Apple counterattacks the US Department of Justice by applying to dismiss the antitrust lawsuit

According to the financial news app Zhitong Finance, on Tuesday, Apple (AAPL.US) has started to apply to dismiss the U.S. Department of Justice's lawsuit against the App Store, the smartphone market, and other antitrust lawsuits. As part of the legal process, Apple needs to submit a pre-litigation letter of up to three pages outlining the reasons for dismissing the charges. Apple submitted this letter to U.S. District Judge Julien Neals today, claiming that the case "far exceeds the outer limits of antitrust law."

Apple stated that the Department of Justice filed the antitrust lawsuit based on Section 2 of the Sherman Act, which must prove three specific allegations to "get past the pleading stage." Apple stated that the Department of Justice must prove that the company: has monopoly power in relevant markets, engaged in anticompetitive behavior, and that these behaviors had anticompetitive effects.

In the letter, Apple continued to state: "This complaint fails in all three respects. The Supreme Court has repeatedly held that the core conduct at issue in this case - Apple's decisions about how and whether to allow third-party access to its platform - does not give rise to Section 2 liability."

Apple then pointed out that the Department of Justice accused it of imposing restrictions, but Apple believes that these restrictions did not have anticompetitive effects. Apple is "facing fierce competition from strong competitors" and does not have the market share necessary to establish or infer market dominance.

Therefore, Apple is requesting the court to dismiss the case. At the same time, Apple accuses the Department of Justice of attempting to change antitrust law, arguing that the court "should decline its invitation as it seeks to establish a new antitrust liability theory not recognized by any court."

The pre-litigation letter submitted by Apple initiates a process, and the Department of Justice is expected to respond by the end of this month. Subsequently, Judge Neals may convene a meeting between the two parties.

All further steps depend on Judge Neals' decision, but assuming Apple is allowed to submit a full motion to dismiss, it may not happen before mid-June. Then, the Department of Justice will submit a reply brief, and Apple will have the opportunity to respond.

If the case progresses to this stage and the motion to dismiss is not rejected by the judge, a hearing is likely to be held, but the date will not be determined for some time. However, given the scope of the case, the court is likely to hold a hearing on the motion to dismiss before September.

If Apple's motion to dismiss is not supported, the Department of Justice's case will continue and enter a full hearing stage. Specific dates will still be determined by the court. Regardless of the outcome for either party, appeals are expected, so the case is unlikely to be resolved for several years.

The U.S. Department of Justice did not immediately comment on Tuesday. Earlier, the department stated that Apple's iPhones are priced as high as $1599, higher in profit than any other company in the industry. Officials also stated that Apple charges various business partners, from software developers to credit card companies, and even competitors like Google under Alphabet, behind-the-scenes fees, ultimately raising consumer prices and boosting Apple's profits. In addition, the U.S. Department of Justice stated that Apple forces consumers to pay higher fees "Consumers should not have to pay higher prices because a company violates antitrust laws," Attorney General Merrick Garland said in March. "If not challenged, Apple will only continue to strengthen its monopoly position in the smartphone market."