Apple files counter motion: iPhone accounts for 65% of the U.S. market, not enough to establish monopoly

1. Apple yesterday (August 1) filed a motion with the U.S. Department of Justice to dismiss the antitrust lawsuit.

2. Apple believes that the US authorities do not have sufficient evidence to prove that Apple has engaged in anti-competitive behavior, or has implemented anti-competitive effects that harm the interests of consumers, nor has it proven that Apple is a monopoly in the US smartphone market.
3. Apple says in the lawsuit:

iMessage is a proprietary and innovative messaging service created by Apple to differentiate iPhone from the competition.

According to the government’s view, companies such as Apple should bear antitrust liability if they do not spend resources, costs and time developing proprietary versions of products and services for competitors’ devices.

4. Citing Apple’s motion, the Justice Department’s complaint does not explain how Apple’s alleged restrictions on “super apps,” cloud streaming apps, digital wallets, messaging apps and competing smartwatches have harmed consumers. Benefits may affect consumers' choice of which smartphone to buy.

The government’s claim that Apple’s policies on “super apps,” cloud gaming, smartwatches, or otherwise are preventing any customers from switching to Google or Samsung is implausible.

The opposite is more believable: users dissatisfied with Apple's reasonable third-party access policies can and do switch to competing devices because these restrictions don't exist.

5. Apple’s share of the U.S. smartphone market is not enough for the government to easily establish a monopoly. The Department of Justice once compared Apple to Microsoft, but Microsoft’s operating system market share when facing antitrust lawsuits was 95%, while Apple was close to 65%.

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