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WASHINGTON (Reuters) – The United States has filed a lawsuit against Apple aimed at increasing competition for the iPhone and giving an advantage to small businesses developing apps that run on the ubiquitous device.
In a $2.7 trillion lawsuit against the company, the U.S. alleges that the iPhone maker harmed smaller rivals and jacked up prices, with the Justice Department telling the court that “Apple’s illegal actions have affected… “Restore competitive conditions in the market that has been affected.”
Apple said the lawsuit threatens the company and the principles that differentiate its products in a competitive marketplace.
Consumers are already benefiting in Europe, where a host of rules and regulations have forced Apple to make a number of user-friendly changes to its popular smartphones, and if the Justice Department’s lawsuit is successful, it will continue to benefit the U.S. as well. This suggests that similar changes may occur.
Below are some areas where EU competition authorities have changed rules and Apple has changed its products.
charging cable
Apple’s switch to USB-C chargers, which are standard for Android-based devices, may be the most obvious change for users.
In 2022, the EU passed legislation mandating charging port standards across its 27-nation bloc by the end of 2024. This makes it easier for consumers to power up their devices using the charger they already own or rent one that belongs to the European Union. others.
app store
In Europe, new rules have created an alternative to Apple’s App Store. This means that users can download applications from rival sources such as her website or rival app stores.
This allows developers to avoid the tech giant’s 30% fee and could theoretically make apps cheaper. Once fully implemented, users will have access to a wider range of apps.
Payments using non-Apple websites
In both the EU and the US, app developers can direct users to their website to purchase items instead of using Apple’s in-app purchase system (which also comes with a 30% fee).
This change was made in the EU in line with the recently enacted Digital Markets Act. In the United States, Apple’s acquisition was forced after a lawsuit from Fortnite maker Epic Games, which has long criticized the tech giant’s business practices.
browser
Another change introduced in Europe to comply with EU Digital Markets Law concerns the default web browser. Safari has been used as the default browser on iPhone since the first iPhone was released in 2007.
iPhone users can already change their default to a competitor like Google Chrome or Opera, but the latest Apple software update, iOS 17.4, will now give them the option to switch automatically when they open Safari.
Apple pushed back against the EU changes, saying they would present users with a list of options without a chance to learn about them, and warned that it would disrupt their browsing experience.
(Reporting by Martin Coulter in London and Chris Saunders in Washington; Editing by Deepa Babington)
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