Apple Accused by Egypt of Violating Competition Laws

Photographer: John Taggart/Bloomberg

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Egypt, where an iPhone can cost 50 percent more than elsewhere in the Middle East, has given Apple Inc. two months to end what it claims are unfair restrictions on local distributors -- or face legal action.

The move against the Cupertino, California-based iPhone maker and its regional distributor comes just days after the Egyptian Competition Authority claimed they were violating local law by concluding exclusive distribution agreements.