The U.S. Justice Department has sued Apple, accusing the tech giant of stifling competition by restricting software developers and mobile gaming companies from offering their services on the iPhone, reports the WSJ.
Filed in a federal court in New Jersey on Thursday, the antitrust lawsuit alleges Apple’s dominance over the iPhone ecosystem has prevented competitors from bringing innovative services such as digital wallets, for example.
“Consumers should not have to pay higher prices because companies violate the antitrust laws,” said Attorney General Merrick Garland.
Apple responded to say, “This lawsuit threatens who we are and the principles that set Apple products apart in fiercely competitive markets.” An Apple spokesperson continued, “If successful, it would hinder our ability to create the kind of technology people expect from Apple—where hardware, software, and services intersect.”
The U.S. government has similar antimonopoly lawsuits already underway against Amazon, Google, and Meta. Now, enter Apple.
The European Union has already forced Apple to shake up its developer access and practices to adhere to the Digital Markets Act.
“Apple’s anticompetitive acts include, but are not limited to, its contractual restrictions against app creation, distribution, and access to APIs that have impeded apps and technologies including, but not limited to, super apps, cloud streaming, messaging, wearables, and digital wallets. The areas identified in this complaint reflect a non-exhaustive list of recent anticompetitive acts but as technology advances, both the technologies impeded and the specific manner of impediment may shift in response to technological and regulatory change consistent with Apple’s past conduct,” explained the U.S. lawsuit.
The lawsuit’s origins trace back to a 2019 investigation, gaining momentum with the appointment of the Biden administration’s top antitrust official, Jonathan Kanter, in 2021.
Apple will be defending itself against this lawsuit, so get ready to see what happens.
