Apple is confronting a significant legal challenge in the United Kingdom as a £785 million ($995 million) class action lawsuit from approximately 13,000 app developers moves forward (via Bloomberg).
The case, spearheaded by UK competition policy expert Sean Ennis, accuses Apple of imposing excessive commission fees—up to 30%—on App Store sales, which developers claim constitutes an anti-competitive “tax” on the nation’s tech sector.
Judges at the UK’s Competition Appeal Tribunal recently rejected Apple’s efforts to block the lawsuit, dismissing the company’s arguments.
Ennis, a former official with the European Commission and the U.S. Department of Justice, asserts that Apple has unfairly profited from UK-based developers by mandating its App Store for app sales and in-app purchases since 2017. The lawsuit alleges that this practice forces developers to comply with high commission rates without alternative distribution options.
The UK case is part of a growing trend of regulatory challenges Apple faces globally. In the European Union, the company has been under pressure to open its ecosystem due to the Digital Markets Act, which requires support for third-party app stores.
Meanwhile, U.S. courts have also demanded changes to Apple’s policies, such as permitting alternative in-app purchase methods following a lawsuit from Epic Games.
If successful, this lawsuit could not only lead to significant financial repercussions for Apple but also set a precedent for how app marketplace operators handle commissions and developer relations.
Apple has not yet issued a public comment regarding the matter.
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