Apple, the well-known tech titan, is currently under the microscope. An emerging class-action lawsuit has been brought to life, accusing the company of inflating iCloud prices to such an extent that the service churns almost pure profit. According to reports first put forward by Bloomberg Law, the plaintiffs allege that Apple has skillfully manipulated the competition by exclusively allowing iCloud to manage device backups and other storage necessities.
Users of Apple devices are provided with an initial 5GB of free iCloud storage, a capacity that often falls short of the average user’s storage requirements. This leads many to purchase a supplemental iCloud storage plan as the lawsuit contends. It should be noted that the free tier of iCloud, limited at 5GB, has remained unchanged since it first graced the stage with Steve Jobs at the WWDC 2011.
The lawsuit places heavy emphasis on the lack of options iPhone users face when seeking full device backups. The only available option is Apple’s iCloud service, which only offers a limited 5GB of storage for free. Seemingly, Apple causes an enforced use of iCloud for certain file types, such as device settings, apps, and app data, which debar alternative cloud services from reacting competitively.
The restrictive measures adopted by Apple essentially force users to choose iCloud for their cloud storage. On a technical level, the iCloud imposition has been termed as a “requirements” tie by economists. Simply put, if iPhone or iPad holders wish to use cloud storage for certain file types, their only recourse is iCloud. If the minimal 5GB of storage is insufficient, which is often the case, extra payment becomes inevitable.
Moreover, the complaint argues that there’s no technological or security ground for Apple mandating the use of iCloud for certain files. The primary purpose, it asserts, is to throttle competition and favour iCloud over other potential platforms.
The details of the lawsuit can be viewed on the Bloomberg Law website. Leading the charge is the Hagens Berman law firm, an entity that has previously helmed a myriad of class-action lawsuits against Apple, including a $560 million suit related to Apple Books price fixing.
Those interested in joining the legal battle, particularly iCloud storage purchasers, can register through Hagens Berman’s website.
Follow Chance on Threads, Twitter, Instagram, and Mastodon.
FTC: Earnings include auto affiliate links. More information available.
