Apple Guilty, May Pay Hundreds of Millions in eBook Price Fixing Conspiracy Damages

A federal judge has ruled that Apple is guilty of conspiring with publishers to raise the prices of ebooks from late 2009 to early 2010, which is a violation of antitrust laws and lands Apple in hot water. U.S. District Judge Denise Cote wrote in her decision, "Apple chose to join forces with the publisher defendants to raise ebook prices and equipped them with the means to do so. Without Apple's orchestration of this conspiracy, it would not have succeeded as it did."

According to Reuters, Apple’s price-fixing conspiracy was pushing Amazon’s ebook prices from about $9.99 to between $12.99 and $14.99 due to Apple’s “agency agreements” with publishers that allowed the company to set higher prices and collect commissions. This setup is in contrast to Amazon’s initial ebook strategy, which was reportedly to buy ebooks wholesale and then reselling them below cost.

Apple iBooks, part of Apple's ebook price fixing conspiracy

A partner in the firm pursuing the case against Apple, Hagens Berman Sobol Shapiro, said that the firm would be asking for damages against Apple in the hundreds of millions of dollars.

Apple, perhaps predictably, denies any wrongdoing, stating that it was not aware that publishers were conspiring amongst themselves regarding ebook pricing. The company settled a similar case with the European Commission, and in that case Apple also maintained that it did nothing wrong.
Via:  Reuters
Super Dave one year ago

Thanks for the wonderful article - it just made my day!Big Smile

MayhemMatthew one year ago

Apple admitting to evil would be the first time since the Bible.

BlackOpsPenguin one year ago

Apple conspiring to make lots of never them! lol

Versifier one year ago

Collusion by major US corporations to screw over consumers? no way!

RWilliams one year ago

Hahahahahahahahahahahahahahahahahahaha. *catches breath* Hahahahahahahahahahaha.

Just because you're unstoppable in the market, it doesn't mean you're unstoppable in the legal system.

Jun one year ago

I like when Apple suffers >:). I hate the price of books, especially text books. IDK if Apple sell text books for colleges, but all those companies do is shuffle around a couple of chapters and call it a new edition. It pisses me off.

ShaneThomasFrisinger one year ago

Love seeing some money being drained from their WarChests.

nickhshea one year ago

Thank goodness apple gets hit back for once. Corporations don't have a good morality reputation and apple is definitely one of the factors. I have an ongoing joke that apple is like a stuck up pompous with no friends and google has tons of friends and they all stick up for em. Apple used to be so legit because you'd pay more for higher quality; that is not the case anymore. Now people pay more for the name apple and get an average quality product while the rest gets pocketed by apple.

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