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Apple files motion to dismiss DoJ antitrust case, defends iPhone ecosystem

The lawsuit accuses Apple of illegally monopolising the US smartphone market through its closed ecosystem approach

Apple lawsuit
The US accused the company is making its products worse for consumers to block competitors. Image: Shutterstock

Apple has petitioned a federal judge to dismiss the antitrust lawsuit filed against it by the US Department of Justice (DoJ) and 16 state and district attorneys general.

The tech giant has argued that the government’s case would effectively force a “judicial redesign” of the iPhone, which it describes as “one of the most innovative and consumer-friendly products ever made,” according to reports.

The lawsuit, filed in March, accuses Apple of illegally monopolising the US smartphone market through its closed ecosystem approach. The DOJ’s complaint highlighted several practices it deemed anticompetitive, including alleged suppression of message quality between iPhones and Android devices, and restrictions on third-party developers creating competing digital wallets with tap-to-pay functionality for iPhones.

In its defense, Apple vehemently rejects the DOJ’s premise, calling it “outlandish” to suggest that the iPhone’s success stems from intentionally degrading the product to block competition. The company asserts that antitrust law protects its right to design and control its own product, rather than being forced to cater to third-party developers.

Tech titan’s filing outlines five key arguments for dismissal:

  1. The company is not obligated to work with third-party developers, and declining to do so does not constitute exclusionary conduct.
  2. The DOJ fails to adequately link Apple’s approach to various apps and features with consumer smartphone purchasing decisions.
  3. Apple’s market share is insufficient to classify it as a monopolist.
  4. The government has not sufficiently demonstrated Apple’s intent in its attempted monopolisation claim.
  5. The DOJ’s case is overly broad, encompassing numerous Apple products and services without sufficient focus.

The tech giant characterises the third-party developers mentioned in the complaint not as small startups, but as “well-capitalised social media companies, big banks, and global gaming developers” with their own competitive interests. Apple maintains that it has provided “exceptionally broad” access to its platform while implementing reasonable limitations to protect consumers.

Silicon Valley titan warns that if the government prevails, it would “harm innovation and risk depriving consumers of the private, safe, and secure experience” that distinguishes the iPhone from its competitors. The company has requested oral arguments to debate its motion for dismissal.

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