Apple Insists U.S. Antitrust Lawsuit Should Be Dismissed

Apple said it plans to ask a US judge to dismiss a lawsuit filed by the Justice Department and 15 states in March that alleged the iPhone maker monopolized the smartphone market, hurt smaller rivals, and drove up prices, David Shepardson reported for the Associated Press (AP).

Apple claimed the DOJ relies on a new "theory of antitrust liability that no court has recognized." I Photo: Arild Finne Nybø Flickr

In a letter to US District Judge Julien X. Neals in New Jersey, Apple said, "Far from being a monopolist, Apple faces fierce competition from well-established rivals, and the complaint fails to allege that Apple has the ability to charge supra-competitive prices or restrict output in the alleged smartphone markets."

Apple claimed the DOJ relies on a new "theory of antitrust liability that no court has recognized."

The government is expected to respond within seven days to Apple's letter, which the court requires parties to submit to expedite cases before advancing to a potentially more robust and expensive effort to dismiss a lawsuit.

The Justice Department alleges that Apple uses its market power to extract more money from consumers, developers, content creators, artists, publishers, small businesses, and merchants.

The civil lawsuit accuses Apple of maintaining an illegal monopoly on smartphones by imposing contractual restrictions and withholding critical access from developers.