Software engineers suing Apple — they think “Apple” the brand has established a monopoly on the sale and distribution of mobile applications designed for iOS. According to the plaintiffs, Apple has “stifled innovation” and prevent competition, and therefore you need to create additional independent app stores.
Two software developers have filed a lawsuit against Apple for “unfair monopolization of the market,” reports The Verge. The plaintiffs believe that the cupertinos have a monopoly in the sale and distribution of mobile applications for the iOS operating system, as officially they are only sold through the App store. The lawsuit, filed in U.S. Federal court may obtain the status of the collective, so in theory to participate can anyone who has ever sold an app for iOS within the United States.
There is no doubt that Apple has almost complete control over the distribution of iOS apps. With rare exceptions, all of the mobile apps get into the App Store — to do this, their owners must meet a number of conditions established the “Apple” company.
Now the court must establish whether the sole managing software for iOS from Apple in violation of antitrust laws.
The plaintiffs, who are the developers of the two applications, claim that Apple is “strangling innovation,” reduces sales and hinders progress because of their strict placement rules in the App Store. In addition, they are protesting against the fact that the developers every year are forced to pay Apple $99 as a fee and also to give “Apple” a 30% share of all cash transactions.
But the biggest claim of the plaintiffs is that the only place where you can sell apps for iOS, the App Store remains. If suddenly Apple will reject the app, the developers have nowhere to go. If their application has not become popular in the App Store, they have no other forum to try to spin.
As follows from the claim, the only way to fix the situation, is the resolution on the activity of the other app stores. This will help competition and will push Apple to improve the App Store to maintain its leading position.
In may of this year, the U.S. Supreme court has allowed the App Store to file antitrust lawsuit against Apple. The group of plaintiffs said that the “Apple” abused its position in the market of mobile apps for gadgets, spreading them exclusively through its own store. Thus, users have to download software only from the App Store, while overpaying for their use.
While Apple claimed that may not be defendants in this case because, technically, the plaintiffs, complaining of the monopoly of the App Store are not customers, “Apple”, and with application developers who use App Store as a marketplace. However, the U.S. Supreme court ruled that this logic is inapplicable in the case of Apple.
“The borders that is trying to install Apple, do not carry meaning, moreover, in order fraudulently to save the company from this and other similar lawsuits,” said the Supreme court judge Brett Cavanaugh.
“We do not agree. The plaintiffs bought the app directly from Apple, which means that they are customers of the company,” added the judge.
It is worth noting that while this case is in its early stages, and therefore still not been established for certain, whether Apple violated Federal antitrust law. However, the court’s decision could set a precedent, which would mark the beginning of the war between Apple and offended users, who have leverage on the company.
If this case is lost, Apple will have to reimburse the amount that the customer “overpaid” while using App Store.
Apple is not the only company in Silicon valley, which is checked. American authorities intend to conduct an antitrust investigation against Amazon, Facebook and Google, regulators will have to find out whether tech company abused its dominant position on the market. According to Reuters, this may be an unprecedented event, because it implies a large-scale test of the largest brands in the world.
Read more •••