Apple sued for price fixing

By Bloomberg | 05 Jun 2019 at 11:37hrs
Apple Inc. was sued by two software developers who claim it's violating U.S. antitrust law by suppressing competition in the market for iPhone applications.

Donald R. Cameron and Pure Sweat Basketball Inc. said Apple improperly forces them to sell through the company's App Store, takes a 30% cut of sales and requires that all prices end with 99 cents on products that aren't offered for free.

"From the outset, Apple attained monopoly power in the U.S. market for iOS app and in-app product distribution services by slamming the door shut on any and all potential competitors," the developers said in their complaint filed Tuesday in federal court in San Jose, California.

Cameron and Pure Sweat are seeking to represent a nationwide class of developers whose products are sold through Apple's iOS App Store.

They're seeking an order barring Apple from anti-competitive practices and violations of California's Unfair Competition Law, plus unspecified damages, which may be tripled under antitrust law.

The suit is the latest to target Apple's policy of restricting the sale of iPhone apps to its App Store.

The U.S. Supreme Court ruled last month that consumers can sue Apple over claims the company uses its market dominance to artificially inflate prices in the store.

Apple didn't immediately respond to emails seeking comment on the suit.



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