According to a report by the Financial Times, Apple has lost a major antitrust class-action lawsuit in the United Kingdom concerning its App Store practices. The Competition Appeal Tribunal (CAT) ruled on Thursday that Apple had abused its dominant market position by charging developers excessive fees, a verdict that could compel the company to compensate millions of UK consumers.
The court determined that Apple holds “near-absolute market power” in both iOS app distribution and in-app payment processing. The ruling went further, asserting that Apple had systematically exploited its dominance by imposing “excessive and unfair pricing.” Apple has stated its intention to appeal the decision.
The claimants behind the class action are seeking £1.5 billion in damages to be distributed among 36 million affected UK consumers. A follow-up hearing is expected as early as next month to establish the process for resolving and calculating potential compensation.
This ruling once again underscores Apple’s increasingly strained relationship with regulators on both sides of the Atlantic. Earlier this week, Apple intensified its criticism of the EU’s Digital Markets Act (DMA), legislation designed to curb the power of major technology firms.
Meanwhile, on Wednesday, the UK Competition and Markets Authority (CMA) formally confirmed that, under Britain’s equivalent of the DMA, Apple holds “strategic market status”, thereby exerting a significant influence over market competition.
In a statement responding to the ruling, Apple expressed strong dissatisfaction:
“We appreciate the court’s consideration but strongly disagree with this decision, which misrepresents the thriving and highly competitive app economy.”
Apple emphasized that the App Store benefits both businesses and consumers in the UK, fostering a dynamic marketplace where developers can compete and users can choose from millions of innovative apps. The company argued that the ruling “fails to recognize how the App Store empowers developers to succeed while providing consumers with a safe, trusted platform for discovering and securely purchasing apps.”
Apple further contended that the App Store faces vigorous competition from numerous other platforms, offering developers and users ample choice in how they build, share, and download applications—reaffirming its intention to appeal the verdict.