Apple
US DOJ accuses tech giant, Apple, of monopolising smartphone market
In a historic civil antitrust case, the US Department of Justice (DOJ) accuses tech giant, Apple, of stifling competition to increase profits and unlawfully monopolise the US smartphone market.
Apple is accused of having monopoly power in the smartphone industry and is using its hold on the iPhone to “engage in a broad, sustained, and illegal course of conduct,” according to the lawsuit, which was filed in federal court in New Jersey.
Sources with knowledge of the case claim that it directly challenges the company’s fundamental business models and offerings, such as its iMessage service and the way that gadgets like the iPhone and Apple Watch communicate with one another.
It charges the company with using unlawful measures to prevent apps deemed dangerous and detract from competing goods.
Apple disputes the allegations and has promised to “vigorously” combat the lawsuit.
The extensive lawsuit, which was submitted to a federal court in New Jersey alongside the attorneys general of sixteen states, is one of Apple’s largest legal challenges to date. In recent years, the company has been fending off growing accusations against its business methods.
It claims that to increase its profits at the expense of users and stifle innovation, Apple implemented “a series of shapeshifting rules” and restricted access to its hardware and software.
Apple has denied the claims made in the case, claiming that they pose a risk to the company’s fundamental business functions.
“Our identity and the values that distinguish Apple goods in highly competitive markets are at risk due to this litigation.
“Should it be successful, it would make it more difficult for us to develop the kind of technology that consumers come to expect from Apple—where services, software, and hardware come together,” an Apple representative stated in a statement.
Additionally, it would create a risky precedent by giving the government significant control over how people’s technology is designed.
“We will vigorously defend ourselves against this lawsuit because we believe it is wrong on both the facts and the law.”