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USA Files Case Against Apple For Monopolising Smartphone Market

USA Files Case Against Apple For Monopolising Smartphone Market

The US Department of Justice filed a lawsuit against Apple, accusing the tech giant of unlawfully maintaining a monopoly over its iPhone, which allegedly restricts competition and imposes excessive costs on consumers. The lawsuit, supported by multiple US states, claims that Apple's practices generate substantial revenue while hindering consumer choice and innovation.

This legal battle marks a significant clash between Apple, founded by Steve Jobs in 1976, and the US government, highlighting increased scrutiny of major tech companies like Amazon, Google, and Meta (formerly Facebook) under antitrust regulations.

The lawsuit alleges that Apple employs exclusionary tactics, setting stringent conditions for firms and developers to access its 136 million US iPhone users. These tactics purportedly compel consumers to remain within Apple's ecosystem and purchase its costly hardware.

Attorney General Merrick Garland emphasized that consumers should not suffer inflated prices due to antitrust violations, warning that Apple's alleged monopolistic practices could further strengthen its hold on the smartphone market.

Apple vehemently denied the lawsuit's validity, arguing that it misinterprets facts and legalities, pledging a robust defense. The company expressed concerns that a favorable ruling for the government could establish dangerous precedents, granting excessive government control over technology design.

The lawsuit targets Apple's control over app development, particularly hindering the emergence of Super Apps—a concept combining various services in one platform. This restriction allegedly limits consumer options and innovation.

Additionally, Apple's exclusive control over its payment technology and messaging apps, allegedly making interaction with Android users difficult, faces scrutiny. The lawsuit extends to Apple's dominance in smartwatch integration and its impact on other services like web browsers, entertainment, and automotive technologies.

Apple's extensive investment in services alongside hardware reflects its strategy to diversify revenue beyond iPhone sales, which have shown signs of slowing growth. Despite its substantial profits exceeding many countries' GDP, Apple faces mounting legal challenges globally over its market practices.

While Apple previously succeeded against Fortnite-maker Epic Games in a similar lawsuit, recent fines from the EU and ongoing legal battles underscore the growing regulatory scrutiny faced by tech giants worldwide.

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USA Files Case Against Apple For Monopolising Smartphone Market

USA Files Case Against Apple For Monopolising Smartphone Market

The US Department of Justice filed a lawsuit against Apple, accusing the tech giant of unlawfully maintaining a monopoly over its iPhone, which allegedly restricts competition and imposes excessive costs on consumers. The lawsuit, supported by multiple US states, claims that Apple's practices generate substantial revenue while hindering consumer choice and innovation.

This legal battle marks a significant clash between Apple, founded by Steve Jobs in 1976, and the US government, highlighting increased scrutiny of major tech companies like Amazon, Google, and Meta (formerly Facebook) under antitrust regulations.

The lawsuit alleges that Apple employs exclusionary tactics, setting stringent conditions for firms and developers to access its 136 million US iPhone users. These tactics purportedly compel consumers to remain within Apple's ecosystem and purchase its costly hardware.

Attorney General Merrick Garland emphasized that consumers should not suffer inflated prices due to antitrust violations, warning that Apple's alleged monopolistic practices could further strengthen its hold on the smartphone market.

Apple vehemently denied the lawsuit's validity, arguing that it misinterprets facts and legalities, pledging a robust defense. The company expressed concerns that a favorable ruling for the government could establish dangerous precedents, granting excessive government control over technology design.

The lawsuit targets Apple's control over app development, particularly hindering the emergence of Super Apps—a concept combining various services in one platform. This restriction allegedly limits consumer options and innovation.

Additionally, Apple's exclusive control over its payment technology and messaging apps, allegedly making interaction with Android users difficult, faces scrutiny. The lawsuit extends to Apple's dominance in smartwatch integration and its impact on other services like web browsers, entertainment, and automotive technologies.

Apple's extensive investment in services alongside hardware reflects its strategy to diversify revenue beyond iPhone sales, which have shown signs of slowing growth. Despite its substantial profits exceeding many countries' GDP, Apple faces mounting legal challenges globally over its market practices.

While Apple previously succeeded against Fortnite-maker Epic Games in a similar lawsuit, recent fines from the EU and ongoing legal battles underscore the growing regulatory scrutiny faced by tech giants worldwide.

 
 
 
 
 

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