Apple has allegedly been monopolizing the smartphone market
Apple, one of the largest tech companies in the world, has been sued by the United States Department of Justice (DOJ). Since iPhones hold 60.77% of the market share in the U.S., the DOJ claimed that Apple has been illegally monopolizing the smartphone market. So, what exactly is the DOJ saying?
The Complaints Made by the DOJ
According to TLDR Business, in the complete lawsuit against Apple, there were five major issues against Apple. These five complaints were:
Super Apps
Cloud Streaming Services
Green Bubbles
Smart Watches
Digital Wallets
Super Apps
The lawsuit states that super apps can help to complete tasks within a single application. These “mini” programs can benefit users but not Apple. These super apps would reduce dependence on the iPhone. When you can do anything on one app, the iPhone, iOS and Apple’s App Store effectively become useless. This could also make users more willing to choose different smartphones since all smartphones can access the same interface, apps and content. According to one Apple manager, allowing super apps would cause iOS stickiness to go down. The DOJ argues that Apple has made it nearly impossible to access super apps. For instance, Apple blocked the developers’ ability to use in-app payment methods unless they directly use Apple’s in-app payment system.
Cloud Streaming Services
The lawsuit also indicates Apple has blocked cloud game streaming apps for years. According to TLDR Business, game streaming apps would allow you to play games over the cloud, which means you do not need a powerful device – you can play virtually on a powerful server. These apps can help customers access other apps on content without buying expensive hardware. Apple said that consumers would then be able to buy a [expletive] Android for $25 at a garage sale and be able to game using that device that works perfectly fine.
For instance, the iPhone 15 was promised hardware powerful enough to enable “next-level performance and mobile gaming.” But, consumers do not need powerful hardware to play games through the cloud. They would be willing to buy a cheaper phone than the iPhone. As a result, iPhone users must download cloud streaming software separately for each game, install the same app updates for every game and go to Apple’s App Store constantly.
Green Bubbles
Many people know what the green bubbles are. Messages sent from iPhones appear in blue bubbles while those from Android appear in green bubbles. Apple has not created a special messaging feature for Android since, according to Apple, will hurt the company more than help it. Within this context, the lawsuit claims Apple has purposefully downgraded quality, privacy and security for its users when they use third-party messaging apps.
Smart Watches
Apple watches are only compatible with iPhones, preventing iPhone users from choosing or switching to other phones. If a person buys an expensive Apple watch, switching to an Android phone would make the hundreds of dollars purchase for a watch useless. Additionally, people can use other third-party watches with their iPhones, but they do not work as well as when using an Apple watch. According to the lawsuit, Apple has intentionally prevented iPhone users from responding to notifications when using third-party smartwatches, hindered third-party smartwatches from maintaining a reliable connection with the iPhone and affected the performance of smartwatches that directly connect with a cellular network.
Digital Wallets
If you own an iPhone and pay with it, you will use Apple Pay. Apple does not allow other digital wallets. The lawsuit states that cross-platform digital wallets could offer an easier, more seamless and more secure way for iPhone users to switch to another smartphone. When transitioning from the iPhone, people can use and keep the same wallets, cards, IDs, payment histories, peer-to-peer payment contacts and other information.
Result?
It will take years for either Apple or the DOJ to win in this fight. If the DOJ wins with the lawsuit filed, iPhones may become less of what it currently is. Some Apple users may not receive the phone model they were expecting and end up with a less desirable phone.
Conclusion
Many people are and will be against this lawsuit. For example, fpt. believes that the lawsuit has many flaws in its arguments. Choosing which side to stick to is your decision. Has Apple illegally monopolized the smartphone market? That is a question you must ask yourself.
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