Apple has submitted its official response to the antitrust lawsuit the Justice Department filed against it last year, which accused the company of having smartphone monopoly and criticized its “walled garden” approach to business. It said that the lawsuit threatens what sets the iPhone apart in a fiercely competitive market, reduce consumer choice, as well as erode competition. In addition, Apple warned that it could set “a dangerous precedent” in allowing the government to “take a heavy hand in designing people’s technology.”
In its filing, as shared by 9to5Mac, Apple responded to every point made by the agency in its complaint. The DOJ said that “Apple stifles the success of ‘super apps,'” or apps that offer multiple services on one platform, but the company’s filing said that its “rules allow and support such apps.” A multitude of them are available on the App Store today, the company added. Apple also denied the department’s allegation that it blocks cloud streaming games and said that it allows game streaming over the web and in the App Store.
The DOJ’s allegation that it degrades third-party messaging apps is not true, the company also said, and they’re widely available on the iPhone. Apple denied that it limits the functionality of third-party smartwatches and said that they can “effectively pair with iPhone,” as well as “share data to and from the iPhone via a companion app.” Another allegation was that Apple withholds access to iPhone hardware that’s necessary for third-party digital wallets to be able to use its tap-to-pay technology. The company said it “developed and provides a mechanism that protects user security while enabling third-party developers to offer alternate payment applications.”
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“Apple is simply not a monopolist,” the company wrote in its filing. The DOJ, it said, measured its share in the smartphone market by revenue rather than unit sales. It also put smartphones and “performance smartphone” in separate categories, which “does not correspond to economic reality.” Apple accused the DOJ of narrowly focusing on Apple “without fairly considering the major manufacturers like Samsung and Google that [the company] contends with in the United States, not to mention the various lower-cost manufacturers — especially from China — that Apple confronts globally.”
As 9to5Mac notes, the lawsuit is now heading to discovery phase, where both sides will now have to gather evidence to support their case.
