Apple Rebuts Antitrust Claims, Arguing 65% Market Share Doesn’t Equal Monopoly

August 02, 2024 – Apple Inc. has filed a motion with the U.S. Department of Justice on August 1st, requesting the dismissal of an antitrust lawsuit brought against the company.

In its motion to dismiss, Apple contends that the U.S. authorities have not presented sufficient evidence to prove anti-competitive behavior or that the company has harmed consumer interests through such actions. Furthermore, Apple asserts that it has not been established as a monopolist in the U.S. smartphone market.

According to the court documents, Apple highlights that iMessage is its proprietary and innovative messaging service, designed to differentiate the iPhone from its competitors.

The government’s position, as understood by Apple, suggests that companies like Apple should bear antitrust liability if they do not invest resources, time, and cost in developing proprietary products and services for competing devices.

Citing contents from its motion, Apple argues that the Justice Department’s complaint fails to explain how the company’s alleged restrictions on “super apps,” cloud streaming applications, digital wallets, messaging apps, and competing smartwatches have harmed consumers or influenced their choices in selecting a smartphone.

The government alleges that Apple’s policies regarding “super apps,” cloud gaming, smartwatches, and other areas hinder customers from switching to Google or Samsung. However, Apple finds this claim hard to believe.

On the contrary, Apple suggests a more convincing argument: customers dissatisfied with Apple’s reasonable third-party access policies can and do switch to competing devices that do not have such restrictions.

Regarding its market share in the U.S. smartphone market, Apple emphasizes that it is not sufficient to establish a monopolistic position. The Justice Department has drawn comparisons between Apple and Microsoft, but it’s important to note that Microsoft held a 95% market share in operating systems when it faced antitrust litigation, whereas Apple’s share is closer to 65%.

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