Apple denied permission to appeal a ruling that it abused its market dominance

• The tribunal found Apple blocked competition and charged developers excessive commission fees.
• The company can still take its challenge to the Court of Appeal within 21 days.
• Apple insists the ruling misrepresents a healthy and competitive app economy.

The Competition Appeal Tribunal in London has denied Apple permission to appeal a ruling that it abused market dominance by charging app developers unfair commissions.

As reported by Reuters, the CAT ruled last month that the tech giant abused its dominant position by blocking competition in app distribution and charging developers excessive, unfair commission fees.

The ruling leaves Apple facing a potential payout of more than £1 billion ($1.3bn) as regulatory pressure over its developer fees continues to grow in the US and Europe.

Moreover, the CAT denied the firm permission to challenge the ruling, but the iPhone maker can still apply to the Court of Appeal, with its lawyers requesting 21 days to file the application.

Claims of monopoly 

Apple’s spokesperson said the ruling misrepresents a thriving, competitive app economy and ignores the benefits Apple provides to developers and consumers.

British Academic Rachael Kent, who filed the case, accused Apple of exploiting its monopoly to block competition and impose excessive commissions on developers, claims the company denied.

The CAT found developers were overcharged by the gap between Apple’s usual 30% commission and a fair rate of 17.5%, and that developers passed about half of that overcharge on to consumers.

A recent Aptoide survey claimed that 84% of senior developers believe the industry can’t sustain itself under Apple and Google’s dominance, with many worried about dependency and high fees. 

Elsewhere, the UK’s CMA has also designated both Apple and Google as holding strategic market status across mobile OS, app distribution, and browsers, exposing them to new regulatory measures similar to the EU’s Digital Markets Act (DMA).