A federal judge ruled on June 30, 2025, that Apple must face a lawsuit filed by the US Department of Justice (DOJ) accusing the company of unlawfully dominating the US smartphone market.

US District Judge Julien Neals in Newark, New Jersey, denied Apple’s motion to dismiss the case.

The lawsuit, initiated in March 2024, claims that Apple imposes restrictions and fees on app developers.

It alleges that these practices create technical barriers for third-party devices and services, such as smartwatches and digital wallets, which compete with Apple’s products.

The DOJ, alongside several states and Washington, DC, argues that these practices harm competition. It seeks to prevent Apple from continuing them.

Apple contends that its policies are necessary to protect innovation.

The company asserts that sharing technology with competitors could impede technological progress.

This lawsuit is part of a broader trend, as several major tech companies, including Meta, Amazon, and Alphabet, face similar antitrust allegations.

🔗 Source: Reuters

🧠 Food for thought

1️⃣ Historical tech antitrust cases reshaped industries, creating space for new innovators

The Apple case follows a pattern established by landmark antitrust actions that fundamentally transformed tech markets and enabled innovation.

When AT&T was broken up in 1982, it unleashed competition in telecommunications that had been stifled by monopoly control, creating opportunities for new entrants and technologies 1.

Similarly, the 1998 Microsoft antitrust case, focused on its bundling of Internet Explorer with Windows, prevented Microsoft from blocking competitors, creating space for companies like Google to emerge and thrive 2.

These historical cases demonstrate that antitrust enforcement often leads to increased innovation rather than diminishing it, contrary to monopolists’ typical claims.

2️⃣ Ecosystem lock-in represents the evolution of antitrust concerns in the digital age