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Edition: U.S. Article Comments (0) Save Email Print Reprints Most Popular Most Shared New York bomb plot suspect says acted alone | Video 11:47am EDT Starbucks sued over hot tea alleged to cause burns 03 May 2010 U.S. reveals size of nuclear arsenal 03 May 2010 Cellphone led FBI to Times Square car bomb suspect arrest 7:56am EDT Police barred from penis enlargement 23 Apr 2010 Factbox - Chronology of Gulf of Mexico oil spill 8:32am EDT FDA still probing Friday's J&J recall 03 May 2010 Iran: Punish U.S. for "shameful" nuclear threats | Video 03 May 2010 WRAPUP 3-Ash closes Irish, UK airports; summer chaos feared 9:10am EDT Oil falls to around $84 ahead of U.S. inventory data | Video 10:00am EDT Starbucks sued over hot tea alleged to cause burns 03 May 2010 Police barred from penis enlargement 23 Apr 2010 FDA still probing Friday's J&J recall 03 May 2010 Mississippi has most obese kids; Oregon the least 03 May 2010 U.S. reveals size of nuclear arsenal 03 May 2010 Thai protest leaders object to election timing | Video 9:53am EDT WRAPUP 3-Ash closes Irish, UK airports; summer chaos feared 9:10am EDT U.S. firm recalls infant, children's Tylenol 03 May 2010 Magnetic brain stimulation fights depression 03 May 2010 U.S. mulls requiring remote shutoffs for oil rigs 03 May 2010 Analysis Facebook efforts hint at growing ad clout Facebook's move to export its social networking features across the Internet could bolster the company's advertising business and pose an increasing threat to the Web's reigning advertising giants. Full Article Regulators mull antitrust look at Apple: source Gabriel Madway SAN FRANCISCO Tue May 4, 2010 9:36am EDT Related News FTC/DOJ mulling antitrust look at Apple-source Mon, May 3 2010 Apple iPad reaches 1 million sales faster than iPhone Mon, May 3 2010 UPDATE 3-Apple iPad reaches 1 mln sales faster than iPhone Mon, May 3 2010 Microsoft echoes Apple view on Adobe's Flash Fri, Apr 30 2010 Apple's Jobs slams Adobe's Flash technology Thu, Apr 29 2010 A customer works with an Apple iPad during an iPad launch event at the Apple retail store in San Francisco, California April 3, 2010. Credit: Reuters/Robert Galbraith SAN FRANCISCO (Reuters) - Regulators are considering an inquiry into whether Apple Inc violates antitrust law by requiring that its programing tools be used to write applications for the iPad and iPhone, a source familiar with the matter said on Monday. Technology | Media The news comes amidst a high-profile dustup between Apple and Adobe Systems Inc, which makes the widely used Flash software to provide video and build games. Although Flash is nearly ubiquitous on the Internet, Apple calls it a balky battery hog and Apple Chief Executive Steve Jobs will not allow Flash on the iPhone or iPad, or as a tool to build apps on those devices. Apple has sold more than 50 million iPhones since its debut in 2007, and 1 million iPads since its April 3 debut. The devices' popularity means extra scrutiny about every Apple move related to the smartphone platform. Both the Federal Trade Commission and the Justice Department enforce U.S. antitrust law, and no decision has been made on which may take the probe on Apple, said the source, who spoke privately for business reasons. The New York Post first reported regulators' interest in Apple's policy. The paper reported that the two agencies were locked in negotiations over which would handle the inquiry, and a decision was expected shortly. "What they're (Apple) doing is clearly anticompetitive ... They want one superhighway and they're the tollkeeper on that superhighway," said David Balto, a former FTC policy director. Apple, Adobe and the Justice Department declined to comment. The FTC did not respond to a request for a comment. Apple has recently come under scrutiny from U.S. regulators for other reasons. Under pressure from the FTC, Google CEO Eric Schmidt stepped down from Apple's board of directors last year. TECHNOLOGY WAR After months of sniping at one another, the feud between Apple and Adobe broke into the open last week, when Jobs published an open letter where he slammed Flash as unsuitable for mobile devices. Jobs called Flash "closed and proprietary" because Adobe controls the technology -- charges that have also been levied at Apple over the iPhone platform, which is also used for the iPad. Apple has prohibited software developers from using Flash -- and other programing languages -- to build apps for its newest iPhone platform, so these companies must use Apple-approved tools and custom-build their programs, which adds extra cost and work. Apple said allowing third-party tools would result in "sub-standard" apps. But critics say the company is abusing its position. "For us and the whole developers community, it really locks us into a single platform," said Michael Chang, chief executive of mobile ad network Greystripe, of Apple's rules. Chang said a basic iPhone app might cost $75,000 to build on Flash, and a few thousand dollars more to convert it to work on Google Inc's Android mobile platform. But with the new restrictions, a developer must spend another $75,000 to build the app from the ground up for a non-Apple platform. "For a small or medium-sized company, it becomes a real financial issue, and that's how it becomes anticompetitive," he said. The iPhone has generated huge interest from app developers, who have created more than 200,000 programs, or apps, for the platform. Developers get 70 percent of the revenue they earn, while Apple takes 30 percent. One developer, who spoke on the condition of anonymity, said Apple's new app development rules were just "incredibly broad. The fact that you can't use any other tools to build your app is just ridiculous." But he acknowledged that apps built using Apple's tool look and run better than those built with third-party technology. Simon Buckingham of the app blog Appitalism argued that developers could write for the Apple platform and other platforms easily using a WebKit open source browser standard. "What they're (Apple critics) trying to do is make a mountain out of a molehill," he said. (Reporting by Gabriel Madway, additional reporting by Diane Bartz in Washington; Editing by Steve Orlofsky, Leslie Gevirtz) Technology Media Add a Comment *We welcome comments that advance the story directly or with relevant tangential information. We try to block comments that use offensive language or appear to be spam and review comments frequently to ensure they meet our standards. If you see a comment that you believe is irrelevant or inappropriate, you can flag it to our editors by using the report abuse links. Views expressed in the comments do not represent those of Reuters. More from Reuters Regulators mull antitrust look at Apple: source SAN FRANCISCO (Reuters) - Regulators are considering an inquiry into whether Apple Inc violates antitrust law by requiring that its programing tools be used to write applications for the iPad and iPhone, a source familiar with the matter said on Monday. Apple iPad reaches 1 million sales faster than iPhone Connecticut AG probing Craigslist on paid-sex ads IBM buys cloud computing software firm Cast Iron China guards against "overseas hostile forces" on Web HP tablet plans draw interest after Palm deal » More Top News Debt lessons from LatAm Greece's debt woes will likely have a limited impact on Latin America, whose crisis-laden history could actually serve as a lesson for Europe, an expert says. Full Article Mexico watchdog upbeat on telecoms Mexico treads lightly on bank IPOs Regulator: no problem with Slim plan Mexico banks ahead of game in capital Latin America Investment Summit BP struggles to contain oil spill Oil giant BP says it will try to contain the catastrophic oil leak with a massive metal, funnel-like structure as pressure to stem the damage grows. Full Article | Infographic Video: Gulf fishermen hit by spill Factbox: Oil companies rally to help Timeline: The spill and its impact Breakingviews: BP easy to demonize Green Business © Copyright 2010 Thomson Reuters Editorial Editions: Africa Arabic Argentina Brazil Canada China France Germany India Italy Japan Latin America Mexico Russia Spain United Kingdom United States Reuters Contact Us Advertise With Us Help Journalism Handbook Archive Site Index Video Index Analyst Research Mobile Newsletters RSS Podcasts Widgets Your View Labs Thomson Reuters Copyright Disclaimer Privacy Professional Products Professional Products Support Financial Products About Thomson Reuters Careers Online Products Acquisitions Monthly Buyouts Venture Capital Journal International Financing Review Project Finance International PEhub.com PE Week Thomson Reuters is the world's largest international multimedia news agency, providing investing news, world news, business news, technology news, headline news, small business news, news alerts, personal finance, stock market, and mutual funds information available on Reuters.com, video, mobile, and interactive television platforms. Thomson Reuters journalists are subject to an Editorial Handbook which requires fair presentation and disclosure of relevant interests. NYSE and AMEX quotes delayed by at least 20 minutes. Nasdaq delayed by at least 15 minutes. For a complete list of exchanges and delays, please click here.

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