About 40 million users of the iCloud storage service have filed a lawsuit against Apple on behalf of UK consumer rights group 'Which?' . The combined lawsuit is seeking more than 3 billion euros ($3.8 billion) in damages. The case has been filed under the country's competition laws.
The lawsuit alleges that Apple violated competition laws. The company is prioritizing the service of cloud storage in its products and charging the user an 'extra' price for using 'iCloud'. As a result, users are forced to buy iCloud subscription at an additional cost.
In a press release, 'Which?' That said, iOS has dominated and Apple has complete control over the operating system. The company therefore has a duty not to use this dominance to take undue advantage in related markets. Eg: In the cloud storage market. But that's exactly what happened. For this, the company has announced to file the case in the UK's Competition Appellate Tribunal (CAT).
The suit alleges that Apple is encouraging users of its devices to sign up to store photos and other data in iCloud. But at the same time making the process of using alternative storage services difficult for customers. For example: Apple does not allow third-party services to store or backup all iPhone data.
iOS users pay to store photos, notes, messages, and other data in iCloud once they exceed the 5GB limit of free usable storage.
The lawsuit also alleges that Apple is charging UK customers extra for iCloud subscriptions due to a lack of competition.
Apple has increased the price of various UK iCloud storage packages from 20 per cent to 29 per cent in 2023. They calculated that each customer could receive an average of 70 euros or 90 dollars in compensation. This will depend on how long they have been paying Apple for iCloud services.
The United States filed a similar case against Apple in March this year. The lawsuit alleges that cloud storage is monopolizing the market.
The company sought to have the case dismissed. But it is still in process.
If UK-based customers are eligible to participate in the lawsuit, they will automatically be included in the lawsuit.
'Which?' Spokesman Tommy Handley said, 'Eligible Apple customers are those who have used iCloud services within nine years of the Consumer Rights Act coming into effect on October 1, 2015. Even those who have not used money payments.'
'Which?' Litigation Capital Management (LCM), though a not-for-profit organization, is receiving close funding to run the case. It is a major regional global litigation fundraiser. The firm says it is committed to pursuing the case to the end.
Additionally, encouraging Apple to resolve claims without litigation is the 'Which?' . As well as refunding customers and opening up iOS so that users can choose 'options' for cloud services.
'Which? ' Chief Executive Anna Hoult said, 'The claim that 'Which?' Big corporations like Apple are showing they can't fool UK consumers. And even if you cheat, you will have to suffer the consequences. Taking this legal action can help consumers get the compensation they deserve. Prevent such behavior in the future and create a better, more competitive market.
In recent years, there has been an increase in the trend of consolidating and filing antitrust lawsuits against large technology companies. Apple faced another such case in the UK last year. It was submitted by the developers. The case was filed based on complaints regarding app store fees.
In 2023, another lawsuit was filed against Apple and Amazon in the United Kingdom. Where it was alleged that they were manipulating prices.
