Reports are that the Department of Justice and Federal Trade Commission are negotiating over which party will start examining Apple for antitrust behavior. This comes as a result of Apple’s iPhone Developer Program License Agreement sub-article 3.3.1, which has the byproduct of banning the conversion of Flash apps to the iPhone.

The inquiry will look to see if the policy destroys competition by forcing developers to choose a platform neutral approach for platforms for Google, Microsoft and Research In Motion or develop apps only for Apple devices. A full investigation may come as a result of this, in which case Apple would receive a subpoena about the policy.

Steve Jobs recently defended Apple’s policy about Flash, something Microsoft seemed to agree with for the most part.

Source: New York Post