The UK Competition Appeal Tribunal has cleared a £3 billion class action lawsuit against Apple Inc. (AAPL) to proceed to trial, following a certification ruling in favour of consumer group Which?. The claim alleges that Apple unlawfully trapped UK iPhone and iPad users into its iCloud storage service, overcharging them as a result of restricted competition. Around 40 million UK consumers could be entitled to an average payout of approximately £77 each if the claim ultimately succeeds.
Which? filed its claim at the Competition Appeal Tribunal in November 2024 under section 47A of the Competition Act 1998, which permits stand-alone and follow-on competition damages claims before the CAT. The case is being pursued on an opt-out basis, meaning UK iPhone and iPad users who used iCloud between November 2018 and June 2026 and were resident in the UK on 8 June are automatically included in the class unless they actively choose to withdraw. The £3 billion figure is equivalent to approximately $3.9 billion, and the case is currently on track for a trial in October 2028.
Which? argues that since 2015 Apple has effectively locked users into its services and overcharged them as a result. The group points to Apple's practice of offering only 5GB of free iCloud storage before directing users toward paid tiers — ranging from 99p per month for 50GB to £54.99 per month for 12TB in the UK — and to Apple's policy of not granting rival storage providers full access to its devices, which Apple says is for security reasons. Anabel Hoult, chief executive of Which?, said the tribunal's ruling meant the group was 'one step closer to getting consumers the redress we believe they are owed from Apple', and that it wanted to make clear that no company, 'no matter how powerful, can get away with abusing its position' [Source: BBC News].
Apple has rejected the allegations. The company has called the claims unfounded, stating that no customer is required to use iCloud and that alternative storage services are available. Apple said it 'strongly disagrees' with the tribunal's decision and plans to appeal [Source: BBC News]. The CAT ruling grants Which? the status of class representative, a procedural threshold that followed a three-day court hearing on the question that was scheduled to conclude in November 2025.
The iCloud case is not the first time Apple has faced collective competition proceedings in the UK. In a separate action, the Competition Appeal Tribunal previously ruled that Apple had abused its dominant position in the mobile app market by imposing 'excessive and unfair' charges on developers through its App Store [Source: Computing].
Sources: BBC News, Sky News, MacRumors, Computing, Computer Weekly