Indo-Asian News Services
25 Nov 2018 14:38 PM IST
Apple will head to the US Supreme Court this week to block a group of customers from suing the technology giant for monopoly violations, the media have reported.
The company is fighting a group of iPhone owners who claim Apple forced them to pay more for the application by banning rivals from the multibillion-dollar App Store.
After the customer wins the right to launch a class action lawsuit against the company in 2017, Apple has now appealed to the Supreme Court to overturn the decision, The Telegraph Reported on November 24.
If Apple fails, the business model is from App Store, one of the fastest and most profitable divisions of the company can be threatened, he added.
Apple generates billions every year by taking 30 percent of the applications sold through the App Store, made by developers. Application revenue grew by about a third in 2017 to $ 38.5 billion even when selling Apple iPhones and iPad stopped.
Customers think that a large commission is proof that the company exploits the monopoly position on iPhone users. They argue that "iPhone consumers nationwide have paid (Apple) hundreds of millions of dollars more for iPhone applications than they would have paid in a competitive market".
Apple attempted to reject the case by appealing to a 1977 Supreme Court ruling which said only "direct buyers" could seek compensation for antitrust abuse.
The company believes that because the application developer itself sets the price of applications in the App Store and not Apple, iPhone users buy applications from developers directly.
His opponents claim that because Apple sets rules about the App Store, like minimum prices, it effectively sells applications to users.
The Supreme Court will hear arguments on Monday, although it will likely take months until the judge announces any decision.
If Apple fails to overturn its previous decision, the company will likely face years of legal disputes in cases that began in 2011.