Apple Facing New Antitrust Investigation
mantis2009 writes "After recent complaints of anti-competitive behavior, the US Department of Justice has opened an inquiry into Apple's business practices for selling music. Investigators have specifically asked whether Apple colluded with record labels to thwart Amazon.com's music download store, according to the ever-present anonymous 'people briefed on the situation.' Allegedly, Apple threatened to retaliate if any music label participated in Amazon's 'MP3 Daily Deal' promotion, which offered early access to some MP3 tracks." So it looks like the Justice Department won the DoJ vs. FTC fight for the regulation bully pulpit.
Today wasn't the best day to become the highest-valued IT company in the world - edging out MSFT (219.18B) by having a market cap of 222.07B.
To give an idea of the scale of that achievement, Apple's share price has climbed about 560% in the past five years. Microsoft's is up 4%. Sure, market cap isn't a hugely useful measure (beyond bragging rights) of the value a company brings, but the trend is an interesting one, at least for Apple shareholders
Simon.
Physicists get Hadrons!
Since when is stopping companies from breaking the law bullying?
The Justice Department has also reportedly been investigating the hiring practices at Apple and other top technology companies, including Intel, I.B.M. and Google, asking whether the companies have improperly agreed to avoid hiring each other’s employees.
I would like to see specifically what this investigation is about. I don't see why companies can't make this type of agreement. It sounds like an agreement to respect each others trade secretes by not hiring each others employees.
Anonymous comments are as pathetic as the anonymous "sources" that contaminate gutless journalism from the New York Time
So it's illegal if a company fails to promote an artist or product? Really DoJ? Really? Oh shit - I'm going to club fed for sure. I didn't shill for Lady Gaga today. Crap!
As i've been ranting about for a while now... It's time to either let Microsoft run its business in the same manner Apple does... or force Apple to deal with the same nonsense all of you impose on Microsoft.
When will we end the hypocrisy? Leave Microsoft alone, and go after the real evil... Apple.
I wonder when Steve Jobs woke up and thought to himself "I'm tired of Microsoft having a monopoly on being the "most hated assholes in the industry" market segment, we should be those assholes!"
The Music industry is probably still mad that Apple fought their 0.30 $ increase in prices and has the leverage to do so.
This doesn't seem like a big deal. The barrier to entry in creating an online music store seems pretty low, plus the files are now DRM free and playable on any player. Apple just seems to not want Amazon to get music before it does.
Not the mention it was a minor miracle that Steve Jobs got the major labels to sell their music online in the first place. I think that head start put itunes music store in the position it is in today.
Heh, investigating Apple for leveraging dominance against the RIAA, A cartel convicted of antitrust abuses several times? How about dealing with them effectively first?
What, do the copy editors come from the Weekly World News now? Even fark has better, more accurate headlines.
It's about time Apple gets slapped. There shall be more anti-trusts to step forward.
- PC
What did it ever do to you, huh? Go suck on a Google tit if it makes you feel good, but just leave us the hell alone already!
It says bully pulpit. Which is something else entirely.
/...
Bill Gates was quoted as saying "Muhahaha! How the tables have turned!"
If the only way you can accept an assertion is by faith, then you are conceding that it can't be taken on its own merits
Apple also needs to open osx to all pc's as well.
As it they get bigger then M$ they they may be forced to.
If that's all there is to the accusation, then Apple deserve kudos - in this one isolated instance - for forcing wider access to the works. Exclusive is the antithetis of the purpose of copyrights.
If you were blocking sigs, you wouldn't have to read this.
Just from a quick google search on itunes music market share:
According to Wikipedia, as of 2006 Stevie said iTunes had 88% of the market for downloadable music
According to Cnet, that percentage was 70% in 2009.
Okay so Apple appears to have market dominance in downloadable music. Confirm monopoly stamp.
Now, from the article:
"But people briefed on the inquiries also said investigators had asked in particular about recent allegations that Apple used its dominant market position to persuade music labels to refuse to give the online retailer Amazon.com exclusive access to music about to be released."
So... Amazon got first and only dibs to specific songs, thus restricting competition, and Apple is using monopoly power to tell music distributors not to do that?
*brain explodes*
I'm sure I'm going to sniff some RIAA lobbiest involvement in this once I reassemble my head.
"All great wisdom is contained in .signature files"
I miss lala.com. oh wait, its still there for a few days. If I do the same thing lala did, will Apple buy me out and shut it down?
Anybody wanna tell me again how lockdown is bad for business?
“He’s not deformed, he’s just drunk!”
It's an inquiry, NOT an investigation. An inquiry may or may not lead to an investigation.
cat
Interesting what happens when Microsoft loses the top spot.
They get lawyers to go sue other, more successful, more innovative firms.
Sore losers.
