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The £1.5bn Showdown: Apple Appeals Landmark Ruling Over “Unfair” App Store Fees
Apple has appealed the UK Competition Appeal Tribunal’s ruling that it abused its dominant position in the App Store by charging a “Apple tax” and ordered around £1.5 billion in damages, signalling it does not intend to concede quietly. Reports indicate the appeal has been taken to the higher Court of Appeal, after the tribunal’s decision to set a reasonable commission rate between 15% and 20% rather than the 30% Apple has long maintained.
The company’s legal team will argue that the tribunal’s proposed rate was derived through “informed guesswork,” while emphasising that the existing framework has supported a thriving app economy, according to the Guardian. If Apple ultimately loses, the fine—potentially as much as US$2 billion—would be distributed among all UK App Store purchasers between 2015 and 2024.
The case arose from a class action brought by UK App Store developers and consumers, with the CAT ruling marking a significant antitrust development in the digital economy.