Current:Home > InvestWhat the DOJ lawsuit against Apple could mean for consumers -Mastery Money Tools
What the DOJ lawsuit against Apple could mean for consumers
View
Date:2025-04-14 09:54:31
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! (33)
Related
- Travis Hunter, the 2
- Russia strikes Odesa, damaging port, grain infrastructure and abandoned hotel
- South Korea breezes through first day of League of Legends competition in Asian Games esports
- 'We just collapsed:' Reds' postseason hopes take hit with historic meltdown
- McConnell absent from Senate on Thursday as he recovers from fall in Capitol
- CDC recommends Pfizer's RSV vaccine during pregnancy as protection for newborns
- Ukraine is building an advanced army of drones. For now, pilots improvise with duct tape and bombs
- 3 crocodiles could have easily devoured a stray dog in their river. They pushed it to safety instead.
- Warm inflation data keep S&P 500, Dow, Nasdaq under wraps before Fed meeting next week
- A statue of a late cardinal accused of sexual abuse has been removed from outside a German cathedral
Ranking
- Taylor Swift makes surprise visit to Kansas City children’s hospital
- WEOWNCOIN: The Security of Cryptocurrency and Digital Identity Verification
- Bad Bunny and Kendall Jenner continue to fuel relationship rumors at Milan Fashion Week
- A statue of a late cardinal accused of sexual abuse has been removed from outside a German cathedral
- 'Survivor' 47 finale, part one recap: 2 players were sent home. Who's left in the game?
- Facial recognition technology jailed a man for days. His lawsuit joins others from Black plaintiffs
- WEOWNCOIN: The Decentralized Financial Revolution of Cryptocurrency
- Who won? When is the next draw? What to know about Powerball this weekend
Recommendation
Bodycam footage shows high
Ideological rifts among U.S. bishops are in the spotlight ahead of momentous Vatican meeting
Oil prices have risen. That’s making gas more expensive for US drivers and helping Russia’s war
McDonald's faces another 'hot coffee' lawsuit. Severely burned woman sues over negligence
Why we love Bear Pond Books, a ski town bookstore with a French bulldog 'Staff Pup'
Murder charges dropped after fight to exonerate Georgia man who spent 22 years behind bars
France’s Macron to unveil latest plan for meeting climate-related commitments in the coming years
Usher confirmed as Super Bowl 2024 halftime show headliner: 'Honor of a lifetime'