Feds to Launch Antitrust Investigation of Apple

Ryan Whitwam

Sources are reporting today that the Department of Justice and the Federal Trade Commission are wrangling over which one of them should lead a preliminary antitrust investigation of Apple. The action was spurred by Apple's new developer agreement which forces app designers to use only Apple programming tools. The inquiry may be launched in a matter of days, and will seek to determine if the policy damages competition in the mobile app space.

Apple's claim has been that adding a layer of abstraction (i.e. a third-party compiler) results in poorer quality apps; thus requiring specific developer tools is a quality control mechanism. Those on the other side, however, claim that Apple is seeking to force developers to choose Apple's platform instead of porting their code to multiple platforms. The worry is that independent developers won't have the resources to rewrite code for multiple platforms, so they will choose Apple's larger and more lucrative app store be default.

The possible inquiry does not mean anything is about to change. The preliminary analysis will determine if a full investigation is required. Do you think Apple is a fault here? How much control should they be allowed to exercise over their platform?

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