Current:Home > NewsWhat the DOJ lawsuit against Apple could mean for consumers -Wealth Momentum Network
What the DOJ lawsuit against Apple could mean for consumers
View
Date:2025-04-17 06:00:46
The US Justice Department and more than a dozen states filed an antitrust lawsuit against Apple on Thursday, accusing the company of monopolizing the smartphone market.
The lawsuit alleges Apple kept prices and fees high and restricted developers of apps, products and services used on the iPhone that could otherwise lower costs.
Apple issued a statement saying the lawsuit threatens the company's ability to provide innovative technology and could set a "dangerous precedent." A spokesman for Apple said in the statement that the lawsuit was "wrong on the facts and the law" and that Apple would "vigorously defend against it."
More:Justice Department sues Apple for allegedly monopolizing the smartphone market
But what does all of this mean for consumers? Here's a look at Apple's response to new regulations abroad, what changed and similar recent lawsuits.
Apple made changes in EU
Apple recently made sweeping changes to its operating systems in the European Union, making them more open to comply with EU regulations and the Digital Markets Act.
In response to the DMA, Apple said its updates and changes would offer consumers more flexibility, alternative app marketplaces and give developers the opportunity to link out for users to complete purchases of digital goods or services.
The changes would also make room for alternative browser engines and contactless payments, meaning it would allow users to select a third-party contactless payment app — or an alternative app marketplace — as their default.
Apple introduced those changes with the iOS 17.4 update in the EU.
What it could mean for iPhone users
Here's what iPhone users could see if Apple loses the lawsuit or makes changes similar to those made in the EU:
- App Store flexibility may mean better user experience and service, with more developers submitting apps
- More options for using third-party smart watches
- More contactless payment options
- Expanded browser options
Similar scrutiny
Both Apple and Google have been scrutinized and faced lawsuits over how they treat developers.
Google lost an antitrust lawsuit brought by Epic Games, best known as the maker of Fortnite, over barriers to the Android app store. Apple also faced a similar suit in 2020 brought by Epic, in which a federal judge ruled Apple had to let developers use payment options outside of Apple’s app store.
More:Facebook owner, Microsoft, X and Match side with Epic Games in Apple lawsuit
Sumit Sharma, senior researcher for tech competition at Consumer Reports, released a statement praising the lawsuit.
"Apple has been an outlier in its willingness to make changes to products and services to the benefit of consumers and developers," Sharma said. "We’ve seen Apple limit access to hardware and software for competing services and products like smartwatches and contactless payments, and that’s harmed innovation and competition."
Sharma also wrote an Opinion column for USA TODAY in 2021 about Apple, Google and the need for fair rules.
veryGood! (422)
Related
- US appeals court rejects Nasdaq’s diversity rules for company boards
- Nearly $50,000 a week for a cancer drug? A man worries about bankrupting his family
- Billy Baldwin says Gilgo Beach murders suspect was his high school classmate: Mind-boggling
- Gabby Douglas, 3-time Olympic gold medalist, announces gymnastics comeback: Let's do this
- Alex Murdaugh’s murder appeal cites biased clerk and prejudicial evidence
- A Chinese Chemical Company Captures and Reuses 6,000 Tons of a Super-Polluting Greenhouse Gas
- What Germany Can Teach the US About Quitting Coal
- Fossil Fuel Companies Took Billions in U.S. Coronavirus Relief Funds but Still Cut Nearly 60,000 Jobs
- SFO's new sensory room helps neurodivergent travelers fight flying jitters
- Want To Get Ready in 3 Minutes? Beauty Gurus Love This $5 Makeup Stick for Cheeks, Eyes, and Lips
Ranking
- IRS recovers $4.7 billion in back taxes and braces for cuts with Trump and GOP in power
- Lisa Marie Presley died of small bowel obstruction, medical examiner says
- Hilaria Baldwin Admits She's Sometimes Alec Baldwin's Mommy
- Disney World's crowds are thinning. Growing competition — and cost — may be to blame.
- The Super Bowl could end in a 'three
- When an Oil Company Profits From a Pipeline Running Beneath Tribal Land Without Consent, What’s Fair Compensation?
- House approves NDAA in near-party-line vote with Republican changes on social issues
- Missed the northern lights last night? Here are pictures of the spectacular aurora borealis showings
Recommendation
Realtor group picks top 10 housing hot spots for 2025: Did your city make the list?
Compare the election-fraud claims Fox News aired with what its stars knew
The TVA’s Slower Pace Toward Renewable Energy Weakens Nashville’s Future
Temple University cuts tuition and health benefits for striking graduate students
Mets have visions of grandeur, and a dynasty, with Juan Soto as major catalyst
Looking to Reduce Emissions, Apparel Makers Turn to Their Factories in the Developing World
For the Second Time in Four Years, the Ninth Circuit Has Ordered the EPA to Set New Lead Paint and Dust Standards
What we know about Rex Heuermann, suspect in Gilgo Beach murders that shook Long Island more than a decade ago