United States District Judge Vince Chhabria has dismissed an antitrust lawsuit brought against Apple by Venmo and Cash App customers over allegations of anti-competitive practices related to the California company’s Apple Cash product. The lawsuit, filed in November 2023 in San Jose, accused Apple of monopolistic practices within the Apple iOS App Store, making it challenging for competitors to introduce features such as decentralized cryptocurrency payments.
However, Judge Chhabria granted Apple’s motion for dismissal on March 26, citing several fatal issues with the complaint. The plaintiffs failed to establish specific antitrust actions or include other competitors like Zelle in the initial complaint. Additionally, the judge deemed the lawsuit speculative and dismissed the premise that Apple’s terms of service constituted an unlawful agreement.
While the plaintiffs have 21 days to submit amendments to the case, the judge’s final remarks suggest skepticism regarding the lawsuit’s viability. If no amended complaint is filed within the specified period, dismissal will be with prejudice.
The dismissal of the lawsuit shows the complexities and challenges of litigating against tech giants like Apple over antitrust concerns. It also highlights the importance of presenting a robust legal argument supported by evidence when challenging practices within the digital ecosystem. Moving forward, plaintiffs will need to carefully address the deficiencies outlined by the court if they seek to pursue legal action against Apple.
