The Supreme Court ruled in Apple Inc. v. Pepper that consumers do have the standing to sue Apple, and it opens up a major antitrust threat to Apple's App Store business.
The Supreme Court ruled 5-4 against Apple on Monday in a case involving the App Store and whether Apple's control of the iPhone software marketplace is an unfair use of monopoly power.
Apple was down more than 5% on Monday, although its drop probably had more to do with escalation in the U.S.-China trade war that caused most stocks to fall sharply. iPhone users had argued that Apple's 30% commission on app sales had inflated prices for iPhone software, and Apple had argued that consumers didn't have the standing to sue because Apple was merely providing a marketplace for the apps — in Apple's argument, only the app developers had standing to sue for antitrust.
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