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Soooo...
Amazon was trying to work a deal where it got to sell mp3s earlier than Apple? Isn't that anti-competitive too?
Now Apple is being investigated for being anti-competitive to a competitors anti-competitiveness.
Isn't that just competition?
So now its uncompetitive for Apple to complain about other companies trying to gain an unfair advantage. Amazon's program gave Amazon a monopoly since they would be the only ones selling the tracks early. I can only imagine what a sh*t storm Amazon would throw if Borders was able to sell select books a week before them or anyone else. Personally I feel all retail exclusivity agreements should be illegal. Including Cell phones and album/tracks. The only stuff that should be "available only at wal-mart" is bad taste and bad judgment.
...as this is an anti-trust investigation against App£e and has nothing to do with Microsoft.
Please try to stay on topic, thanks.
Gentoo Linux - another day, another USE flag.
As this is how conspiracy theories start, when people not familiar with anti-trust investigations in the USA fail to understand how things work in this country.
(caveat - I have owned and worked for MSFT and owned Apple - not holding either stock at the moment)
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because they cut us out and favored the publishers.
As for their music policy, I bet the arguments over only a 30 cent spike were not as heated as many suspect, frankly I would not doubt Apple welcomed it.
* Winners compare their achievements to their goals, losers compare theirs to that of others.
apple app store lock in and it's censorship is there now!
It's interesting/ironic how Apple's marketing tactics and fanbase are oddly similar to the non-hammer-throwing crowd in this: http://www.youtube.com/watch?v=OYecfV3ubP8
apple app store lock in and it's censorship is there now!
Firstly, try to learn some English so you can write coherent sentences. Secondly, yes, the Apple "app store" censors and filters applications that Apple sells to users of Apple products. What's illegal about that? Wal-Mart isn't obligated to sell any particular brand of products. Any retail store can choose what they sell and what they don't. Why should the app store be any different?
... and then they built the supercollider.
it's iSemen
Ya know, cause I don't recall the words "trust" and "Apple" being mixed much. Apple doesn't trust anyone who isn't part of their narrowly focused ecosphere. Oh, wait . . . they mean trust as in corporations as a public good. Blurg.
I scream. You scream. I assume that means we're both acquainted with the problem. We proceed.
I'm on Apple's side here, though I'm against both Apple's arseholiness with all things i*, the DRM restrictions was FORCED on Apple and the requirements of the *AA in enforcing that DRM meant that Apple had no choice (unless they were to appeal for compulsory licensing, good luck with that...) but to be an arsehole here.
It's not so much Apple are right as that the *AA were wrong and the genesis of that wrongness in Apple.
I still would like to see the full write up for the investigation because we do not know exactly what the agreement is. But as it stand and with the comments that have been made, the point has been made. I also am sure that there are contracts that are signed at the beginning of employment that you can not transfer any trade secretes to any other employer. So what would the purpose of this agreement be between these companies. Thanks for the feed back.
Anonymous comments are as pathetic as the anonymous "sources" that contaminate gutless journalism from the New York Time
so, regulation is bullying, is this the deduction we are supposed to gleam from this ? and, its bad ?
who is going to keep the corporations in check then ? fairies ? corporations themselves ? alan greenspan, the father of that church has something to say about it :
In Congressional testimony on October 23, 2008, Greenspan acknowledged that he was "partially" wrong in opposing regulation and stated "Those of us who have looked to the self-interest of lending institutions to protect shareholder's equity — myself especially — are in a state of shocked disbelief."[37] Referring to his free-market ideology, Greenspan said: “I have found a flaw. I don’t know how significant or permanent it is. But I have been very distressed by that fact.” Rep. Henry Waxman (D-CA) then pressed him to clarify his words. “In other words, you found that your view of the world, your ideology, was not right, it was not working,” Waxman said. “Absolutely, precisely,” Greenspan replied. “You know, that’s precisely the reason I was shocked, because I have been going for 40 years or more with very considerable evidence that it was working exceptionally well.”[65] Greenspan admitted fault[66] in opposing regulation of derivatives and acknowledged that financial institutions didn't protect shareholders and investments as well as he expected.
http://en.wikipedia.org/wiki/Alan_Greenspan
also, the article misses, but this is one of the sentences he spent during the testimony : "I cant understand why corporations didnt regulate themselves"
so, timothy, are you still selling that 'regulation bully' shit to us, despite the father of that church repented himself ? or have i mistaken the tone there ?
Read radical news here
Large market share != monopoly.
Nothing stops people from buying the same songs they can get through iTunes from other sellers at comparable prices. And as the Apple-haters keep pointing out, there are plenty of cheaper mp3 players available. So you should be able to have a similar experience listening to the same songs for less money.
its all the corporations maaaaan