Apple has always remained stingy when it came to giving users access to its free cloud storage through iCloud, and a few individuals likely grew tired of this business practice, which is why the company has been struck with a class-action lawsuit. The details state that the technology giant is ‘rigging the competitive playing field’ for cloud services by restricting the storage of certain iPhone and iPad files to its iCloud platform.
Additionally, Bloomberg Law reports that the firm’s measly 5GB of free iCloud storage space was also criticized, with revenue evidence showing that this amount is insufficient for users and they need to purchase additional plans to keep up with their requirements. Competitors like Google Drive offer 15GB for free tiers, making it a significantly better alternative.
“Apple has marked up its iCloud prices to the point where the service is generating almost pure profit. Apple’s ability to sustain these prices is a testament to its monopoly power. Apple device holders are given 5GB of free iCloud storage space, but as Apple’s iCloud revenues attest, most users find this insufficient for their storage needs and purchase a supplemental iCloud storage plan.”
Much of the lawsuit revolves around Apple limiting iPhone and iPad users to be able to use just iCloud for backing up their files
The 5GB free iCloud storage tier was introduced by Steve Jobs back in 2011 during WWDC, and since then, the value has remained unchanged, much to the frustration of Apple product owners. Regardless, Apple can trap customers into its ecosystem while keeping the competition locked. The lawsuit also states that Apple has no security or technological justification to keep iCloud limited to 5GB and restricted for certain files.
“There is no technological or security justification for Apple mandating the use of iCloud for Restricted Files. Apple draws this distinction only to curtail competition and advantage its iCloud product over rival cloud platforms.”
The lawsuit is a 37-page document compiled by the law firm Hagens Berman, which is representing the main plaintiff, Julianna Felix Gamboa. For those who do not know, 9to5Mac reports that it is the same law firm that filed a $560 million class-action lawsuit against the same company for its Apple Books price fixing. Our take is that, at most, Apple would be forced to increase its base free storage to 10GB while keeping the paid plans unchanged, so let us see what the outcome is in the future.
News Source: Bloomberg Law