The Morning After: Justice Department files antitrust lawsuit against Apple
It’s attacking the company’s ‘walled garden.’
The Department of Justice and more than a dozen states have filed a lawsuit against Apple in the US federal court, accusing the company of violating antitrust laws. It says Apple’s hardware and software products are largely inaccessible to competitors, making it difficult for rivals to compete and for customers to switch to other companies’ products.
The lawsuit comes after the European Commission fined Apple €1.8 billion ($1.95 billion) for stopping music-streaming developers from “informing iOS users about alternative and cheaper music subscription services available” outside the App Store. And all this while US lawmakers chase another tech company, TikTok, with a lot of enthusiasm.
The DOJ suggests Apple used its control over iOS to block innovative apps and cloud streaming services from the public. (Look at cloud gaming services, like Google’s now-gone Stadia and Microsoft’s xCloud). The suit also suggests Apple has obstructed rival payment platforms, made it harder for Android messages to appear on iPhones and restricted how competing smartphones integrated with iOS devices.
You could compare Apple’s antitrust suit to Microsoft’s antitrust suit brought against Windows in the late ’90s — even Attorney General Merrick Garland noted those in the suit. But Microsoft truly dominated PC software back then, with over 90 percent of all PCs running some flavor of Windows.
The DOJ says Apple claims 70 percent of all smartphones, which is already less. Step outside the US, which is a bit academic here, and Apple has the same market share as Samsung, with many other phone makers jostling for a percentage point or two. It’s not quite the same grip as Microsoft had on PCs.
— Mat Smith
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Microsoft’s Surface Pro 10 and Surface Laptop 6 are not for you
They’re for serious business people and professionals.
Two devices conspicuously missing from Microsoft’s Surface and AI event last fall are finally here — and they’re what we expected and a bit surprising. Today, Microsoft unveiled the Surface Pro 10 and Surface Laptop 6, sporting the same designs as the previous models but now with the AI smarts of Intel’s new Core Ultra CPU. Alas, both have the foreboding words “for business” attached to their names, so you’ll only be able to buy them from Microsoft’s website or commercial resellers. But why? We don’t really know.
DoorDash is testing a drone delivery feature in Virginia
It’s in partnership with Alphabet’s Wing.
DoorDash just announced the launch of a new drone delivery pilot program in Christiansburg, Virginia, with an approximate population of 22,000. The company says orders should arrive in 30 minutes or less, making high-flying drones about as fast as a standard pizza delivery. However, it’s limited to only “eligible items.” And, alas, only items from fast-food chain Wendy’s.
Wendy’s? Wendy’s.
Reddit is now a publicly traded company
The social media stalwart wants to raise around $631 million in its IPO.
Nearly two decades after its debut, Reddit is now a publicly traded company. It was listed on the New York Stock Exchange as RDDT on Thursday, with mascot Snoo on hand to ring the opening bell. One interesting aspect of Reddit going public is it offered shares at the IPO pricing to long-term users of good standing over the last few weeks. It’s not all good news for Reddit, though. It recently signed a deal with Google, reportedly worth $60 million a year, to train the latter’s AI models on user-generated content. The Federal Trade Commission is looking into that arrangement.
