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posted by janrinok on Sunday November 17, @10:15AM   Printer-friendly

Apple accused of trapping and ripping off 40m iCloud customers:

Apple accused of trapping and ripping off 40m iCloud customers

Consumer group Which? says the legal action - which it has launched - could result in a £3bn payout if it is successful, with the average customer getting around £70.

Apple has rejected the suggestion its practices are anti-competitive, saying users are not required to use iCloud. It said many customers rely on third-party alternatives, and insists it "works hard to make data transfer as easy as possible".

It is another example of the "growing tide of large class actions against big tech" which has "operated without sufficient constraint", Toby Starr from legal firm Humphries Kerstetter told the BBC.

Facebook, Google, gaming giant Steam and the UK's leading mobile providers are among the others facing legal claims at the same court, the Competition Appeal Tribunal.

"Although most of these claims are in their infancy and take a long time to resolve, there will be more decisions coming out over the next couple of years and there will be settlements - these will start to affect the tech giants' businesses," said Mr Starr.

Users of Apple products get a small amount of digital storage for free – and after that are encouraged to pay to use its iCloud service to back up photos, videos, messages, contacts and all the other content which lives on their device.

Prices for this storage range from £0.99 a month for 50GB of space to £54.99 a month for 12TB.

Apple does not allow rival storage services full access to its products.

It says that is for security reasons - but it also contributes to the company's enormous revenues.

Which? says over a period of nine years dating back to 2015 Apple has been effectively locking people into its services - and then overcharging them.

"By bringing this claim, Which? is showing big corporations like Apple that they cannot rip off UK consumers without facing repercussions," the body's chief executive Anabel Hoult said.

"Taking this legal action means we can help consumers to get the redress that they are owed, deter similar behaviour in the future and create a better, more competitive market."

Apple has strongly denied Which's accusations.

"We reject any suggestion that our iCloud practices are anti-competitive and will vigorously defend against any legal claim otherwise," it said in a statement.


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  • (Score: 4, Interesting) by Tork on Sunday November 17, @08:22PM

    by Tork (3914) Subscriber Badge on Sunday November 17, @08:22PM (#1382204)

    Apple does not allow rival storage services full access to its products.

    It says that is for security reasons - but it also contributes to the company's enormous revenues [statista.com].

    Umm... okay, the "security reasons" are things like Password Manager. Your photos etc have been available to third parties for like a decade now. I even have a Western Digital "cloud storage" device (circa 2017) that came with an app to auto-sync from my phone.

    What if a company like Dropbox suddenly changes ownership. Apple can't help you if the new owners don't want to spend the resources to keep that data out of the hands of bad actors.

    Additionally Apple stands up to the gov't when they get hungry for data locked on someone's device. Will third parties do the same? Apple loves its profit, believe me on that... I recently had a $200 apple gift card I couldn't spend on anything useful at an Apple store without kicking in my own funds... even an external drive. 🤬 But there is a reason beyond Apple's greed those other services are cheaper. I'm all for alternatives but this one reeks of not-getting-the-complete-picture.

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