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US Sues Apple

The United States Department of Justice and 16 attorneys general sued Apple Inc.

US Sues Apple

The mentioned tech giant is accused of involvement in violation of US antitrust laws. The Justice Department and attorneys general said that the company is blocking competitors from accessing hardware and software features on its popular devices. A suit of the relevant content was filed in the federal court of New Jersey on Thursday, March 21.

The administration of the current President of the United States Joe Biden has made the settlement of competition issues one of the main elements of its economic policy concept. In the context of the relevant landmarks, Silicon Valley turned out to be in the zone of increased attention.

The lawsuit, filed in federal court in New Jersey, is the culmination of a five-year probe into Apple’s activities. This company is the second most valuable technology giant in the world.

It is worth noting that the European Commission is currently planning to announce a review of compliance with the Digital Markets Act by Apple and Google.

Amid the news of the lawsuit, the iPhone developer’s share price fell by 3.8%. This decrease was the largest since February 2.

The lawsuit, filed in federal court in New Jersey, alleges that the tech giant used its dominant position in the context of distributing apps on the iPhone. It is separately noted that the mentioned actions of the company prevented the introduction of innovative solutions that could make it easier for consumers to switch mobile phones. The tech giant has refused to support cross-platform messaging apps. Moreover, the company has limited the use of third-party digital wallets and smartwatches developed by other firms. Besides, the tech giant has blocked mobile cloud streaming services.

The lawsuit seeking changes to Apple’s practices notes that this case is about freeing smartphone markets from the technology giant’s anti-competitive and exclusionary behavior to lower smartphone prices, reduce fees for developers, and preserve innovation for the future.

US Attorney General Merrick Garland said during a press conference that the company had consolidated its monopoly power by degrading other products rather than improving its own.

Apple claims that the lawsuit is wrong in terms of facts and the law. The company also stated that this probe sets a dangerous precedent, giving the United States government the right to apply harsh measures when developing technologies for people. Apple has declared its intention to vigorously defend against it.

The company announced the constant introduction of innovations within its activities so that people love technology. Separately, it was noted that Apple develops products that work seamlessly together, protect the security and privacy of consumers, and create a magical experience for users. The tech giant claims that the lawsuit threatens what the company is and the principles that distinguish the firm’s products in highly competitive markets.

The probe in the United States is underway even though the company has stated its readiness to provide European users with the ability to download iPhone apps from the Internet, allow developers to offer discounts outside the App Store, and allow third-party marketplaces to sell digital products.

As we have reported earlier, Apple Reportedly Explores Partnership With Google for Gemini-Powered Feature on iPhones.

Serhii Mikhailov

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Serhii’s track record of study and work spans six years at the Faculty of Philology and eight years in the media, during which he has developed a deep understanding of various aspects of the industry and honed his writing skills; his areas of expertise include fintech, payments, cryptocurrency, and financial services, and he is constantly keeping a close eye on the latest developments and innovations in these fields, as he believes that they will have a significant impact on the future direction of the economy as a whole.