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They offered to let Amazon and other retailers to sell ebooks at a discount for two years

An Apple ebook deal may be in the works after a long 10 months of investigation by the European Union (EU).

Apple and four major publishers that are being investigated have started offering antitrust concessions in an effort to ward off fines and further trouble. The four publishers are Harper Collins (News Corp., U.S.A.), Simon & Schuster (CBS Corp., U.S.A.), Hachette Livre (Lagardère Publishing France) and Verlagsgruppe Georg von Holzbrinck (owner of inter alia Macmillan, Germany).

Penguin (Pearson Group, United Kingdom) is also being investigated, but did not submit a proposal.

One offer from Apple and the four publishers was to allow Amazon and other retailers to sell ebooks at a discount for two years. The Commission is now looking into whether these concessions are enough by taking opinions from the industry.

Last December, the European Commission opened a formal antitrust investigation into whether the five international e-book publishers had been practicing anti-competitive tactics with the help of Apple and its e-book store iBooks. More specifically, the Commission wanted a closer look at the agency pricing model that the publishers adopted with Apple, which allows publishers to set a price for their ebooks and Apple takes a 30 percent cut. However, the publishers can't sell those same books on other retail sites like Amazon for a lower price.

This was not only seen as anticompetitve by the European Commission, but also the U.S. Department of Justice (DOJ). DOJ sued Apple and the publishers in April 2012 over the agency pricing model.

Harper Collins, Simon & Schuster and Hachette Livre decided to settle the case with the U.S. DOJ. However, Apple, Penguin and Macmillan have decided to fight the antitrust case.

The U.S. bench trial in the Apple e-book case will start June 3, 2012.

Source: Reuters

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Apple should have ZERO input on this.
By GotThumbs on 8/31/2012 2:32:07 PM , Rating: 2
Two years is nothing....unless you think the world ends in two years.

This offer is simply insulting to every consumer. This simply pushes back for two years, the price fixing that Apple and the publishers had tried to implement.

It's just disgusting.

By GotThumbs on 8/31/2012 2:38:37 PM , Rating: 2
I think this is providing more insight into Apples corporate ethics and may even reveal more of Steve Jobs hidden ethics.

Just Google Steve Jobs Wozniak breakout to read about Jobs earlier history and ethics regarding his own friend. Bottom line...I'll NEVER own an apple product. I simply have zero respect for Jobs and the companies walled garden (ie prison) environment.

RE: Apple should have ZERO input on this.
By Tony Swash on 8/31/12, Rating: -1
RE: Apple should have ZERO input on this.
By lightfoot on 8/31/2012 3:01:20 PM , Rating: 3
If Amazon is doing something illegal or anti-competitive then they need to be investigated.

That in no way justifies behavior by Apple that is clearly illegal. The argument "they started it" is childish and is not a valid legal defense, sorry.

RE: Apple should have ZERO input on this.
By Tony Swash on 8/31/12, Rating: 0
RE: Apple should have ZERO input on this.
By Kyuu on 8/31/2012 7:54:41 PM , Rating: 2
Okay: you're naive (or more likely just blindly on the side of Apple, given your posting habits).

This has nothing to do with "protecting" the customer. It has everything to do with publishers protecting their legacy business models and vehemently opposing anything that might cut into their profits. How has the customer benefited from the agency model (in addition to Apple's favoured nation clause)? Lots of choices of booksellers... who all charge the same (inflated) prices? Wow that's so awesome. How could I not want that?

RE: Apple should have ZERO input on this.
By Tony Swash on 8/31/12, Rating: -1
By BifurcatedBoat on 8/31/2012 9:24:20 PM , Rating: 2
Then, at that point in time, somebody will start up to compete with Amazon's monopoly, and we're back in business. That's how capitalism is intended to work.

By croc on 9/1/2012 1:18:18 AM , Rating: 2
E-book market got 'disrupted' by Apple's entry. Consumer's prices for e-books went up. Them's the facts, spin away.

"There is a single light of science, and to brighten it anywhere is to brighten it everywhere." -- Isaac Asimov

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