A United Kingdom tribunal has found that Apple abused its dominant market position by charging excessive commissions on its App Store, in a landmark antitrust ruling. The Competition Appeal Tribunal (CAT) concluded that Apple’s practices harmed competition by imposing unfair fees on developers, some of which were passed on to consumers. This decision could lead to Apple owing up to £1.5 billion in damages to UK users and businesses.
Representing around 36 million UK iPhone and iPad users, academic Rachael Kent filed the claim, arguing Apple’s commission rate for app purchases and subscriptions was too high and lacked competitive justification. The criteria for damages include purchases in the UK App Store since October 1, 2015.
The tribunal found that Apple had charged commissions of about 30 percent on many apps and in-app purchases, whereas a competitive benchmark would be around 17.5 percent. The decision also held that developers passed around half of the overcharge on to consumers, and thus many UK users were affected by higher prices.
Apple is now required to respond to the finding and to participate in a follow-on hearing to determine how damages will be calculated. If Apple fails to appeal or reverses its business practices, it may face additional penalties or regulatory mandates.
Why the ruling matters for technology markets
The verdict marks one of the first successful collective actions against a large technology company in the UK, particularly under competition law. It signals that powerful platform operators can be held accountable for how they structure fees, restrict competition, and pass on costs to end-users.
Furthermore, the decision may spur similar legal actions in the UK and elsewhere, especially given ongoing investigations into app stores, digital wallets, and mobile platforms. Regulators and consumer advocates are likely now to closely scrutinize how major tech firms price services and control access.
Apple plans to appeal the ruling, and it has stated that the decision misunderstands how the App Store supports developers and consumers. The company asserts that its integrated ecosystem delivers value in security, privacy, and user experience.
For consumers, this case means it is worth reviewing your digital purchases if you used an iPhone or iPad in the UK since 2015. Many buyers may qualify for compensation depending on how the tribunal’s follow-on hearing unfolds and how claims are processed.
Developers and app operators should monitor how Apple adapts to the ruling. Changes may include lower commission rates, more flexible payment options, or improved transparency about how fees are charged.
This ruling could reshape how app stores operate, not only in the UK but globally. If Apple is required to adjust its business model, other platform providers may face pressure to follow suit. The decision raises questions about how dominant technology firms set fees, restrict alternative payment methods, and influence innovation through their ecosystems.
For regulators, the case offers a blueprint for class actions and collective redress when large digital platforms impose unfair structural costs. It emphasizes that user harm may come not only from scams or malicious apps, but from permitted business models that create hidden costs for end-users.