Feds Sue Apple Over E-book Price Fixing
Allege Apple deal with publishers drove up prices
By Mark Russell, Newser Staff
Posted Apr 11, 2012 8:32 AM CDT
Updated Apr 11, 2012 10:41 AM CDT
Fair goers try out the textunes eBook reader app on an Apple iPad at the Leipzig Book Fair on March 15, 2012 on the fairgrounds in Leipzig, eastern Germany.   (Getty Images)

(Newser) – The Justice Department has filed an antitrust lawsuit against Apple and five of the US' biggest book publishers over allegations that they conspired to fix the price of e-books ahead of the iPad's launch, the Wall Street Journal reports. The conspiracy allegedly aimed to drive up prices, which had settled at around $9.99 on Amazon, and to limit Amazon's ability to discount them.

"Defendants' ongoing conspiracy and agreement have caused e-book consumers to pay tens of millions of dollars more for e-books than they otherwise would have paid," the lawsuit alleges. Justice is expected to file a settlement with some of the publishers later today, in a deal that will likely end Apple's deal with them, and bring down e-book prices.

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Showing 3 of 14 comments
Sep 7, 2012 11:20 AM CDT
Well, that's what you get apple. Price fixing = very very uncool. If you wanna do business in an ( alleged ) free market society, then that is just something that you shouldn't be doing. Personally, I think the penalty, whatever it winds up being ( if there winds up being one ) Should be severe, extremely severe. Any large, rich corporation caught engaging in price fixing, should almost be like fixing games in a major sport. Banned, Apple should be forced OUT of the ebook business either for a determined time interval, or just forever
Apr 12, 2012 5:51 AM CDT
From someone who should know? http://news.cnet.com/8301-13578_3-57412861-38/doj-is-likely-to-lose-e-book-antitrust-suit-targeting-apple/
Apr 11, 2012 9:33 PM CDT
Anytime the government gets involved prices generally go up so I am skeptical that this will have any effect.