Newsletters
News & Information for Technology Purchasers NewsFactor Sites:       NewsFactor.com     Enterprise Security Today     CRM Daily     Business Report     Sci-Tech Today  
   
This ad will display for the next 20 seconds. Click for more information, or
Home Enterprise I.T. Cloud Computing Applications Hardware More Topics...
GET RECOGNIZED.
Let an ISACA® certification
elevate your career.

Register today and save
Apple/Mac
Tame your scariest paperwork. Find Out How
Average Rating:
Rate this article:  
U.S. Seeks Limits on Apple Pricing Deals for iTunes Media
U.S. Seeks Limits on Apple Pricing Deals for iTunes Media

By Seth Fitzgerald
August 2, 2013 2:08PM

    Bookmark and Share
The federal antitrust lawsuit is not the only problem that Apple is dealing with as a result of fixing e-book prices. Attorneys general from the 33 states involved in the suit have come forward requesting that money be returned to consumers who had to pay higher prices for their books as a result of Apple's deals with publishers.
 



Following a federal judge's ruling that Apple conspired with publishers to raise the price of their e-books, the U.S. Department of Justice has proposed preventing Apple from arranging pricing deals not just for e-books, but music, movies, TV shows and other iTunes media.

The plan, which was approved by 33 U.S. states and territories, will now have to be given the green light by U.S. District Judge Denise Cole in Manhattan. Cole ruled July 10 that Apple had played a "central role" in a conspiracy to raise e-book prices.

The Justice Department is using the price-fixing ruling as an opportunity to take aim at all other media businesses Apple is involved in. Although this came as a surprise to some, the Justice Department's proposal only states that Apple cannot do things which are already illegal.

Sharing the Cash

Along with preventing any price-fixing deals, the Department of Justice also wants Apple to allow rivals such as Amazon and Barnes & Noble to include links to buy media from their Web sites from within iOS apps.

Apple's competitors had been able to include in-app purchases for media from within their respective applications, but in 2011 Apple demanded that it receive a portion of all in-app sales, resulting in links to buy books being removed from applications. This proposal would allow those links to be put back in to apps, which would then direct users to online stores for Amazon and Barnes & Noble.

Between having to allow purchase links, and being unable to make deals with publishers, analyst Rob Enderle of the Enderle Group said he believes the proposed penalty will end up hurting Apple.

"It will make it harder for Apple to compete against Amazon and [will] weaken their consumer products," Enderle said.

However, Enderle also believes it will end up being beneficial to consumers, who should receive fair prices moving forward.

Providing an external monitor to review all of Apple's efforts has also been proposed. The monitor would ensure that Apple does not enter into any e-book contracts during the next five years.

Paying Off Damages

The antitrust lawsuit is not the only problem that Apple is dealing with as a result of fixing e-book prices. Attorneys general from the 33 states involved in the suit have come forward requesting that money be returned to consumers who had to pay higher prices for their books as a result of Apple's deals with publishers.

Outside of the government lawsuit, Apple is facing a similar class-action lawsuit brought by customers for the alleged price-fixing. Since Apple has already been found guilty of the charge on a federal level, the class-action suit would likely end up going against Apple as well.

Once the judge decides whether to accept this deal, Apple may have to forfeit all its agreements with HarperCollins Publishers, Hachette Book Group, Simon & Schuster, Penguin Group and Macmillan.
 

Tell Us What You Think
Comment:

Name:



Salesforce.com is the market and technology leader in Software-as-a-Service. Its award-winning CRM solution helps 82,400 customers worldwide manage and share business information over the Internet. Experience CRM success. Click here for a FREE 30-day trial.


 Apple/Mac
1.   Longtime Apple Director Steps Down
2.   Apple-IBM Deal Weighs on BlackBerry
3.   Apple Digital Book Settlement Set
4.   Business Impact of IBM-Apple Deal
5.   Apple, IBM Team on Mobile Biz Apps


advertisement
Apple Digital Book Settlement Set
But company still appealing decision.
Average Rating:
Apple, IBM Team on Mobile Biz Apps
A match made in technology heaven.
Average Rating:
Apple iWatch Set To Rock the Market
The name of the game: brand loyalty.
Average Rating:


advertisement
Product Information and Resources for Technology You Can Use To Boost Your Business

Network Security Spotlight
Juniper DDoS Solution Aims at High-IQ Networks
In the face of more complex attacks, Juniper Networks is boosting its DDoS Secure solution to help companies mitigate the threats with more effective security intelligence throughout the network fabric.
 
Large-Volume DDoS Attacks Hit Record in 2014
The number of distributed denial-of-service (DDoS) attacks set a record in the first half of 2014, according to a report by Arbor Networks. The number of attacks over 20 GB/sec doubled.
 
U.N.: Nations Hide Rise in Private Digital Snooping
Governments on every continent are hiding an increasing reliance on private companies to snoop on citizens' digital lives, the U.N. human rights office says, with grave concerns about privacy.
 

Navigation
NewsFactor Network
Home/Top News | Enterprise I.T. | Cloud Computing | Applications | Hardware | Mobile Tech | Big Data | Communications
World Wide Web | Network Security | Data Storage | Small Business | Microsoft/Windows | Apple/Mac | Linux/Open Source | Personal Tech
Press Releases
NewsFactor Network Enterprise I.T. Sites
NewsFactor Technology News | Enterprise Security Today | CRM Daily

NewsFactor Business and Innovation Sites
Sci-Tech Today | NewsFactor Business Report

NewsFactor Services
FreeNewsFeed | Free Newsletters

About NewsFactor Network | How To Contact Us | Article Reprints | Careers @ NewsFactor | Services for PR Pros | Top Tech Wire | How To Advertise

Privacy Policy | Terms of Service
© Copyright 2000-2014 NewsFactor Network. All rights reserved. Article rating technology by Blogowogo. Member of Accuserve Ad Network.