A Major Lawsuit Against Apple for Alleged Monopolistic Practices 

The US government has initiated major Apple lawsuits, alleging that the tech giant has taken control over the smartphone market and hindered competition. 

The lawsuit claims Apple manipulated its dominance of the app store to maintain a grip on customers and developers. It has also engaged in illegal activities aiming to undermine competing apps and reduce the appeal of rival products. 

However, and in response, the U.S. tech company has strongly rejected these claims, and has committed to aggressively defending itself against this legal action. 

This lawsuit, which was filed in federal court in New Jersey, along with the attorneys general of 16 states, is considered one of the toughest challenges that Apple has gone through regarding its practices to date. 

Furthermore, the complaint asserted that the iPhone maker applied several tactics, including restrictive app review processes and limitations on hardware and software access, for it to be able to boost its profits, but at the expense of customers and innovation. 

It also accuses Apple of obstructing access to its tap-to-pay technology and fostering a social stigma around products that don’t belong to the company, aiming at preserving its position as a dominant in the field. 

To defend its practices, the tech giant stated that customers are loyal because they are satisfied with the products. The company believes that the legal action is unfounded, thus it is planning to ask the court to dismiss it. 

This is considered the third legal challenge Apple has encountered from the US government since 2009, while it is the first antitrust action taken under the Administration of President Joe Biden. In the event of its success, the case could lead to significant changes related to the company’s contracts and practices, potentially concluding its breakup. 

Once the announcement related to the lawsuit was made, Apple shares dropped to 4%, and any changes resulting from the case would likely take years to implement as it progresses through the courts. 

Inside Telecom provides you with an extensive list of content covering all aspects of the tech industry. Keep an eye on our Tech sections to stay informed and up-to-date with our daily articles.