Apple Faces Class-Action Lawsuit Over App Store Monopoly

Apple is no stranger to legal battles, and it seems that the tech giant’s legal team is facing yet another challenge. According to Reuters, a federal judge has given the green light for tens of millions of Apple customers to proceed with a class-action lawsuit. The lawsuit accuses Apple of monopolizing the market for iPhone apps by prohibiting purchases outside of its App Store, which allegedly leads to higher prices.

Here’s what you need to know about this unfolding legal saga:

– The class action lawsuit was initially declined in March 2022 but has now been certified by US District Judge Yvonne Gonzalez Rogers. The class has been narrowed down to include only Apple account holders who spent $10 or more on app or in-app content.
– While Judge Rogers expressed concern about including accounts that may not have suffered harm, she noted that the number could be reduced and emphasized that there was no fixed “cutoff” for denying certification.
– Apple’s attempt to exclude testimony from expert witnesses was dismissed by Judge Rogers, including testimony from Nobel Prize-winning economist Daniel McFadden. These experts are expected to shed light on how Apple may have caused harm to consumers.
– Mark Rifkin, the lawyer representing the consumers, expressed being “extremely pleased” with the judge’s decision and estimated that the class incurred “billions of dollars in damages.”

This lawsuit comes on the heels of other legal battles involving Apple’s App Store policies. In September 2021, Judge Rogers was also involved in the Epic Games vs. Apple showdown, where she ordered Apple to ease up on restrictions for where developers can ask for payment.

No matter how this case unfolds, it’s clear that Apple’s rules are already undergoing changes globally. For example, the EU Digital Markets Act is pushing Apple to make adjustments, mandating the allowance of third-party app stores and third-party payment processing within the European Union.

As this legal battle continues to unfold, we’ll be keeping a close eye on any developments and their potential impact on consumers and the telecommunications industry as a whole. Stay tuned for more updates as this story progresses.