With the intention of harming its competitors in the mobile software market, Apple is illegitimately using its position. In a major report that has been published in the recent journals, the Federal Trade Commission (FTC) has started a probe against Apple. It will clearly find whether Apple has taken App Store as its weapon to hurt its competitors.
Apple has made a sharp twist in its Apple Store Rules. Few of the developer tools which are used to create applications in iPad and iPhone has been prohibited by Apple. Now Google’s AdMob and other dependent mobile ad networks have been blocked from accessing applications on the iPhone. While Apple was asked about this, it has not straight away respond to it. By changing the tools that are being employed to write apps sold in App Store, it seems that this time Adobe is its specific targeter. Now the developers are unable to use other platforms like Novell’s Monotouch and Adobe’s Flash platform.
Developers who are sharing their data with mobile operating system or an advertising service provider other than Apple have been banned by Apple. Admob which is owned by Google is the most high-flying mobile- advertising service provider affected by this. But Google is using Android platform to create a better place in the mobile software market.
Controversial Trends of Apple
This is not the first time that Apple has caused a controversy. It has been functioning always in the path of controversy. It created an iTunes Store monopoly for iPod and iPhone and thus blocked them into iTunes. Apple’s FairPlay DRM System has not been licensed with any other company. Hence it prevents the other manufacturer’s devices to use the contents purchased from iTunes. But competing company’s DRM free music can be heard on Apple devices.
In Europe the customers can purchase goods from any of its state. But Apple is forcing the customers to buy iTunes only. It forced the users in some countries to spend more money by restricting the content purchases to their country. It disables Google Voice Application on iPhone. It has given an explanation that the functionality of iPhone has been altered by Google application. Within two months after the release of iPhone, it reduced its price by $200 and it was criticized by everyone.
The Federal Trade Commission (FTC) which was set up by the Federal Trade Commission Act in 1914 is an self-governing agency of the United States Government. “Consumer Protection” is its motto. It helps to eliminate and prevent harmful business practices that are anti-competitive. FTC is able to achieve this by some merger plans, non-merger plans that may mess up the competition and enforcing antitrust laws. The civil enforcement of antitrust laws is handled by FTC.
When Google purchased AdMob, FTC examined them for several months. Hence being familiar with the mobile ad market, it has now got the job of investigating Apple. Thus FTC investigation is the most up-to-date in a sequence of explorations into Apple’s business practices.