Apple gets sued by Cydia for App Store monopoly

According to the latest news, Apple was sued on Thursday by the creator of a once-popular app store, Cydia. The latter accused the iPhone maker of illegally monopolizing software distribution on its own operating system.

Cydia was created in 2008. The company said that Apple has “illegally squashed all competition” for its App Store by depriving consumers the ability to choose where to obtain iOS apps. They also said that Apple deprived developers from choosing which distributors to choose.

The official complaint was filed in the Oakland federal court, California. The latest case accuses Apple of exploiting market dominance at the expense of rivals like Cydia, which said it is on the verge of closing and possible bankruptcy.

Apple is based in Cupertino, California. Apple notified Reuters through an email that it will review the lawsuit. The company also said that it has not monopolized any market. Apple said due to security reasons it discourages consumers from trying to unlock their iPhones, that is, “jailbreaking” to install unauthorized software. It should be noted that the main rival of iOS is Google’s Android operating system.

Cydia, which is also known as SaurikIT was created by software engineer Jay Freeman. In the above mentioned case, the company is being represented by the law firm Quinn Emanuel Urquhart & Sullivan. In the past, Quinn Emanuel Urquhart & Sullivan has represented Samsung against Apple in a patent litigation case.

Currently, Apple has a market value exceeding US $ 2 trillion. The company is also facing antitrust challenges that include a lawsuit filed by Epic Games in August this year. Epic Games is the maker of the Fortnite video game. Epic Games accused Apple of illegally removing Fortnite from its App Store because Epic wanted to use its own payment system rather than let Apple take a commission of 30%. This case is expected to go to trial in May 2021.

As a reiteration to such cases, last month, Apple announced that it would reduce commissions to 15% from 30% for developers who are generating around $1 million through App Store sales.