Apple faces new lawsuit over App Store monopoly

Channel: Fox Business
Published: 7 hours ago

Description
Apple is currently facing a new lawsuit from app developers who are claiming that the tech giant has maintained a monopoly over the sale and distribution of iOS apps. Fox News senior judicial analyst Judge Andrew Napolitano reacts to the suit. FOX Business Network (FBN) is a financial news ch...



Transcript
Is apple at monopoly? Well, i mean i'm holding my iphone. This is just one market. There are many markets that they're in their iphones their ipads. There are other products that they serve, there's all their apps. I don't know the answer to whether or not there is a mulatto companies make smartphones correct. So but the question is: if they are a monopoly, did they get there unlawfully and has it ...
hurt the consumer because if they got there unlawfully by predatory pricing to put competition in their business but they're not hurting the consumer right, there's no antitrust case the bottom Line of every true antitrust case, except price-fixing, which is not the case here, the bottomline of all of those is harm to the consumer, where the consumer benefits where there is no probable, measurable harm to the consumer, there's no antitrust case. I suspect that that's what he's talking about okay, so there's no case here as far as you can see. No, but there is a case to make a case means two legalistic, because so many of us use these products and because the the apple with the bite out of it is so ubiquitous. That'S enough for members of congress to say nonsense, like oh they're, too big to regulate themselves. Therefore, we have to jump in free market. What do i forget the phone itself for a second? What aboutthis? I guess it's the elizabeth warren argument right the idea that if you sell something, you can't also be a platform okay, so that is another case which, in my opinion, has triggered these antitrust investigations. That case is the following.

Somebody buys an app for 99 bucks right apple, bought it from the developer for 99 cents, i'm just picking numbers. They could be a little different, so the purchaser says well wait a minute. What value did you add to it that you are charging me a hundred times what you paid for it? I'M gon na sue you under the rules. Until three weeks ago, you couldn't sue the seller. You had to sue the developer okayso the new rules, us this came down by the supreme court, justice cavanaugh joining the foreign liberals. You can sue apple. This is a class action case, so our issues there not more so than antitrust er. But this is an antitrust case: okay, civil antitrust case, the government's not involved. There are a potential billion people in the plaintiffs class, so varney worried. So how does this gon na end this one with the lawyers getting a fee and everybody in the class getting a coupon for a free apps? But it is that supreme court opinion in my opinion, which triggered the ftc, the doj and now the house judiciary committee's investigate, involving not just apple by theway, but all the big tech giant. Do you distinguish between those companies so they're far different business? Of course, they only think they're very different, there's no allegation of price-fixing amongst them, there's no allegation that they have favored each other. The allegation is that they've used sharp elbows to keep their competitors that we've never heard of cause.

It'S so small out of business. They can do that as long as there's no harm to the consumer. So how will this end in the cross-examination of google executives, not a good varney, the the bad i'd say that one, the the defense, the point, if it's gon na say wait a minute. Didn'T you just google us here, inthe courtroom, you know it's just a scheme by the lawyers, it's the most he's ever been mentioned here. Thank you, joe.


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