Apple Inc (NASDAQ:AAPL, ETR:APC) faces a legal challenge in the UK from consumer advocacy group Which?, alleging that the tech giant restricts nearly 40 million British customers to its iCloud service and charges excessively for storage.
Which? argues that Apple’s iCloud pricing is unfair and estimates a potential payout of up to £3 billion, or approximately £70 per customer if the claim succeeds.
Apple disputes the accusations, asserting that customers are not required to use iCloud and may choose alternative storage providers. The company also maintains that it prioritises ease of data transfer and security, limiting other services’ access for protection reasons.
Which? CEO Anabel Hoult said: “We believe Apple customers are owed nearly £3 billion as a result of the tech giant forcing its iCloud services on customers and cutting off competition from rival services.
“By bringing this claim, Which? is showing big corporations like Apple that they cannot rip off UK consumers without facing repercussions.
"Taking this legal action means we can help consumers to get the redress that they are owed, deter similar behaviour in the future and create a better, more competitive market.”
This case adds to a trend of large-scale legal claims against major technology firms, including Facebook and Google, in the UK’s Competition Appeal Tribunal.