A group of consumers can pursue their lawsuit that accuses Apple of using its monopoly power to raise prices for the apps sold through the App store, in a case that brings renewed scrutiny to the digital marketplace.
Spotify and Netflix have taken issue with the 30% commission that Apple collects from an app’s first-year subscriptions and a 15% share of revenue generated from long-term subscribers.Four iPhone owners filed a suit in 2011, claiming that Apple monopolizes the “app aftermarket”—and extracts a fee that results in higher prices for millions of consumers who use their phones to buy food, arrange transportation or buy movie tickets.
Justice Brett Kavanaugh, writing for the court’s 5-4 majority, rejected Apple’s arguments, writing that the technology giant sought to draw “an arbitrary and unprincipled line” among retailers, based upon their arrangements with suppliers. The case will continue through the courts. Apple issued a statement, saying it’s confident that it will prevail in court.
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