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Apple CEO Steve Jobs has brazenly rejected calls to open his company's gates to competitors like Flash. And he reportedly has used threats to crush competitors' deals in the digital content industry.
Apple may face its day of reckoning for its bullying on music, Flash, and more

Apple has long played itself up as the cool outsider, making fun of rivals like Microsoft as stodgy, uptight business people.  However, Apple's success has transformed it into exactly the type of company it mocks -- a giant with effective monopolies in several markets.  And according to many observers, the company -- one of the tech industry's largest firms -- has become increasingly brazen in its violation of antitrust laws.

Last week, government investigators began to probe whether Apple broke the law by bullying music companies into dropping a major deal with digital music provider Amazon.com.  Exclusive deals are a common promotional tool and Amazon.com scored a win by convincing major music labels to put certain tracks on sale through Amazon's service one full day before their broad release.

Apple caught wind of the deal and reportedly tried to kill it.  Apple, whose iTunes service controls roughly 69 percent of the digital music market, reportedly told music labels that it would penalize them if they carried through with the plan (penalties included refusing to sell the applicable tracks in iTunes). 

Now, according to 
The New York Post, the DOJ investigators are looking to probe Apple even deeper.  It is asking media companies whether Apple is using its position in the market to bully them on a variety of issues including Flash and digital content sales.  And an angry Hollywood appears more than happy to comply with the investigation.  Remarks one source, "The [Justice Dept.] is doing outreach.  You can't dictate terms to the industry. The Adobe thing is just inviting the wrath of everybody."

The investigation follows the decision of several of Hollywood's biggest players, including NBC and Time Warner, to move towards rejecting Apple's iPad because of its restrictive terms.  They instead will be looking to offer Flash-driven products on platforms like Android or webOS tablets.

Is the government overstepping its bounds in digging up dirt on Apple?  Or did Apple purchase its own ticket to trouble by brazenly stomping on competitors and trying to dictate what "freedoms" its customers are allowed to enjoy?  Regardless of your opinion, the government investigation appears to be expanding as it silently marches ahead.



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RE: Karma
By Hyperion1400 on 5/31/2010 7:24:39 AM , Rating: 5
quote:
iTunes sucks a nut but who the fuck is contending?


Exactly, that doesn't seem off to you. It doesn't seem strange that Rhapsody and the Zune Market place have very little market penetration even though they are a much better deal and have comparatively less restrictive DRM? Or, that Amazon, who sells music for the same price but has no DRM to speak off and occasionally gets some great deals on new releases has almost no market share?

Also, I would love to see what they did to local CD shops come back to bite them in the ass... You know, I'd like to know how they brain washed an entire generation of Americans into purchasing inferior quality music at a premium and then make them sit there and take it as they removed all of their freedom to do with said music as they please. That sort of thing might be useful!


RE: Karma
By Hyperion1400 on 5/31/10, Rating: -1
RE: Karma
By hughlle on 5/31/2010 8:11:56 AM , Rating: 4
ya get rated down now for being whiney and pathetic :D


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