A federal judge found Apple, Inc. guilty of conspiring to fix prices of ebooks sold online on Wednesday, ending a longstanding, high-profile case initiated by the US Department of Justice against the tech giant. The result is a major win for the DOJ, but what happens next? According to reports, Apple has stated it would appeal the decision and denied any wrongdoing; Apple spokesperson Tom Neumayr called the allegations against the tech giant “false” and insisted Apple introduced necessary innovation into the market at the time the DOJ accuses the company of antitrust violations. Further, the presiding judge, US District Judge Denise Cote, said she would schedule a damages trial for the 33 states’ attorneys general, which also brought the case against Apple along with federal regulators.
While the nation awaits to see the exact repercussions of the lawsuit, analysis is already swarming around the case’s outcome. According to some experts, the lawsuit is a reminder of the hazards of technological innovation. Yale Law School antitrust professor George Priest told Forbes said he is not certain the decision will stand, and described the new method of selling ebooks invented by Apple is “a good thing.”
Others say that while consumers may not see too much of a difference in ebooks prices, Apple could be in for major changes in the way the company does business. According to author Laura Hazard Owen at PaidContent, Apple could possibly be barred from including most-favored-nation clauses in its contracts with any publishers in the future. Or, said Owen, the company could be forced to allow ebooks sellers to sell products through the Apple store without the tech firm taking the typical 30 percent cut it takes from in-app purchases; the DOJ has suggested this plan.
Full Content: PaidContent, Forbes and Bloomberg
Click here to view CPI’s special newsletter on the ebooks decision
Want more news? Subscribe to CPI’s free daily newsletter for more headlines and updates on antitrust developments around the world.
Featured News
Google Wins Appeal Against EU’s €1.5 Billion Fine for Ad Monopoly Practices
Sep 18, 2024 by
CPI
Meta Introduces Teen Accounts to Address Growing Data Regulation Demands
Sep 17, 2024 by
CPI
FTC Lawyers Wrap Up Arguments to Block Kroger-Albertsons Merger
Sep 17, 2024 by
CPI
Financial Regulator to Monitor CNMC’s Ruling on BBVA-Sabadell Acquisition
Sep 17, 2024 by
CPI
Green Day Ticket Prices Spark Controversy Amid Dynamic Pricing Concerns
Sep 17, 2024 by
CPI
Antitrust Mix by CPI
Antitrust Chronicle® – Canada & Mexico
Sep 3, 2024 by
CPI
Competitive Convergence: Mexico’s 30-Year Quest for Antitrust Parity with its Northern Neighbor
Sep 3, 2024 by
Francisco Javier Núñez Melgoza
Competition and Digital Markets in North America: A Comparative Study of Antitrust Investigations in Mexico and the United States
Sep 3, 2024 by
Julio Garcia
Recent Antitrust Development in Mexico: COFECE’s Preliminary Report on Amazon and Mercado Libre
Sep 3, 2024 by
Alejandra Palacios Prieto
The Cost of Making COFECE Disappear
Sep 3, 2024 by
Mateo Fernández