Apple Computer Inc.

A class action lawsuit has been filed against Apple Computer Inc. on behalf of consumers in the US District Court, Northern District of California. The class action claims Apple violated the Sherman Antitrust Act, Cartwright Act, California Unfair Competition Law, Consumer Legal Remedies Act, and Monopolization of Business Practices. Apple owns and operates iTunes Music Store, which is accessed with proprietary Apple software rather than with a Web browser. Apple has approximately an 83% market share of the online music market and 75% of the online video market. Apple's iPod line of digital music players has more than a 90% market share of the hard drive based player market. The lawsuit claims Apple has engaged in tying and monopolizing behavior, placing unneeded and unjustifiable technical restrictions on its most popular products in an effort to restrict consumer choice.