US accuses Apple of illegally using its monopoly in smartphone market

‘It would set a dangerous precendent, empowering government to take a hand in designing technology’

THE US government has accused Apple of illegally abusing a monopoly over the smartphone market in a landmark legal challenge to the iphone maker.

Yesterday the Department of Justice, alongside 16 states, sued the tech giant claiming it prevents users from switching to cheaper rival Android phones by restricting apps that could challenge its power. It is the latest in a wave of landmark monopoly abuse cases from the US government seeking to rein in Big Tech, and its first against Apple.

Merrick Garland, the US attorney general, said: “We allege that Apple has maintained monopoly power in the smartphone market, not simply by staying ahead of the competition on the merits, but by violating federal antitrust law. If left unchallenged, Apple will only continue to strengthen its smartphone monopoly.”

Apple said the case risked the US government interfering in how technology is made, and vowed to challenge it.

A spokesman said: “If successful, [this lawsuit] would hinder our ability to create the kind of technology people expect from Apple – where hardware, software, and services intersect. It would also set a dangerous precedent, empowering government to take a heavy hand in designing technology.

“We believe this lawsuit is wrong on the facts and the law, and we will vigorously defend against it.” The US charges centre on claims Apple deliberately undermines software and accessories that would create a more even playing field between iphones and Android devices.

The US has also launched lawsuits against Google, Meta and Amazon in recent years.

Apple also faces scrutiny in Europe, where the EU will announce probes into Apple and Google under the Digital Markets Act, Bloomberg reported.