U.S. Department of Justice is reportedly preparing to sue Apple for alleged antitrust violations, with the announcement expected as early as tomorrow, Thursday. This action follows claims that Apple has been blocking competitors from accessing iPhone hardware and software features.
U.S. Department of Justice is reportedly gearing up to file a lawsuit against Apple Inc., alleging violations of antitrust laws stemming from restrictions on competitors’ access to iPhone features.
This legal action represents the third antitrust case targeting Apple, following previous litigation initiated during the Trump administration and ongoing efforts by the Biden administration to address concerns surrounding major technology companies.
Sources familiar with the matter suggest that the DOJ is preparing to lodge the lawsuit in federal court, potentially as early as Thursday. The lawsuit contends that Apple’s actions have breached antitrust regulations by hindering competitors’ access to both hardware and software features of its iPhone, thereby stifling market competition.
Concurrently, Apple faces heightened scrutiny in Europe, where it is grappling with a €1.8 billion fine imposed by the EU and the possibility of investigation under the EU’s Digital Markets Act.
The DOJ has been conducting an investigation into Apple’s closed ecosystem for some time, examining whether its practices violate antitrust laws by limiting consumer options and inflating prices for competitors.
This legal action aligns with the Biden administration’s broader efforts to address the dominance and impact of major tech firms, which have come under increased scrutiny in recent years.
Apple has encountered antitrust challenges previously, including a lawsuit during the Trump administration. The company maintains that its carefully managed ecosystem delivers superior user experiences and asserts that its actions are both lawful and justified.
However, regulators and competitors persist in their claims that Apple’s practices stifle innovation and undermine competition.
Wedbush advises Apple to address a potential case with the DOJ, highlighting the significance of maintaining constructive dialogue and discouraging negative opinions, discrimination, and spam. Users are reminded to maintain respect, avoid personal attacks, and follow standard writing practices. Breaches may lead to account suspension. Emphasizing civil interaction, Wedbush urges users to express opinions concisely and thoughtfully without monopolizing the discussion.
Meanwhile, Microsoft, Match Group, Meta, and X have filed an amicus curiae brief in federal court, opposing Apple’s plan to enable outside payment options on its app store.
In summary, the DOJ is reportedly poised to file a lawsuit against Apple, alleging antitrust violations related to limitations on rivals’ access to iPhone features. This marks the third antitrust case against Apple, amid heightened regulatory scrutiny domestically and internationally, including a significant fine from the EU and potential investigation under EU legislation.
(Inputs from Bloomberg)
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