£3 Billion Lawsuit Targets Apple Over iCloud Monopoly Practices in UK

November 14, 2024
£3 Billion Lawsuit Targets Apple Over iCloud Monopoly Practices in UK
  • Consumer advocacy group Which? has initiated a £3 billion lawsuit against Apple, alleging violations of competition law by compelling customers to use its iCloud services.

  • This legal action aims to fill a regulatory void ahead of the UK's new digital markets regime, which is set to strengthen oversight of tech companies.

  • The lawsuit is being financed by Litigation Capital Management, which is committed to supporting the case through its entirety.

  • Which? is represented by the international law firm Willkie Farr & Gallagher, which will receive fees as the case progresses, but not a share of any potential damages.

  • Under the Consumer Rights Act 2015, U.K. consumers will be automatically included in the claim unless they choose to opt-out, while consumers outside the U.K. must opt-in.

  • The lawsuit has been formally filed with the U.K.'s Competition Appeal Tribunal (CAT) and was announced via a press release.

  • The outcome of this lawsuit remains uncertain, and legal experts anticipate a lengthy process.

  • Legal expert Alan Davis suggests that the potential for high damages and the support of litigation funding may lead to an increase in similar cases against major tech companies.

  • Apple has faced scrutiny and fines in multiple countries for market dominance issues, including a recent €13 billion tax ruling from the EU.

  • This lawsuit reflects a broader trend of significant legal actions against tech giants in the U.K., raising concerns about consumer choice and pricing in the industry.

  • The timing of the lawsuit is crucial, as the Competition and Markets Authority is expected to gain enhanced regulatory powers in early 2025.

  • If Which? is successful, affected users could receive approximately £70 each, and the case may take years to resolve.

Summary based on 37 sources


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