In addition to these legal and regulatory issues, Apple's core business of making and selling products is also struggling, with a 24% fall in iPhone sales in China in the first six weeks of 2024. The company also ended its self-driving car project, "Project Titan", to focus on artificial intelligence. If Apple loses the lawsuit, iPhone users could see more digital payment options and better iPhone-Android messaging, but the company argues this could lead to privacy and security threats.
Key takeaways:
- The US Justice Department has sued Apple, accusing it of using anticompetitive practices to dominate the smartphone market. This includes allegations of delaying, degrading, or outright blocking other technology in the smartphone market.
- Apple has also been fined nearly $2 billion by the European Union for stopping apps like Spotify from offering alternative payment options outside the App Store. The European Commission is investigating whether Apple violated the EU's Digital Markets Act.
- Apple's core business has been struggling, with iPhone sales in China falling by 24% in the first six weeks of 2024. The company also ended its self-driving-car project, "Project Titan," to focus on artificial intelligence.
- If Apple loses the Justice Department lawsuit, iPhone users could see changes like more digital payment options and better iPhone-Android messaging. However, Apple claims these changes could open the iPhone to privacy and security threats.