US files antitrust lawsuit against Apple for monopolising the smartphone market

US Justice department files landmark lawsuit against Apple for their “illegal monopoly”

Apple phones are exceedingly popular in the US, so much so that they control over 70% of the country’s smartphone market. Today, the US Justice Department has filed an antitrust lawsuit against Apple that alleges that the company has created an “illegal monopoly”. Furthermore, they allege that Apple has stifled innovation and has used its rules to “throttle competitors”.

US Attorney General Merrick Garland has stated that Apple “undermines apps, products and services that would otherwise make users less reliant on the iPhone… and lower costs for consumers and developers”. The lawsuit has also compiled a list of “anti-competitive” steps that Apple has allegedly taken. This includes blocking apps, supressing mobile cloud streaming services, limiting 3rd party digital wallets, and “diminishing the functionality” of non-Apple smartwatches.

When discussing the lawsuit, Garland says that Apple has “maintained its monopoly, not simply by staying ahead of the competition on the merits, but by violating federal antitrust laws”. This has allegedly resulted in US consumer paying higher prices because of Apple’s claimed lawbreaking.

Apple has claimed that the US’ lawsuit is “wrong on the facts and the law”, and that they will “vigorously defend against” this anti-trust lawsuit.

The US is not the only place that has taken action against Apple. The EU’s DMA law has forced Apple to allow competing app stores on iOS. This will allow iOS to become a competitive environment where several storefronts can compete. That said, this functionality will only be available inside the EU.

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