The United States Department of Justice (DOJ) is gearing up to file a lawsuit against Apple, the world's second most valuable technology company, accusing it of violating antitrust laws by limiting rival companies' access to iPhone's hardware and software capabilities. The impending lawsuit, expected to be filed in federal court, follows other competition-based legal actions against Big Tech companies like Alphabet, Amazon, Meta, Apple, and Microsoft.
While the DOJ has already sued Google for monopolistic practices, and the Federal Trade Commission (FTC) has pursued antitrust cases against Meta and Amazon, this would not be the first time the Department has taken legal action against Apple for competitive violations. Over the past 14 years, the DOJ has sued Apple twice for competition infringements. However, this third lawsuit uniquely accuses Apple of illegally maintaining its dominant position.
The specifics of the charges are yet to be disclosed, but companies like smart tracking device maker Tile have long complained that Apple restricts the ways their products can work with iPhone sensors. Notably, Apple launched its AirTag, a small tracking device for items like car keys, several years after Tile began selling a similar product. The case also touches on Apple Pay; despite iPhones having NFC technology for contactless payments, Apple mandates banks wanting chip access to use its Apple Pay service. Moreover, companies like Meta, Microsoft, X, and Match Group have reported to the court that Apple is not complying with a court order regulating payments within the App Store. These tech giants claim that Apple is clearly violating a September 2021 preliminary injunction by making it harder for consumers to be directed to cheaper payment methods for digital content.