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Antitrust lawsuit accuses Apple of wrongly cornering market for smartwatches

COOK COUNTY RECORD

Monday, December 23, 2024

Antitrust lawsuit accuses Apple of wrongly cornering market for smartwatches

Lawsuits
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Stephen Tillery, of Korein Tillery | prweb.com

Apple has been accused of employing anticompetitive strategies to monopolize the smartwatch market, according to a class action lawsuit filed in Chicago federal court. 

The plaintiff, Joseph Giamanco, alleges that Apple has been using its power to restrict competition in the smartwatch industry.

The lawsuit claims that Apple forces competing manufacturers into contracts that prevent them from offering features similar to those of the Apple Watch. Additionally, it accuses Apple of introducing software updates that disrupt or render non-functional competing smartwatches and blocking competitors' access to key iOS functionalities.

Giamanco also points out an internal email from Steve Jobs in 2010 outlining a strategy to tie all Apple products together, thus locking customers into their ecosystem. As a result, at least 78% of iPhone owners who own a smartwatch have an Apple Watch. This strategy allegedly led to competitors like Meta and Google abandoning plans for their own smartwatches due to Apple's restrictive practices.

Giamanco is seeking an end to these alleged anticompetitive practices and holding Apple accountable for its alleged monopolistic conduct.

Plaintiffs are represented by attorneys George A. Zelcs, David Walchak, Stephen M. Tillery and Carol O’Keefe, of Korein Tillery, of Chicago and St. Louis; and Steven F. Molo and Eric Posner, of Mololamken LLP, of Chicago.

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