The New York Times, reported today that the United States Department of Justice has reached “late stages” of its “sweeping” monopoly investigation of Apple, which could be filed by the Justice Department sometime during the first half of 2024. The investigation is centering on Apple’s “stickiness” or “walled garden strategy.”
From the New York Times:
Specifically, investigators have examined how the Apple Watch works better with the iPhone than with other brands, as well as how Apple locks competitors out of its iMessage service. They have also scrutinized Apple’s payments system for the iPhone, which blocks other financial firms from offering similar services, these people said.
[…]
The Apple suit would likely be even more expansive than previous challenges to the company, attacking its powerful business model that draws together the iPhone with devices like the Apple Watch and services like Apple Pay to attract and keep consumers loyal to its products.
Apple has long defended itself against such antitrust claims, saying it does not hold a monopoly in any of the markets it serves. However, the investigation reportedly includes new issues such as AirTags’ close integration with the iPhone, Apple not allowing cloud gaming services, and how iMessage is limited to Apple devices.
The last time the Justice Department sued Apple was in 2012 when it accused the Cupertino company of conspiring with book publishers to maintain an elevated price of digital books. Apple lost the case and paid a $450 million settlement.
Read the full article here.