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Apple Faces Full Trial as Court Finds DOJ Monopoly Claims 'Credible Enough'
17 Jul 2025
A US federal court has ruled against Apple's legal defense by refusing to end a high-profile antitrust lawsuit initiated by the US Department of Justice (DOJ), a coalition of 16 state attorneys general, and Washington, DC. Now, the charges of monopolizing the smartphone market and suppressing competition will be considered during a full trial.
The direct reaction to the court's decision was moderate. As a major component of the Dow Jones index, Apple's stock remains volatile within the overall market movement, but without a sharp drop. This suggests that investors initially priced in a high probability of such a development into the stock price and expect a long legal battle.
Trading has become more volatile, with some pressure on futures prices. This indicates that automated trading systems quickly adjust to market prices affected by news, creating uncertainty.
During the hearing, the judge rejected Apple's request to dismiss the motion filed in response to the March 2024 lawsuit. The court found the regulators' arguments convincing enough at this stage for the case to move to the stage of evidence collection and trial.
Regulators claim that Apple has illegally monopolized the smartphone market using its iOS platform and ecosystem through:
- User Capture: Apple deliberately makes it more difficult for iPhone users to switch to Android devices. This applies to the company's key features, such as its messenger, digital wallets, and cloud services.
- Suppression of service competition: The company restricts the ability of third-party developers to create fully competitive services in key categories through strict App Store rules and API restrictions.
- Abuse of the App Store: Instead of reducing fees or improving conditions for developers, Apple adjusts the rules to stifle innovations that could threaten its services or revenue from commissions.
Apple categorically rejects the accusations, insisting that its policy is dictated solely by considerations of user safety, data privacy, and ensuring the integrity and quality of the user experience. The company warns that forcibly loosening its controls will undermine these fundamental principles and ultimately negatively impact innovation.
The court didn't find Apple's arguments sufficient grounds for terminating the case at this stage. This doesn't mean the court agrees with the charges but considers them credible enough for a full trial. The burden of defending itself now falls on Apple during the trial.
The court's decision not to dismiss the case is a major victory for regulators and a significant development in the largest antitrust attack on Apple in the United States. Apple says this lawsuit is factually and legally flawed, and they will continue vigorously fighting it in court.
The trial's outcome could dramatically change the mobile industry landscape and Apple's financial performance. So far, the stock market remains cautiously optimistic, believing Apple can defend itself.
Still, the pressure on futures and the long judicial path ahead are good reasons for close monitoring. The iPhone ecosystem's potential forced “opening up” could significantly disrupt Apple's business model.
