A new class action lawsuit in the US proposes that Apple has allegedly “marked up its iCloud prices to the point where the service is generating almost pure profit.” According to a report by Bloomberg Law, the plaintiffs have accused the Cupertino-based tech giant of “rigging the competitive playing field” by allowing only iCloud to manage device backups and other storage needs.It is important to note that the free tier of iCloud has remained limited to 5GB of storage since it was introduced by Steve Jobs at WWDC 2011.
The lawsuit emphasises that iPhone users only have one option when it comes to full device backups and that is Apple’s own iCloud service, which only gives users 5GB for free. It also criticises Apple for preventing “rival cloud platforms from offering a full-service cloud solution that can compete effectively against iCloud.” This allows Apple to limit free iCloud storage to 5GB and know that most users have to subscribe and pay for more storage just to back up their devices.
Interested iPhone users in the US who have purchased iCloud storage can also join the lawsuit.

Read what the lawsuit claims

The lawsuit reads: “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.
Apple nevertheless arbitrarily requires that its mobile device holders use iCloud to back up certain file types—mainly, device settings as well as apps and apps data (“Restricted Files”). With respect to other file types—e.g., photos and videos (“Accessible Files”)—Apple mobile device holders can select from other cloud-based storage providers servicing the market, including Google Drive, Sync.com, pCloud, and others.
Apple’s restrictions eliminate that choice and, in doing so, effectively compel Apple device holders to use iCloud for cloud storage. Technically speaking, Apple imposes what economists refer to as a “requirements” tie. That is, if iPhone or iPad holders wish to use cloud storage for Restricted Files—and most do— iCloud is their only option for fulfilling that requirement. And for anyone requiring more than 5GB of storage, which is to say most Apple customers, they must pay for it
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.”