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U.S. sues Apple, accusing it of maintaining an iPhone monopoly

nytimes.com

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Re: U.S. sues Apple, accusing it of maintaining an iPhone monopoly

#31

How do you think Apple will differentiate their case from United States v. Microsoft Corp. , where Microsoft was implicated for almost identical monopoly misconduct? The complaint literally says verbatim, "But after launching the iPhone, Apple began stifling the development of cross-platform technologies on the iPhone, just as Microsoft tried to stifle cross-platform technologies on Windows."

yes safari is preinstalled but on an iphone you aren't allowed to install another browser (in this jurisdiction) so there's technically no precedent yet

Re: U.S. sues Apple, accusing it of maintaining an iPhone monopoly

#33

How do you think Apple will differentiate their case from United States v. Microsoft Corp. , where Microsoft was implicated for almost identical monopoly misconduct? The complaint literally says verbatim, "But after launching the iPhone, Apple began stifling the development of cross-platform technologies on the iPhone, just as Microsoft tried to stifle cross-platform technologies on Windows."

On the browser front, it’s easy. iPhones have batteries so battery life is a concern. That’s why Apple treats them differently than Macintosh computers, which you can choose your own default browser engine for.

That's a reason someone might prefer Apple's first-party browser, sure. How does it justify banning third-party browser engines though?

Are we ruling out the possibility that competitive browsers could offer better battery performance, too?

Re: U.S. sues Apple, accusing it of maintaining an iPhone monopoly

#34

Perhaps a hardware engineer can help me out here, but I don't think Apple makes an unreasonable margin on the iPhone. Overall they make 26% [0]. Really quite reasonable considering highly-developed proprietary software is bundled with the device They make a lot of money because they sell * a lot * of iPhones. [0] https://valustox.com/AAPL

And then, they make much much better margins on the App Store.

Re: U.S. sues Apple, accusing it of maintaining an iPhone monopoly

#35

> The Justice Department, which began its investigation into Apple in 2019, chose to build a broader and more ambitious case than any other regulator has brought against the company. As I was reading the specific charges detailed in the article, I was thinking this case seems like a stretch and will be difficult to prove. Apple will argue that security and/or performance reasons drove their decisions related to brows…

I'm (legitimately) curious could the fact that (almost) all of that is now open in the EU due to their laws but not the US. Would that hurt their argument since they blocked off the change from the US. Or would that all be solved by a statement along the lines of "Well, EU iPhones are now less secure."

Re: U.S. sues Apple, accusing it of maintaining an iPhone monopoly

#37
post #6

IANAL but it's baffling to me that this one took so long. This has been the clearest-cut abuse of monopoly in tech for a long time. Why did they waste time trying to convince judges that "free" could be monopoly pricing, when this was in broad daylight?

Isn't part of the problem how US anti-monopoly law is worded requiring proof of "consumer harm" which is normally measured in increased costs? In the case of Apple's monopoly, its not clear how you would measure that let alone prove it to a court.

Consumer harm is pretty easy to argue, Apple doesn't tax macos programs but it does tax ios programs. That argument results in billions of dollars of consumer harm. There are many arguments against that view as well, but I just wanted to show that it is easy to argue for consumer harm.

Re: U.S. sues Apple, accusing it of maintaining an iPhone monopoly

#38

How do you think Apple will differentiate their case from United States v. Microsoft Corp. , where Microsoft was implicated for almost identical monopoly misconduct? The complaint literally says verbatim, "But after launching the iPhone, Apple began stifling the development of cross-platform technologies on the iPhone, just as Microsoft tried to stifle cross-platform technologies on Windows."

On the browser front, it’s easy. iPhones have batteries so battery life is a concern. That’s why Apple treats them differently than Macintosh computers, which you can choose your own default browser engine for.

Why do you think that apple should get to make this choice for their users?

If they are so concerned with not letting their users drain the battery if they wish, why do they allow games on their store?

Re: U.S. sues Apple, accusing it of maintaining an iPhone monopoly

#39
post #11

IANAL but it's baffling to me that this one took so long. This has been the clearest-cut abuse of monopoly in tech for a long time. Why did they waste time trying to convince judges that "free" could be monopoly pricing, when this was in broad daylight?

How is this even a monopoly? That's like saying "Walmart has a monopoly on selling products at its stores." There are thousands of competing phones with their own software and app stores.

There is one competing phone platform with a store that has conveniently decided on identical fees. It's a duopoly. But also one where you can only shop with one of them.

The comparison is this: Walmart and Target are the only two stores that exist. They've also basically agreed to set the same prices on everything. And once you buy from Target once, you must buy everything else from Target too, and if you want to switch to Walmart, you have to throw out everything you bought at Target.

Re: U.S. sues Apple, accusing it of maintaining an iPhone monopoly

#40
post #24

Finally. It was about time that this would happen. Google got one anti-trust lawsuit, Meta should get another one (by owning too many social networks with billions of users each) and after the failed anti-trust lawsuit that Epic tried to sue Apple under, this time the DOJ is finally going after Apple. Good. I'm really looking forward to the United States v. Apple Inc. anti-trust lawsuit that will actually make some c…

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