In a procedural technicality, Apple Inc. has won its legal challenge against the UK antitrust watchdog's investigation into its dominance of the mobile phone market which was launched in response to Apple's legal challenge.
Big Tech has appealed the Competition and Markets Authority's decision to refer the firm to a full-blown market investigation following its findings in its research into the mobile browser market conducted by the company. The company successfully argued that the CMA failed to follow the rules regarding timings and that the investigation was invalid because of this.
In its investigation into Apple and its parent company Alphabet Inc.'s dominance in the mobile browser market, the CMA opened a separate investigation after a separate study concluded that these companies are capable of exercising "a stranglehold" over operating systems, app stores, and web browsers on mobile devices. There was no involvement of Alphabet in the lawsuit.
On Friday, judges at the Competition Appeal Tribunal ruled that both the CMA's notice as well as the start of the consultation process came too late in relation to each other. There is a significant problem with the administration's decision as it "lacks the statutory prerequisite for a valid decision in this regard, which is the publication of a timely notice and the initiation of a timely consultation."
There is a significant risk that this will undermine the ability of the CMA to investigate and intervene in markets where the competition isn't working well efficiently and effectively, said a spokesperson from the CMA. In the meantime, the agency is considering whether to appeal the decision.
The CAT's decision was welcomed by an Apple spokesperson.
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