LONDON (Reuters) -Apple was on Thursday refused permission to appeal against a London tribunal ruling that it abused its dominant position by charging app developers unfair commissions, leaving the tech giant facing a potential bill of over 1 billion pounds ($1.3 billion).
The Competition Appeal Tribunal (CAT) ruled against Apple last month after a trial, finding Apple had abused its dominant position by shutting out competition in the app distribution market and “charging excessive and unfair prices” as commission.
Apple – which has faced mounting pressure from regulators in the U.S. and Europe over the fees it charges developers – has previously said the ruling “takes a flawed view of the thriving and competitive app economy”.
The CAT refused Apple permission to challenge its ruling at the Court of Appeal, but the company can still apply directly to the court.
Lawyers representing Rachael Kent, the British academic who brought the case, said in court filings for the hearing on Thursday that they had calculated damages from October 2015 until February 2024, plus interest, at 1.2 billion pounds.
Last month’s ruling came after Apple was hit with a complaint to European antitrust regulators over the terms and conditions of its App Store under rules aimed at reining in Big Tech.
The CAT ruled developers were overcharged by the difference between a 17.5% commission for app purchases and the commission Apple charged, usually 30%. The CAT also ruled that app developers passed on 50% of the overcharge to consumers.
Apple, however, said the judgment also overlooked the benefits of the App Store for developers and consumers.
($1 = 0.7451 pounds)
(Reporting by Sam Tobin; Editing by Paul Sandle and Emelia Sithole-Matarise)
