U.S. Department of Justice Files Antitrust Lawsuit Against Apple Over Alleged iPhone Monopoly
Apple is facing legal action from the U.S. Department of Justice, which has filed an antitrust lawsuit against the tech giant, accusing it of maintaining a monopoly on the iPhone.
The DOJ contends that Apple’s alleged monopoly has stifled growth in the industry, harming competitors, developers, and consumers alike. The lawsuit alleges that Apple has engaged in anticompetitive practices, such as limiting third-party wallet and smartwatch compatibility, blocking cross-platform messaging apps, and discouraging non-App Store programs. Additionally, the DOJ claims that Apple’s contractual restrictions and fees deliberately restrict the functionality and features offered on the iPhone and its operating system.
In the 88-page lawsuit filed earlier this week, the government asserts that “each step in Apple’s course of conduct built and reinforced the moat around its smartphone monopoly.” The lawsuit seeks relief in the form of an injunction to block Apple’s alleged anticompetitive conduct. U.S. Attorney General Merrick Garland stated, “Consumers should not have to pay higher prices because companies violate the antitrust laws. We allege that Apple has maintained monopoly power in the smartphone market, not simply by staying ahead of the competition on the merits, but by violating federal antitrust law.”
Apple has responded to the allegations, stating, “This lawsuit threatens who we are and the principles that set Apple products apart in fiercely competitive markets.” The company argues that the lawsuit would hinder its ability to innovate and create technology that users expect, potentially setting a dangerous precedent for government intervention in technology design.
