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FTC to formally investigate Apple's iPhone policies

June 12th, 2010 at 3:04 PM

According to a new report, the Department of Justice and the Federal Trade Commission have come to an agreement that the latter will open a formal investigation into Apple’s iPhone policies. The investigation will look into whether or not Apple’s prohibiting developers from using cross-compilers is anti-competitive. It is unclear whether or not the FTC will also look at Apple’s ban of Adobe Flash on iOS devices as well as section 3.3.9 of the iOS developers agreement which blocks Google’s AdMob from serving ads on the iPhone and iPad. The Department of Justice is said to be in the preliminary stages of an investigation into whether or not Apple has an unfair advantage in digital music distribution. But for the matter at hand, the FTC faces a tough challenge with its investigation. Apple claims it is essential that iOS applications are natively developed to ensure quality and compatibility. Previous experiments with cross-compilers led to what Apple claims were inferior applications, something it fears could damage the platforms reputation for quality applications. On the other hand, many believe that Apple enjoys far too much control over its products and this creates a lack of competition which does nothing but hurt developers and consumers alike. Neither Apple nor the FTC have commented on the matter.

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