Apple ebook punishment harms us more than them, claim publishers

Apple ebook punishment harms us more than them, claim publishers

The US Department of Justice last week recommended Apple be banned from entering into anti-competitive e-book distribution contracts for five years.

The penalty followed a ruling in a civil antitrust case that Apple had played a “central role” in a conspiracy with the publishers to raise e-book prices.

The five major publishers, including HarperCollins, Penguin and Macmillan, submitted papers in a Manhattan court challenging the contract ban. They believe the move will punish them rather than Apple as it would elimate to so-called “agency model” whereby the publishers, rather than Apple, set the retail price for ebooks.

Only Apple went to trial, while the publishers agreed to pay more than $ 166m for the benefit of consumers.

The iPhone maker filed a motion last week objecting to the DoJ’s proposal, calling it a “draconian and punitive intrusion”.

A hearing to discuss remedies is scheduled for Friday. US District Judge Denise Cote has said she also plans to hold a trial on damages.

Finance News – Business news from the UK and world


Uncategorized

Leave a Reply

Your email address will not be published.