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Apple: we broke Amazon's ebook monopoly

iPad iBooks

By Nicole Kobie

Posted on 13 Apr 2012 at 09:54

Apple has denied allegations that it fixed ebook prices with publishers.

US authorities sued Apple and five publishers – three of which have settled – this week, accusing the six firms of colluding to artificially inflate ebook prices and of guaranteeing the tech firm the lowest selling price.

Apple has responded to the suit, telling the Wall Street Journal that the allegations are “simply not true” – and that Apple’s efforts helped prevent Amazon from having an ebook monopoly.

"The launch of the iBookstore in 2010 fostered innovation and competition, breaking Amazon's monopolistic grip on the publishing industry," a spokeswoman said.

The US Department of Justice noted in its court filing that the way Apple's iBookstore operates is different from its iTunes music store, as publishers set the prices for books but Apple, as the retailer, sets the price for music.

However, Apple said that’s not always the case. "Just as we've allowed developers to set prices on the App Store, publishers set prices on the iBookstore," the spokeswoman said.

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User comments

But...

They force the publishers to use the same model with other distributors, such as Amazon and Barnes and Noble, who can't discount the books and Apple take their 30%, whilst guaranteeing that nobody can undercut them...

By big_D on 13 Apr 2012

Chortlesome rubbish!

Apple's attempts at removing a 'monopoly' consist in establishing a cartel whose main role is too keep prices high.

HMMMM.....

By wittgenfrog on 13 Apr 2012

Apple's case is somewhat weakened ...

... by the fact that over half of the publishers concerned in the action have put their hands up and settled.

Of course it's standard apple practice to deny everything initially and then have to perform an embarrassing and climb down later.

By qpw3141 on 13 Apr 2012

@wittengenfrog

"Chortlesome"

What an inspired neologism!

By qpw3141 on 13 Apr 2012

@qpw3141

Thankyou.

By wittgenfrog on 13 Apr 2012

HA!

It's like the Tories claiming they've broken Labour's monopoly on ignoring the public, introducing stupid legislation, pandering to generous lobbyists & generally just being despicable shitbags.
Well f*****g hurrah!

By dubiou on 14 Apr 2012

@dubiou

Nicely put.

By jgwilliams on 16 Apr 2012

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