Supreme Court: App Store Customers Can Now Sue Apple

In what could become a landmark decision, the Supreme Court has ruled to allow individual iPhone users to sue Apple in antitrust violation cases related to the tech giant’s App Store. In a 5-4 decision written by Associate Justice Brett Kavanaugh, the Supreme Court agreed with a lower court ruling that determined App Store customers could sue Apple for allegedly driving up prices by forcing them to purchase apps exclusively from the App Store. Apple lost its argument that was based on the contention that third-party developers set the prices for apps. While Apple holds steady in its belief that it does not represent a monopoly, the ruling could have future ramifications regarding consumers who seek to sue other app sellers for antitrust violations. Continue reading Supreme Court: App Store Customers Can Now Sue Apple

Spotify Brings Beef Against Apple to European Commission

Spotify filed a complaint with European regulators accusing Apple of violating antitrust laws by crushing companies that compete with its services, including Apple Music. Apple charges a fee of up to 30 percent on anything sold in its App Store. Spotify reported to the European Commission that Apple’s policies are a “tax” that violate competition laws, and chief executive Daniel Ek complained that Apple gives itself “an unfair advantage at every turn.” It is uncertain if the complaint will lead to a formal EC investigation. Continue reading Spotify Brings Beef Against Apple to European Commission

Elizabeth Warren Looks to Break Up Major Tech Companies

Senator Elizabeth Warren (D-Massachusetts) aims to be the Democratic Party’s candidate for the 2020 U.S. presidential election, but she just alienated Silicon Valley when she proposed to break up tech companies that generate more than $25 billion in online revenue. Her rationale is that companies such as Amazon, Facebook and Google have become too big and too powerful, squashing small businesses and innovation, and more focused on their financial well-being than “the broader interests of the American people.” Continue reading Elizabeth Warren Looks to Break Up Major Tech Companies

Inside The New Yorker Profile on Facebook’s Mark Zuckerberg

The New Yorker posted a profile of Facebook founder/chief executive Mark Zuckerberg on its website, a week ahead of its September 17 print publication. The article, by New Yorker staff writer Evan Osnos asks if Facebook will “break democracy.” The profile describes Zuckerberg as someone who makes a distinction between feeling an emotion and acting on it through his business. He also states his opposition to government regulations, stressing that breaking Facebook into smaller companies would be a huge mistake. Continue reading Inside The New Yorker Profile on Facebook’s Mark Zuckerberg

Department of Justice Revisits Paramount Consent Decrees

The U.S. Department of Justice stated it is now reviewing the so-called Paramount consent decrees, settlements struck between 1948 and 1952 that govern the way movie studios do business with movie theaters. The DoJ’s announcement was unexpected, and could have major implications for how Hollywood does business. Those 70-year old decrees broke up Hollywood studios’ monopoly over production, distribution and exhibition by making them sell their theater chains. The review is aimed at ending outdated antitrust judgments. Continue reading Department of Justice Revisits Paramount Consent Decrees

Google Expected to Be Issued Major Antitrust Fine in Europe

The European Commission, executive arm of the European Union, is expected to issue a multibillion-euro antitrust fine against Google, according to insiders. Google will likely be charged with forcing the company’s search and Web browsing tools on manufacturers of Android-equipped mobile devices, which affects Google’s ecosystem and its successful advertising business. In addition to a hefty fine, Google will likely be ordered to make adjustments to its business practices in Europe related to Android, the most widely-deployed mobile operating system in the world. Continue reading Google Expected to Be Issued Major Antitrust Fine in Europe

Facebook Rejects U.S. Congress Claim That It Is a Monopoly

After two months, Facebook responded to the more than 2,000 questions that Congressional committees asked chief executive Mark Zuckerberg. In the resulting 450-page document, Facebook rebutted government claims that it is a monopoly and didn’t answer if an app can spy on its rivals. Instead, Facebook emphasized that it has learned its lesson and is giving its users more control over their data. It also revealed more details about the info it collected, such as battery levels of users’ devices and computer mouse movements. Continue reading Facebook Rejects U.S. Congress Claim That It Is a Monopoly

Facebook Portrays Its Many Platforms as Safe for Consumers

When the European Parliament grilled Facebook chief executive Mark Zuckerberg about his company’s many missteps, one of their concerns was that it has become a monopoly. The reference was to Facebook owning the world’s two largest chat applications, Messenger and WhatsApp, and their suggestion was that Facebook spin off those and the photo app Instagram. Facebook has countered with the argument that, by controlling so much of the world’s communications, it helps keep consumers safe across all these services. Continue reading Facebook Portrays Its Many Platforms as Safe for Consumers

