Apple Facing Imminent U.S. Antitrust Lawsuit

[MacRumors]

The United States Justice Department is preparing to sue Apple for violating antitrust law as soon as Thursday, reports Bloomberg. The lawsuit will be the culmination of an investigation that initially started in 2019 as an antitrust review of major technology companies. U.S. regulators have already sued Google, Meta, and Amazon.

Over the last several years, Apple officials have met with the DoJ multiple times, and the investigation has covered everything from iMessage to ad practices. Some of what the DoJ has looked into:

• How the Apple Watch works better with iPhone than other smart watches do.
• How Apple locks competitors out of iMessage.
• How Apple blocks financial firms from offering tap-to-pay services similar to Apple Pay.
• Whether Apple favors its own apps and services over those provided by third-party developers.
• How Apple has blocked cloud gaming apps from the App Store.
• How Apple restricts the ‌iPhone‌'s location services from devices that compete with AirTag.
• How App Tracking Transparency impacted the collection of advertising data.
• In-app purchase fees collected by Apple.

Apple competitors like Tile, Beeper, Basecamp, Meta, and Spotify have had discussions with antitrust investigators to voice their complaints about Apple's practices, as have big banks. According to Bloomberg, the DoJ plans to argue that Apple has used illegal practices to maintain a dominant market position, blocking competitors from hardware and software features on the iPhone.

Back in 2020, a United States House Judiciary Subcommittee investigation concluded that Apple, Meta, Google, and Amazon have the "kinds of monopolies" last seen in "the era of oil barons and railroad tycoons." The subcommittee recommended new antitrust law, but the DoJ opted to target Google before going after Apple because Apple was embroiled in an antitrust lawsuit with Epic Games.

Apple in iOS 17.4 had to make sweeping changes to the way the App Store operates in the European Union to comply with the Digital Markets Act, and it was also recently fined $2 billion in Europe for anti-competitive behavior against rival music services.

Article Link: Apple Facing Imminent U.S. Antitrust Lawsuit

 

[Apollo68]

Not surprised honestly. Just surprised this hasn't happened sooner.

 

[TestedLion]

Good time for a long view with an immediate short position on announcement. Pretty much 100% of typical AAPL is doomed thinking since 1999. GLTA. I see no reason why AAPL won't prevail.

 

[Mrkevinfinnerty]

This must just be the EU looking after their own businesses, right?

 

[fenderbass146]

• How the Apple Watch works better with iPhone than other smart watches do.
• How Apple locks competitors out of iMessage.
• How Apple blocks financial firms from offering tap-to-pay services similar to Apple Pay.
• Whether Apple favors its own apps and services over those provided by third-party developers.
• How Apple has blocked cloud gaming apps from the App Store.
• How Apple restricts the ‌iPhone‌'s location services from devices that compete with AirTag.
• How App Tracking Transparency impacted the collection of advertising data.
• In-app purchase fees collected by Apple.

Man, I hate this garbage. Sure as a consumer, it be nice to have some of this stuff more open, but this is Apples product. The government attempting to control how they operate it is insane. It's not like there isn't an alterative to iOS and the Apple Ecosystem. If I ever created an incredibly successful business like Apple I would want to be able to operate it how I please. This is nuts.

 

[AgentOSX]

I have no problems at all with Apple products working better with Apple products...

I just wish Siri did not suck. And it seems to be getting worse.

 

[DMG35]

How is it that the Apple Watch working better with the iPhone than other smartwatches is Apple's fault??

They build the software for both so shouldn't it work better?

 

[Apollo68]

• How the Apple Watch works better with iPhone than other smart watches do.
• How Apple locks competitors out of iMessage.
• How Apple blocks financial firms from offering tap-to-pay services similar to Apple Pay.
• Whether Apple favors its own apps and services over those provided by third-party developers.
• How Apple has blocked cloud gaming apps from the App Store.
• How Apple restricts the ‌iPhone‌'s location services from devices that compete with AirTag.
• How App Tracking Transparency impacted the collection of advertising data.
• In-app purchase fees collected by Apple.

Man, I hate this garbage. Sure as a consumer, it be nice to have some of this stuff more open, but this is Apples product. The government attempting to control how they operate it is insane. It's not like there isn't an alterative to iOS and the Apple Ecosystem. If I ever created an incredibly successful business like Apple I would want to be able to operate it how I please. This is nuts.

except governments are allowed to impose regulations and laws governing how a company can operate, and if they break the rules, then penalties can and should be imposed.

 

[WiiDSmoker]

Good. I hope Apple leaves the USA

 

[Mrkevinfinnerty]

Apple should pull out of the US market also the DOJ should build their own phone if they don't like it.

Yeah, dojPhone, nobody is building apps for that thing.

 

[Apollo68]

How is it that the Apple Watch working better with the iPhone than other smartwatches exactly Apple's fault??

They build the software for both so shouldn't it work better?

That is just one aspect the DOJ investigated. We won't know for sure what is going on until the DoJ decides to bring suit against Apple under the Sherman and Clayton acts. At the end of the day, the government is legally allowed to intervene to insure a healthy market.

