Does Apple run its iPhone business like a monopoly? U.S. regulators think so | TechCrunch Minute

The US Department of Justice and 16 States are suing Apple over alleged Monopolistic smartphone practices this Is a simply enormous deal let's talk About it now there has been a push Around the world to regulate technology Companies more closely you've seen this In headlines about regulatory news from The EU regarding platforms and Competition and social media and AI over In India the US also has a full plate For example bringing suits against Google for alleged anti-competitive Activities in the search and advertising Markets to pick an example and now we Have this new Apple suit to digest so What does the government allege well the Doj says that and I quote Apple reduces Competition in the markets for Performance smartphones and smartphones Generally by again quoting delaying Degrading or outright blocking Technologies that would increase Competition in the smartphone markets by Decreasing barriers to switching to Another smartphone among other things Basically the way things are today when You switch you have to replace a lot of Your existing apps move data over to a New platform and so on amongst the doj's Arguments is that apple is purposely Making switching more difficult than it Has to be and apple this is going to Absolutely shock you doesn't agree in a

Statement provided to Tech runch the Company said that it builds quote Products that work seamlessly together Protect people's privacy and security And create a magical experience for its Users end quote and that the new new Suit it says will quote threaten who we Are and the principles that set Apple's Products apart in fiercely competitive Markets that last bit could be a Sticking point for the suit as Tech Runes Matt rosof wrote there is Precedent for the type of suit that the Doj is bringing against Apple namely the Now historical Microsoft suit against That company's business practices Regarding windows and its then dominant Web browser how long ago was that suit Well Microsoft had the then dominant web Browser however there's a wrinkle that We really need to talk about Microsoft Had more market share at the time in PCS Than Apple has in smartphones today at One point back in 2000 a report from Goldman Sachs said that Microsoft's OS Was on about 97% of all Computing Devices the iPhone in contrast only has About 60% market share in the US and a Lot less worldwide some wellknown tech Voices have been critical of the suit Including former Microsoft exec Steven Sinowski who today works as a board Partner over at entri and horowits he Called the suit the worst antitrust case

Ever brought and that's a quote Apple Has been in the hot seat regarding its App Store policies with both developers And Regulators lately so opinion inside Of the tech industry won't be entirely Uniform but it does seem that the doj Will have an uphill battle for its case Given how it is framed now apart from The massive news of the suit itself it's Worth keeping in mind that big Tech as It's often called has detractors today From across the political Spectrum Meaning that it should not be a huge Surprise that the doj's investigation in Into Apple began back in 2019 and there Was a very different Administration in The White House at that time this one is Going to take a long time to work its Way through the system do not expect a Quick resolution all the same the bigger A company or industry gets the more Scrutiny it comes under and there are no More valuable companies in the world Today period than American Tech Giants So this is not the last time that you And I are going to see the government Cry foul