Report: DOJ Prepares to File Antitrust Lawsuit Against Apple

According to recent reports, the U.S. Department of Justice is in the early stages of drafting an antitrust lawsuit against Apple.

According to Politico, the U.S. Department of Justice is in the early stages of drafting an antitrust lawsuit against Apple. The report suggests that a potential lawsuit could arrive by the end of the year but also stresses that a final decision over whether or not to sue the company has yet to be made.

Apple’s Tim Cook (Noah Berger/AFP)

(Drew Angerer /Getty)

TechCrunch notes that in 2019, a deal was made between U.S. regulators that allowed the Justice Department to launch investigations of Apple and Google while the Federal Trade Commission would focus on other Big Tech investigations including Amazon and Facebook.

The DOJ has reportedly been investigating whether Apple abused its market power to dominate smaller tech companies, including hardware and software makers. Apple’s control over its App Store has long angered developers who wish to sell their apps directly to consumers without apple taking a 30 percent cut of all transactions. This issue became the subject of Fortnite developer Epic Games’ lawsuit against Apple which is currently under appeal.

The DOJ began reaching out to developers as early as 2020 in its examination of Apple’s business practices. The initial discussions included the makers of a parental control app that was pulled from the App Store for not complying with Apple’s rules. One developer said that their app was pulled from the store for six months, causing it to lose half its business.

The Bluetooth tracking device maker Tile has also accused Apple of engaging in unfair competition with the introduction of Apple’s AirTag. The Apple tracking device launched with direct access to the iPhone’s ultra-wideband technology for precision finding capabilities and integration into Apple’s “Find My” app. Tile argued that it shouldn’t have to sacrifice its direct relationship with its customers through its own app in order to compete with Apple’s hardware by becoming just another “Find My” partner. Tile further claimed that Apple’s decision to enter the market would all it to easily dominate due to its first-party advantage and ecosystem power.

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