Apple May Face Lawsuit From US DOJ Over iPhone Antitrust Violations: What We Know So Far

The US Department of Justice (DOJ) is reportedly gearing up to file a lawsuit against Apple as soon as Thursday, alleging violations of antitrust laws by impeding competitors’ access to key iPhone features, Bloomberg News reported.

This anticipated legal action against Apple underscores a bipartisan consensus on the necessity to rein in Big Tech’s dominance. Notably, during the Trump administration, both the Justice Department and the Federal Trade Commission (FTC) initiated investigations into major tech players including Google, Facebook, Amazon, and Apple.

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Manufacturers Against Apple

While specifics of the allegations remain undisclosed, numerous hardware manufacturers, such as smart-tracker developer Tile, have persistently voiced grievances over Apple’s perceived constraints on integrating their products with iPhone functionalities. Notably, Tile had been offering a similar product to Apple’s AirTags, which only hit the market years later.

Moreover, Apple’s limitations on third-party access to crucial iPhone components, such as the contactless payment chip, have been a subject of contention. The exclusive reliance on Apple’s own payment service, Apple Pay, has drawn criticism from industry players.

Apple’s defence has often revolved around privacy and security concerns, justifying its control over user data and hardware accessibility. However, critics argue that such measures stifle competition and innovation.

The tech behemoth has also faced backlash over its iMessage platform, accessible solely on Apple devices, allegedly disadvantaging communication with Android users by compressing media files. In response, Apple recently announced support for RCS, a messaging protocol promoted by Google for enhanced cross-platform communication.

Prior to this development, Bloomberg News reported a meeting between Apple representatives and Justice Department officials in an attempt to dissuade the agency from pursuing antitrust litigation against the company.

If the DOJ proceeds with the lawsuit, it would mark the third antitrust case against Apple within the past 14 years, with a notable distinction of targeting the alleged illegal maintenance of its market dominance, Bloomberg added.

Furthermore, Apple is embroiled in another legal battle with Epic Games, the creator of “Fortnite,” over antitrust concerns related to its App Store policies.

Big Tech Against Apple

In a related development, Meta Platforms, Microsoft, Elon Musk’s X (formerly Twitter), and Match Group have aligned with Epic Games, accusing Apple of flouting a court-mandated injunction regarding App Store payments. These tech giants assert that Apple’s actions undermine efforts to direct consumers to cheaper payment alternatives, thus violating the terms of the September 2021 injunction.

The DOJ’s aggressive stance against tech monopolies has been evident in recent years, with lawsuits filed against Google and Facebook under both Republican and Democratic administrations, highlighting bipartisan efforts to address concerns regarding market dominance and anti-competitive behavior.