Customers from Venmo and Cash App are now looking to sue Apple via the latest class action lawsuit filed against them for the alleged "high transfer fees" between mobile wallets. Moreover, this also features a take against the App Store's current feud with cryptocurrency wallets, claiming that Cupertino has swatted away the competition for these online money transfer methods.
Apple Lawsuit: Venmo, Cash App Customers Go Against High Transfer Fees
(Photo : Laurenz Heymann from Unsplash)
A new class action lawsuit was filed against Apple for their current setup with mobile and cryptocurrency wallets, and this centers on a high transfer fee for peer-to-peer payments. Moreover, this centers on another anti-competition claim against Apple about the platform raising the prices for money transfers, all while giving the world no other options to choose from.
Reuters reported this recent suit, stating that four customers from New York, Hawaii, South Carolina, and Georgia have raised this to the federal court of San Jose, California last week. Customers claimed that Apple violated yet another antitrust law through its setup with PayPal's Venmo and Block's Cash App for the current operations in the platform now.
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Apple: Anti-Competition for Mobile, Crypto Wallets?
Further into the lawsuit, it was claimed that Apple looked to block certain cryptocurrency wallets on its App Store, effectively taking down the competition, and leaving the said apps above to be the mobile wallets to use. Moreover, the customers claimed that they saw a rise in transfer prices which left them without any other options for their transactions, asking the company to divest its cash business.
Apple's Antitrust Lawsuits and Commission
This is not the first scruffle by Apple regarding antitrust lawsuits and the controversy behind its high commission rates which various companies have spoken up about and filed against the tech giant.
It saw the likes of Twitter and Spotify, together with their executives including Elon Musk and Daniel Elk, speaking up against the Cupertino, shaming the bad practice by the company online.
For a long time, Apple has enforced the 70 to 30 split between the developers and its company for its dedicated App Store for its devices, which is a controversial topic online.
Musk is known for being vocal against Apple in this issue, saying that the commission rate charged against the developers of apps, platforms, and services is high, ten times more than what is expected.
However, there seem to be no plans by Apple to go back on this policy, but the company has enforced a rule for developers earning as much as $1 million or less for a lower commission rate of about 15 percent. Now, another anti-competition lawsuit is filed against them, but this time, from Venmo and Cash App customers, claiming unfair practices and high transfer fees.
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