The DOJ filed an antitrust lawsuit against Apple alleging it has unlawfully monopolized the US smartphone market.
Key allegations include: Apple suppresses “super apps” that could threaten its business; it degrades functionality of third-party messaging apps to reinforce the status of iPhones; it limits capabilities of third-party smartwatches to prevent alternatives to the Apple Watch; it restricts access to tap-to-pay technology; and it plans to take over vehicle dashboards through CarPlay.
“By applying the same playbook of restrictions to CarPlay, Apple further locks-in the power of the iPhone by preventing the development of other disintermediating technologies that interoperate with the phone but reside off device,” the DOJ stated.
iMessage should not benefit from bullying. Texting should bring us together, and the solution exists. Let’s fix this as one industry. 💚💙 https://t.co/18k8RNGQw4
— Android (@Android) January 8, 2022
The lawsuit argues these practices have allowed Apple to maintain over 65% of the US smartphone market and 70% of the premium market, harming consumers through reduced innovation, choice and higher prices.
Apple responded that the lawsuit threatens its principles and sets a dangerous precedent of government overreach in designing technology.
“This lawsuit threatens who we are and the principles that set Apple products apart in fiercely competitive markets,” Apple spokesperson Fred Sainz stated.
The legal action sets “a dangerous precedent, empowering government to take a heavy hand in designing people’s technology,” Sainz said.
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