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AT&T and Apple hit with class action monopoly abuse lawsuit



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As much as I love Apple products, the exclusive partnership with AT&T is not what we should expect or condone in this day and age. Even over here in "socialist Europe" there are multiple providers for the iPhone in each country. The federal government should have stepped in immediately but this is life in the modern US where monopolies are embraced even though it's bad for consumers.

The lawsuit consolidates several filed by iPhone buyers starting in late 2007, a few months after the first generation of Apple's smart phone went on sale.

An amended complaint filed in June 2008 takes issue with Apple's practice of "locking" iPhones so they can only be used on AT&T's network, and its absolute control over what applications iPhone owners can and cannot install on the gadgets.

The lawsuit also says Apple secretly made AT&T its exclusive iPhone partner in the U.S. for five years. Consumers agreed to two-year contracts with the Dallas-based wireless carrier when they purchased their phones, but were in effect locked into a five-year relationship with AT&T, the lawsuit argued.

The actions hurt competition and drove up prices for consumers, the lawsuit claims.


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