Apple faces $1bn lawsuit: developers complain about high App Store fees

Apple is facing another lawsuit over its overcharging of App Store app developers and the manufacturer's monopoly.

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1,500 UK developers have filed a $1 billion lawsuit. The lawsuit alleges that Apple has been charging developers an unfair commission of up to 30 per cent for buying apps and other content. The plaintiffs allege that Apple is abusing its dominant market position to distribute apps on the iPhone and other Apple devices, and are therefore seeking damages.

Apple initially sought to have the lawsuit dismissed, but the court ruled that the lawsuit could proceed. The trial is likely to begin as early as next year.

These are far from the first such allegations against Apple. Because of this, the company has had to allow alternative app shops, as well as allowing developers to charge people outside of the App Store. But these relaxations only apply in European Union countries.

Source: Reuters