End of an Era: Fujifilm to Acquire Photocopying Pioneer Xerox

After 115 years, Xerox has ceased operation as an independent company, agreeing to sell more than 50 percent of its business to Fujifilm Holdings in a $6.1 billion deal that will include restructuring and job cuts. In its heyday, Xerox introduced the first copying machine, and its Xerox Palo Alto Research Center (PARC) refined the computer mouse and graphical-user interface and built the Alto, a prototype personal computer that sold 1,000 units. Over the years, Xerox lost its innovation mojo and joined the ranks of Kodak and BlackBerry, two other companies that introduced groundbreaking technologies. Continue reading End of an Era: Fujifilm to Acquire Photocopying Pioneer Xerox

Chinese Developers Accuse Apple of ‘Monopolistic Behavior’

A group of 28 developers in China have hired a local law firm to file a complaint against Apple that claims the company engaged in “monopolistic behavior” after it removed apps from the App Store in China “without detailed explanation” and charged “excessive fees for in-app purchases,” reports The Wall Street Journal. “The complaint also alleges Apple doesn’t give details on why apps are removed and puts local developers at a disadvantage by not responding to queries in Chinese.” Continue reading Chinese Developers Accuse Apple of ‘Monopolistic Behavior’

Apple Stops Licensing Payments to Chip Provider Qualcomm

After a period of growing tension over their contract, Apple finally told Qualcomm, which provides the iPhone’s main components, that it will no longer pay licensing revenue to iPhone contract manufacturers. Apple is Qualcomm’s main source of profit, and a permanent end to this technology licensing revenue would be damaging to the chip manufacturer. This contract has been in force since Apple debuted the iPhone in 2007. As a result of Apple’s move, Qualcomm has downgraded its recently released forecasts. Continue reading Apple Stops Licensing Payments to Chip Provider Qualcomm

Federal Regulators Need More Time to Vote on Set-Top Boxes

The FCC delayed its vote yesterday on the proposal to unlock cable set-top boxes. FCC members “could not agree on a set-top box proposal that requires cable operators to provide their shows and movies on alternative devices rather than just on a cable box,” reports The New York Times. “The plan was intended to bring more competition to the television industry and liberate consumers from an average of $231 in annual cable box fees.” While the proposal will be considered for a future vote, FCC chair Tom Wheeler said commissioners needed additional discussions. However, with an upcoming change of administration, Wheeler’s window to adopt the regulation may be dwindling. Continue reading Federal Regulators Need More Time to Vote on Set-Top Boxes

Google to Offer its Own Smartphone, Secure Future Services

By the end of the year Google plans to release its own smartphone, which will compete directly with the Apple iPhone and extend the company’s reach into hardware. Google is presently in talks with carriers about the branded phone. Its Android operating system already powers 80 percent of smartphones sold around the world in phones made by, among others, Samsung, LG and Huawei’s Google Nexus brand. With its new smartphone, Google will take charge of design and manufacturing as well as software. Continue reading Google to Offer its Own Smartphone, Secure Future Services

European Commission Poised to Issue Major Fine to Google

The European Commission in Brussels is at the end of its seven-year investigation of Google and preparing to issue a record-breaking fine, expected to be about 3 billion euros ($3.4 billion). To date, the toughest fine the Commission has issued was 1.1 billion euros, levied at Intel. Inside sources say the announcement will likely come before the summer break, possibly as early as next week, and that the final amount hasn’t been decided upon, with the maximum possible at around 6.6 billion euros, or a tenth of Google’s total annual sales. Continue reading European Commission Poised to Issue Major Fine to Google

Authors and Booksellers Accuse Amazon of Antitrust Violations

A group of authors, their representatives and booksellers have banded together to ask the U.S. Department of Justice to investigate Amazon for antitrust violations. The move by authors and booksellers comes on the heels of an ugly contract dispute, during which Amazon made it difficult to buy books from publisher Hachette. Five years ago, Amazon secretly asked regulators to examine the practices of leading publishers, a move that ultimately gave the e-commerce company more influence. Continue reading Authors and Booksellers Accuse Amazon of Antitrust Violations

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