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America November 1, 2023 4 mins read

24 Million Apple Users Will Receive $1 Billion After UK’s Antitrust Tribunal Decision

America ı By Rochdi Rais

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Apple Criticized Over Confidentiality

U.K. Tribunal Greenlights $1 Billion Claim Accusing Apple of Concealing Battery Issues

LONDON (AP) — In a thrilling legal spectacle, the U.K.'s antitrust tribunal has tentatively given the green light to an £853 million ($1 billion) claim against Apple. This dramatic lawsuit alleges that the tech giant concealed battery problems affecting the iPhones of a staggering 24 million customers. The decision allows the claim to proceed as a class action, pending the resolution of funding-related questions.

A Class Action Emerges

The Competition Appeal Tribunal has now granted a collective proceedings order, permitting Justin Gutmann, the proposed class representative, to wage a legal battle against Apple on behalf of iPhone users in the U.K. The tribunal determined that Gutmann's role as the class representative was "just and reasonable."

However, in this legal arena filled with perplexities, the tribunal chair, Justin Turner KC, clarified, "We have not been asked by either party to make a ruling on the current or proposed new funding arrangements." Thus, questions about funding arrangements remain shrouded in mystery.

The tribunal's decision wasn't without its share of perplexity. They acknowledged a "lack of clarity and specificity" in Gutmann's case. Active case management will be necessary to address these issues before the trial can proceed.

"This impacts both the questions of the existence of abuse and the manner in which loss to the class is to be assessed," the judgment reads, adding to the aura of suspense.

The heart of the claim revolves around Apple's alleged concealment of defects in iPhone batteries. Philip Moser KC of Monckton Chambers, representing Gutmann, disclosed the claim's core argument. Apple was accused of exploiting its dominance in both software and hardware markets to mask battery performance issues in certain iPhone models. To cover these deficiencies, Apple purportedly deployed a power management tool that intentionally limited performance.

Moser asserted that Apple had "surreptitiously" introduced this power management feature through software updates, which subsequently hampered phone performance when facing technical glitches.

The Tribunal's Verdict

In a dramatic twist, the tribunal determined that there was a "reasonable prospect" of demonstrating at trial that Apple's actions would have affected the commercial balance between consumers and the company. Transparency could have led to different consumer reactions and potential compensation claims against Apple.

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Rochdi Rais
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Rochdi Rais

Rochdi Rais is the Fractional Head of Growth and financial and legal writer at USA Herald. He has been writing and editing financial, legal and U.S. news for years with over +4000 articles published during his career.

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