Apple loses 1.5bn UK court case over App Store fees in landmark competition ruling

"The tribunal found in favour of Dr Rachael Kent, a senior lecturer at King's College London, who brought the collective action lawsuit Kent v Apple on behalf of nearly 36 million UK consumers and businesses. The CAT concluded that Apple's practices led to excessive and unfair pricing over a ten-year period. The court ruled that Apple had "imposed exclusionary practices" and charged "excessive and unfair fees" on App Store purchases and subscriptions, violating competition law."

""This is a landmark victory - not only for App Store users, but for anyone who has ever felt powerless against a global tech giant," said Dr Kent. "The tribunal has confirmed that Apple has been unlawfully overcharging users for more than ten years. Those inflated fees have added up to billions for the world's richest company, and less choice and innovation for everyone else." She added that the decision proved the UK's collective action regime is working to "empower ordinary people and small businesses to hold even the most powerful corporations to account.""

"Dr Kent's case marks a significant legal milestone as the first successful collective action of its kind under the UK's consumer competition framework - and makes her the first female Class Representative in a UK collective claim. The ruling means that anyone who purchased paid apps, digital subscriptions or in-app content through the Apple App Store since 1 October 2015 could be entitled to compensation. The total payout is estimated at up to £1.5 billion."

Apple abused its dominant position in the UK digital app marketplace by imposing exclusionary practices and charging excessive and unfair fees on App Store purchases and subscriptions over a ten-year period. A collective action led by Dr Rachael Kent representing nearly 36 million UK consumers and businesses succeeded at the Competition Appeal Tribunal. The ruling identifies overcharging of iPhone and iPad users and opens eligibility for compensation to buyers of paid apps, subscriptions, or in‑app content since 1 October 2015. Estimated total damages could reach up to £1.5 billion. The decision establishes a precedent under the UK's collective action regime.

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