In a U.S. District Court of Manhattan filing, Apple denied the allegations calling the lawsuit "fundamentally flawed".
Apple argued that its foray into e-books has actually fueled demand for e-books by forcing Amazon and rivals, including Barnes & Noble Inc, to compete more aggressively, including by upgrading e-reader technology.
"Apple's entry into e-book distribution is classic procompetitive conduct" that created competition where none existed, Apple said in its court papers. "For Apple to be subject to hindsight legal attack for a business strategy well-recognized as perfectly proper sends the wrong message to the market," it added. "The government's complaint against Apple is fundamentally flawed as a matter of fact and law."