Apple: government 'intended to smear' us in digital privacy fight with FBI

Breakdown in relations means Silicon Valley and Washington are less likely to compromise in debate over encryption and law enforcement in smartphone age

Apple said federal prosecutors are "offensive", "desperate" and "intended to smear" them in a remarkable escalation of the digital privacy fight between America's most valuable company and the FBI.

The remarks from Apple's top lawyer, general counsel Bruce Sewell, were made in a conference call with reporters just hours after the Justice Department submitted a legal brief that accused the technology company of trying to usurp power from the government.