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Justice Department officials are in the late stages of investigating the iPhone maker, focusing on how Apple has used its other products and services to defend against threats to its core business.
By David McCabe and Tripp Mickle
David McCabe, who is in generation rate policy, reported from Washington. Tripp Mickle, who covers Apple, reported from San Francisco.
The Justice Department is in the final stages of an investigation into Apple and could launch a sweeping antitrust case targeting the company’s methods of dominating the iPhone as early as the early part of this year, three other people with knowledge of the matter said.
The agency is focused on how Apple has used its control over its hardware and software to make it more difficult for consumers to ditch the company’s devices, as well as for rivals to compete, said the people, who spoke anonymously because the investigation was active.
Specifically, investigators have examined how the Apple Watch works better with the iPhone than with other brands, as well as how Apple locks competitors out of its iMessage service. They have also scrutinized Apple’s payments system for the iPhone, which blocks other financial firms from offering similar services, these people said.
Senior leaders in the Justice Department’s antitrust division are reviewing the results of the investigation so far, said two of the people. The agency’s officials have met with Apple multiple times, including in December, to discuss the investigation. No final decision has been made about whether a lawsuit should be filed or what it should include, and Apple has not had a final meeting with the Justice Department in which it can make its case to the government before a lawsuit is filed.
The Justice Department is the latest in what would be the highest-profile federal antitrust lawsuit against Apple, which is the world’s highest-value technology company. If the lawsuit goes ahead, U. S. regulators will have sued four of the largest tech corporations for monopolistic dealings. internship in less than five years. The Justice Department is lately fighting Google in two antitrust cases, focusing on its ad and search technology businesses, while the Federal Trade Commission has sued Amazon and Meta for stifling competition.
Apple’s lawsuit would likely be even broader than previous lawsuits filed against the company, attacking its tough marketing style that combines the iPhone with devices like the Apple Watch and Apple Pay to attract and retain consumers of its products. Competitors said they had been denied access to key Apple features, such as the Siri virtual assistant, leading them to argue that the practices were anti-competitive.
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