Sponsored By

Apple is being sued by iOS devs over 'profit-killing' App Store fees

Apple is being sued by a group of iOS developers for pushing "profit-killing" commissions and fees onto App Store devs.

Chris Kerr

June 5, 2019

1 Min Read

Apple is being sued by a group of iOS developers for pushing "profit-killing" commissions and fees onto App Store devs. 

California-based developers Donald R. Cameron and Pure Sweat Basketball Inc. filed the class-action complaint against Apple, and take issue with the company's minimum pricing mandates, 30 percent commission rate, and annual $99 developer fee.

The lawsuit alleges the use of such fees puts Apple in direct violation of federal antitrust laws and California's unfair competition laws, and seeks to end the iPhone makers "abusive monopoly" on the distribution of iOS apps and related products. 

The complaint was filed in the U.S. District Court for the Northern District of California, and is currently seeking class action status. Law firm Hagens Berman is handling the case, having previously won a suit against Apple in 2016 over the company's approach to e-book pricing.

“Between Apple's 30 percent cut of all App Store sales, the annual fee of $99 and pricing mandates, Apple blatantly abuses its market power to the detriment of developers, who are forced to use the only platform available to them to sell their iOS app," said Steve Berman, the attorney representing the proposed class of developers. 

"In a competitive landscape, this simply would not happen. We think app developers should be rewarded fairly for their creations, not over-taxed by a corporate giant. After 11 years of monopoly conduct and profits, we think it’s high time that a court examine Apple’s practices on behalf of iOS app developers and take action as warranted by the law and facts."

About the Author(s)

Chris Kerr

News Editor, GameDeveloper.com

Game Developer news editor Chris Kerr is an award-winning journalist and reporter with over a decade of experience in the game industry. His byline has appeared in notable print and digital publications including Edge, Stuff, Wireframe, International Business Times, and PocketGamer.biz. Throughout his career, Chris has covered major industry events including GDC, PAX Australia, Gamescom, Paris Games Week, and Develop Brighton. He has featured on the judging panel at The Develop Star Awards on multiple occasions and appeared on BBC Radio 5 Live to discuss breaking news.

Daily news, dev blogs, and stories from Game Developer straight to your inbox

You May Also Like