Apple Inc (NASDAQ: AAPL) Loses Bid Seeking To Dismiss Antitrust Lawsuit From Cydia

Apple Inc (NASDAQ: AAPL) lost a bid to dismiss a suit from competing for application store Cydia in a California federal court. Cydia has accused Apple of keeping an unlawful monopoly on software supply on its OS.

The court rejects Apple’s claim against Cydia’s charges 

Oakland US District Judge Yvonne Gonzalez Rogers rejected the iPhone maker’s claim that Cydia’s charges were outside the four-year timeframe laid down by federal antitrust regulations.

Following the dismissal of an earlier lawsuit, Gonzalez Rogers made her judgment on behalf of defendant SaurikIT LLC, the company that created Cydia. She discovered that the limitation period barred the first suit’s allegations. However, she authorize Cydia to file a formal lawsuit, which she did in January.

In the updated case, Cydia’s attorneys claimed that Apple’s tech changes from 2018 to 2021 were explicit conduct that damaged iPhone app distributors like Cydia. Gonzalez said in the judgment that the claims are current to the level plaintiff’s allegations depend on Apple’s tech changes to remove Cydia from operating altogether.

Apple and a Gibson, Dunn & Crutcher attorney for the firm didn’t immediately reply to messages for comment on Friday. Quinn Emanuel Urquhart & Sullivan, Cydia’s attorneys, equally didn’t immediately reply to similar messages.

In February, Apple’s lawyers termed Cydia’s allegations “time-barred” and bland, urging Gonzalez Rogers to reject the lawsuit and prevent any future attempts to alter it. Instead, the Cydia lawsuit is looking to open markets for distribution of iOS applications, and iOS application payment processing to anyone looking to favorably compete with Apple and to recover damages Cydia has faced.

Cydia’s suit is the same as Epic Games’ lawsuit against Apple 

The situation of Cydia is comparable to an antitrust suit brought by Epic Games Inc, the maker of Fortnite, against iPhone in 2020 regarding the latter’s withdrawal of the famous video game from the  Apple Store. After Epic built a payment structure that bypassed Apple’s 30% fee on in-app purchases, Apple withdrew Fortnite.

Last year Gonzalez Rogers ruled in favor of Apple in a case that is currently pending in the Ninth US Circuit Court of Appeals.

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Published by Neha Gupta

Swati has worked in diverse capacities from financial research to currency trading in a span of 3 years.

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