US DOJ Accuses Apple of Monopolistic Smartphone Practices
The United States Department of Justice, accompanied by 16 state attorneys general, has filed a lawsuit accusing Apple of monopolistic practices in the smartphone sector. The lawsuit cites Apple's ecosystem play, particularly the blue and green bubble colors used by Messages to distinguish iOS from Android users, as evidence of anticompetitive practices. It focuses on the company's share of the premium smartphone sector, accusing it of increasing friction for those looking to switch to the competition. Additionally, the authorities are pointing at the suppression of various categories, such as messaging apps and digital wallets, as evidence of Apple's antitrust behavior. The complaint accuses Apple of 'stifling' the competitions and reinforces the moat around its smartphone monopoly. This suit draws parallels to the DOJ's antitrust suit against Microsoft in the 1990s, and also highlights Apple's ongoing legal tussle with Epic Games. Apple has swiftly countered the lawsuit, arguing that it would inhibit its ability to compete in the crowded smartphone market. The suit follows a good bit of international regulatory scrutiny and draws support from a coalition, including Epic, Spotify, Deezer, Match Group, and others. The complaint details Apple's long history of illegal conduct and abusive behavior, and emphasizes the need for bipartisan legislation to create a free and open mobile app marketplace. The Department of Justice's lawsuit against Apple signifies a strong stand against the company's stranglehold over the mobile app ecosystem, prompting the need for further action to end anticompetitive practices of all mobile app gatekeepers. It remains imperative for Congress to pass legislation like the Open App Markets Act.