US approves anti-trust lawsuit against Apple’s App Store policies

9 months ago 11

A recent court ruling has opened the door for a major antitrust lawsuit against

Apple

regarding its

App Store policies

. According to a report by the news agency Reuters, US District Judge

Yvonne Gonzalez Rogers

has ruled that a class action lawsuit with potentially tens of millions of iPhone users will be allowed to move forward. The lawsuit accuses Apple of monopolising the iOS app market.
Earlier, in March 2022, the same judge refused to certify the class action.

However, she changed her decision after the plaintiffs narrowed the proposed class. As per the new proposal, the lawsuit will only include Apple account holders who spent at least $10 or more on apps or in-app purchases.
While Judge Rogers expressed concern that the class could still include millions unaffected by alleged antitrust violations, she allowed the case to progress. She noted that the number could be reduced and that there is no strict cutoff for denying certification.

The ruling also rejected Apple from excluding expert witness testimony from two economists, including Nobel laureate

Daniel McFadden

.
Their analysis suggested that Apple's policies have negatively impacted consumers. Lawyers for the consumers who filed the lawsuit celebrated the decision. The report notes that the lawyers believe that the damages can amount to billions of dollars given over a decade of alleged anti-competitive behaviour.

What the lawsuit accuses

The case centres around Apple's rules requiring iPhone apps to be sold through its proprietary App Store. With this system, Apple also takes a commission on sales and developers are banned from directing users to payment options outside the

App Store

ecosystem.
The consumers argue this structure allows Apple to charge higher prices for apps and in-app purchases.
Judge Rogers has overseen similar disputes against Apple's policies. Last year, she ordered Apple to allow more developer flexibility in directing users to alternative payment systems.
The report claims that the previous ruling provided inspiration for the judge's reconsideration of class action certification. With the lawsuit now cleared to include millions of Apple users, the company faces further legal scrutiny for its control over the App Store.
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