 

[AndiG]

How is it that the Apple Watch working better with the iPhone than other smartwatches exactly Apple's fault??

They build the software for both so shouldn't it work better?

It works better since Apple blocks competitors from integrating their smartwatches into iOS the same way Apple does.

Hey Apple, if you don‘t change with times, times will change you. Waited for this to happen since many years. We will see a different Apple in the future.

 

[tridley68]

Stunts like this are what cause company's like Apple to leave and go to other countries that are happy to have jobs for people just saying .

 

[sunny5]

Apple is in chaos now. Since they opened up their ecosystem in EU while punished by anti-trust law, it's already a huge failure. Now if USA wish to punish Apple for anti trust, it's a worst news for Apple.

 

[LawJolla]

If you have the "if you don't like it, build your own" take, save it.

You don't understand anti trust or why it exists.

 

[Apollo68]

Apple is in chaos now. Since they opened up their ecosystem in EU while punished by anti-trust law, it's already a huge failure. Now if USA wish to punish Apple for anti trust, it's a worst news for Apple.

Uh what? This is not a coherent statement. If you don’t play by the rules, expect consequences.

 

[AppleMad98004]

I am betting the government will lose, they don't have a good record. They don't have a great track record and if Trump wins they next DOJ can just drop the suit, so it is political too.

Apple is not an "open" ecosystem. If Apple decided to ban all third party apps from their tech they could legally. (obviously not happening)

If they win why not suits against Ford for not allowing GM engines to be put in their cars if GM and customers want that etc....

 

[Apollo68]

If you have the "if you don't like it, build your own" take, save it.

You don't understand anti trust or why it exists.

Lawyer?

 

[tridley68]

Good. I hope Apple leaves the USA

With stunts like this they just might .

 

[Apollo68]

I am betting the government will lose, they don't have a good record. They don't have a great track record and if Trump wins they next DOJ can just drop the suit, so it is political too.

Apple is not an "open" ecosystem. If Apple decided to ban all third party apps from their tech they could legally. (obviously not happening)

If they win why not suits against Ford for not allowing GM engines to be put in their cars if GM and customers want that etc...

except you can put a GM engine in a ford car. Ever heard of an LS swap?

 

[AppliedMicro]

Did anyone mention how Apple should really pull out from the U.S. yet?

 

[CarAnalogy]

​

• How the Apple Watch works better with iPhone than other smart watches do.

This one I think they need to leave alone, it's part of the ecosystem, deal with it.

• How Apple locks competitors out of iMessage.

GTFO on this one too. Again, ecosystem. RCS is coming, chill.

• How Apple blocks financial firms from offering tap-to-pay services similar to Apple Pay.

This one yes, get 'em.

• Whether Apple favors its own apps and services over those provided by third-party developers.

They so very obviously do. Just make them unbundle them and put them in the App Store. Give real options for defaults. Easily solved. Get 'em.

• How Apple has blocked cloud gaming apps from the App Store.

This one too but hopefully will be moot before it goes to court

• How Apple restricts the ‌iPhone‌'s location services from devices that compete with AirTag.

Leave this one alone

• How App Tracking Transparency impacted the collection of advertising data.

Yeah, I hope it did! Good! Encourage Apple to do more!

• In-app purchase fees collected by Apple.

This one we have covered extensively in EU. Hopefully US comes up with a better approach.

 

[talcssar]

except governments are allowed to impose regulations and laws governing how a company can operate, and if they break the rules, then penalties can and should be imposed.

why should the government tell a company how to operate?

why does the government know better than the people purchasing the product(s)? if people don't like it, they can vote with their wallets.. as they do with LITERALLY every other company.

don't like something? don't buy it.

 

[Damian83]

I have no problems at all with Apple products working better with Apple products...

I just wish Siri did not suck. And it seems to be getting worse.

i have an iphone 5s that i use sometimes as hotspot.. i connect it to my main iphone 8 and to an old crappy android... android always connects automatically and keeps connected. iphone 8 needs to be connected manually everytime, i have to disable hotspot in i5 and wi-fi in i8, then enable both togheter, and finally it will works...however it disconnects VERY often and i have to enter i8 iphone wi-fi settings and select the 5s again...meanwhile the android (samsung) its still connected....🙄🙄🙄🙄

anyway, its not about an apple product working better with another apple product. the apple ecosystem combos (how i like to call it) are well known. here's we are talking on how a chinese smartwatch works better on android than how it works on iphone... maybe apple adds artificial bugs to non-apple devices to keep them on the same level of apple devices 😂😂😂😂

 

[Apollo68]

why should the government tell a company how to operate?

why does the government know better than the people purchasing the product(s)? if people don't like it, they can vote with their wallets.. as they do with LITERALLY every other company.

don't like something? don't buy it.

Because it is within the national interest to ensure a healthy marketplace, which means ensuring competition exists. This isn't a new concept. The government has been going after monopolies since the 1890s in case you weren't aware.