Legal experts suggest Apple might benefit now that Alphabet’s Google lost its antitrust case, potentially aiding Apple’s own defense.
A federal judge largely supported antitrust enforcers against Google’s search monopoly but dismissed claims about Google’s ad tool favoring Bing.
Experts believe that element could strengthen Apple’s defense in its own anti-monopoly case.
Herbert Hovenkamp noted that the ruling reinforces Supreme Court precedent, showing companies rarely have a “duty to deal” with rivals.
“Any case, including Apple, in which a duty to deal is a major portion, is going to get a close look,” he said.
The states claimed Google hindered competition by not providing key features for rivals’ ads via Search Ads 360.
U.S. District Judge Amit Mehta agreed with Google, stating it wasn’t obligated to boost competition for its rival.
“Their claim requires grappling with a host of questions that the court is ill-equipped to handle,” the judge said.
William Kovacic, former FTC commissioner, noted that this aspect of the ruling benefits defendants, according to George Washington University Law School.
“It also is a reminder that the case is hardly finished,” he said, adding that the case and appeals could take years.
Certainly, Apple might lose billions if the judge bans Google from paying to be the default search engine on iPhones.
Mehta highlighted that Google spent $26.3 billion in 2021 to maintain its search engine as the default and preserve market dominance.
However, the Google ruling might boost Apple’s case against the Justice Department’s claims of hindering third-party app development.
Last week, the company argued that limiting third-party access to its technology isn’t anti-competitive and sharing it could stifle innovation.
The judge in Apple’s case isn’t bound by Mehta’s ruling, but Apple might use it to persuade him.
Hovenkamp said the Justice Department must prove Apple’s dealings with developers resembled Google’s payments to device makers.
“In order to win, the government is going to have to point to some kind of agreement, because then the standard becomes more aggressive,” he said.
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