Apple Wins iCloud Storage Lawsuit, Avoids Antitrust Penalties

Apple Store with illuminated logo and customers inside.

Apple has successfully defended itself against another lawsuit accusing the company of using its market dominance to force users into paying for iCloud storage. A U.S. District Court in San Jose, California, dismissed the case, ruling that Apple did not violate antitrust laws.


The lawsuit, originally filed in March 2024, claimed that Apple misled consumers by offering only 5GB of free storage, effectively coercing them into purchasing additional space. Plaintiffs argued that Apple’s dominance in the smartphone market left users with no alternative but to rely on iCloud. However, Judge Eumi Lee ruled that Apple’s pricing structure does not constitute an illegal monopoly.

Apple Store with illuminated logo and customers inside.

Court Rules Against Monopoly Claims

Judge Lee found that Apple’s premium iCloud storage plans were optional and that users could choose third-party alternatives. The court also noted that high pricing alone does not prove anticompetitive behavior.

“If anything, Apple’s allegedly high prices would incentivize rivals to increase production to take share from Apple,” Judge Lee stated in her ruling.

Despite the lawsuit’s dismissal, the plaintiffs have the opportunity to revise and resubmit their claims. The judge indicated that the case could be reconsidered if it provides stronger evidence of anticompetitive practices.


While Apple secured this legal victory, the company still faces a similar lawsuit in the UK, where a consumer rights group is seeking $4 billion in damages for iCloud users. The UK case claims that Apple unfairly profits from restrictive cloud storage policies.

Apple has consistently defended its iCloud pricing model, arguing that the service offers more than just storage, including photo syncing, device backups, and enhanced security features.

Will iCloud Storage Prices Drop?

For now, Apple’s win means users should not expect price reductions for iCloud storage. With 5GB of free space remaining the standard, customers will likely need to continue paying for upgrades or seek alternative cloud storage options.

As legal challenges continue, Apple remains under scrutiny for how it structures its cloud services. However, this latest ruling reinforces the company’s ability to set its own pricing without legal consequences.


SOURCES:Reuters
Share This Article