Apple is facing legal action in the UK over its iCloud service, with British consumer group Which? accusing the tech giant of breaching competition laws. The legal claim, expected to be filed with the Competition Appeal Tribunal, stems from allegations that Apple has made it difficult for its users to switch from iCloud to other data storage providers, effectively locking millions of customers into its ecosystem.
According to Which?, Apple encouraged users to store their photos, videos, and other data on iCloud, but then made it hard for them to use alternative services. Once users exceeded the 5GB free storage limit, they had no choice but to pay for extra space on iCloud. This lack of competition in the cloud storage market, Which? argues, has led to Apple customers being overcharged. The group claims that, on average, users have paid an extra £13.36 (about Rs 1,430) this year for their monthly iCloud subscriptions.
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Which? estimates that around 40 million Apple customers in the UK who have used iCloud over the past nine years could be eligible for compensation if the legal claim is successful, reports Reuters. In total, the consumer group believes Apple customers may be owed nearly £3 billion (around $3.78 billion) as a result of what it describes as Apple’s unfair practices.
Anabel Hoult, Chief Executive of Which?, stated, “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.”
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However, Apple has denied the allegations. In a statement, the company emphasised that users are not required to use iCloud and that many customers use third-party alternatives. “We reject any suggestion that our iCloud practices are anticompetitive and will vigorously defend against any legal claim otherwise,” Apple said.
If the case proceeds successfully, it could have significant implications for Apple, forcing the company to pay out billions in compensation to affected customers. The outcome could also influence the future of cloud storage practices and competition in the digital services market.