Department of Justice Preparing Antitrust Case Against Apple
Overview
The Department of Justice (DOJ) is reportedly gearing up to file an antitrust case against Apple as early as March, pending approval from senior officials within the DOJ’s antitrust division, according to Bloomberg.
Case Details
DOJ attorneys have had three meetings with Apple’s legal team to discuss the potential suit. The case would primarily focus on the software and hardware limitations on iPhones and iPads that hinder competition from rival services.
Related Actions
The DOJ’s Antitrust division, led by Assistant Attorney General Jonathan Kanter, and the Federal Trade Commission (FTC), under Chair Lina Khan, have already taken action against major tech companies. Both agencies have pursued cases against Google’s parent company Alphabet, while the FTC has also targeted Amazon and Meta.
Filing the Lawsuit
The DOJ attorneys aim to file the lawsuit within the first quarter of the year, bringing an end to an investigation that began in 2019.
Prior Scrutiny on Apple
Apple has faced scrutiny and legal challenges over allegations of anticompetitive practices. For instance, in 2019, music streaming platform Spotify filed a complaint with the European Union, accusing Apple’s mandatory in-app payments system of violating antitrust laws.
The company has also been involved in civil litigation brought by Epic Games, the maker of Fortnite, which centered around whether Apple’s App Store rules violated federal antitrust statutes. The Supreme Court recently declined to hear appeals from both parties, resulting in a mixed victory for Apple and Epic.
Recent Developments
In 2021, a federal judge determined that Apple had breached a California law but had not violated federal antitrust statutes. The Ninth Circuit Court of Appeals largely upheld this decision, leading to separate appeals by both Apple and Epic. However, following the Supreme Court’s decision to reject the appeals, Apple modified its rules to allow app developers to direct customers to non-Apple billing solutions.
Comments from Parties Involved
The DOJ declined to provide a comment on the matter, and ‘s request for comment from Apple remains unanswered.