed half of this overcharge to UK consumers.

Apple said it would appeal the decision, arguing that the ruling overlooks consumer benefits and the security of its platform.

Damages phase and next steps

The claim is valued at around 1.5 billion pounds. A hearing next month will decide how damages are to be calculated and whether Apple will get permission to appeal before any payout process begins. The decision arrives at a time when Apple is already under scrutiny from regulators in Europe and the United States over App Store rules.

This is the first major technology case to reach trial under the UK's class-action-style regime. The ruling is expected to influence similar pending claims, including one against Google over Play Store commissions scheduled to be heard in 2026 alongside a related Epic Games claim. Other large U.S. tech companies have comparable cases awaiting trial.

Rachael Kent, who initiated the Apple claim, said the outcome demonstrates that the UK's collective action regime can deliver accountability in digital markets and signals that dominant platforms remain subject to domestic competition law.

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