Apple Found Guilty of Conspiring to Fix Prices in E-Book Trial [Updated]

Discussion in 'MacRumors.com News Discussion' started by MacRumors, Jul 10, 2013.

  1. macrumors bot

    MacRumors

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    Reuters briefly reports that a U.S. federal judge has found Apple guilty of price fixing in the lawsuit brought by the U.S. Department of Justice and state governments.
    The government had argued that Apple served as a "ringmaster" in conspiring with publishers to raise prices of e-books as part of an effort to change the business model of the industry and weaken Amazon's dominant position in the market. All of the publishers ultimately settled the case, but Apple fought to the end, insisting that it could not admit to doing something it did not do.

    A separate trial will need to be held in order to determine damages to be levied against Apple.

    We've uploaded the full 160-page decision by Judge Denise Cote for those interested in reading more.
    Update 7:13 AM: Unsurprisingly, Apple has announced that it will appeal the decision.
    Article Link: Apple Found Guilty of Conspiring to Fix Prices in E-Book Trial [Updated]
     
  2. macrumors 603

    Michaelgtrusa

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  3. macrumors newbie

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    #3
    Really? I thought that case was starting to really slide Apples way...
     
  4. macrumors demi-god

    maelstromr

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  5. macrumors 68020

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  6. macrumors 65816

    MacSince1990

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  7. macrumors regular

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    #7
    I always felt it was pretty clear that Apple was guilty.
     
  8. macrumors 6502

    Boston007

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    #8
    A win for the consumer

    Excellent!

    A win for the consumer!
     
  9. macrumors 6502a

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    #9
    This was OBVIOUS after the email from Jobs was released. I am not typically a fan of the word "greedy" to describe companies since they are in business to make money. Unfortunately Apple takes it to a new level, but they have been successful at it.

    My guess is that they will pay less than they already paid their counsel.
     
  10. macrumors G5

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    #10
    If you looked at the evidence (emails, time and date stamps, sequence of events, etc) there was little to no doubt this would not end well for Apple.
     
  11. macrumors 6502

    street.cory

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  12. macrumors 68040

    Gasu E.

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    #12
    Unfortunate. A victory for Amazon in its quest for world domination.
     
  13. pmz
    macrumors 68000

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    #13
    Yes, they did it. For a good reason.

    Sometimes you have to take a stand to do what's right, even if you get in "trouble".

    BTW, is anyone else sick of all this silly posturing of legal system against Apple? What is the point of all this? Besides making a few rich lawyers richer?

    So what if Apple is levied a fine for, say, $20,000,0000. That would EXORBITANT, and yet would have no effect on anything. Apple would argue it down, cut a check, and everyone would move on.
     
  14. macrumors 68040

    Gasu E.

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    #14
    A win for the consumer, up until the point at which Amazon finishes driving out any and all competition.
     
  15. macrumors regular

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    #15
    I don't think Apple really had a chance. You can't fight the government
     
  16. macrumors 68040

    ValSalva

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    #16
    So this is the end of companies being able to hammer out deals behind the scenes. I guess companies collaborating is going to be a thing of the past :confused:
     
  17. macrumors member

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    #17
    If I were Apple right now I'd be talking to my accounting department to determine how to compensate for whatever fine they get by no longer going beyond the bare minimum for US tax and copying the model they use in the rest of the world to dodge tax laws, at least until they recover the value of the fine (which I imagine will be large).
     
  18. macrumors regular

    napabar

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    #18
    Where did she get her law degree at? Night School with Luis Tully?

    A publisher setting the price for an eBook in the iBookstore is no different than me, as a developer, setting the price for my app in the App Store.

    #EpicFail
     
  19. macrumors 6502

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    #19
    Frankly, from what was reported, it looked like the government's case was falling apart - especially based on the testimony of execs from other companies. Very surprised at the decision.

    --DotComCTO
     
  20. macrumors 6502

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    #20
    In the end Apple is still just another corporation.
     
  21. macrumors 6502

    Boston007

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    #21
    Sure you can. The government has lost many cases.

    It was blatantly obvious what Apple was doing.
     
  22. macrumors regular

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    #22
    I chalk this up to "evil company theory", ie companies are evil and steal dollars out of your wallet. Lets sue over that!
     
  23. macrumors regular

    napabar

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    #23

    No it wasn't.
     
  24. macrumors 6502

    Boston007

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    #24
    That's because what's reported is never the full details of what goes on inside the trial.
     
  25. macrumors 6502a

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    #25
    GOOD!

    Excellent news. I doubt the damages will be that bad for Apple and I don't really want to see them punished but what they did was setting a dangerous precedent and it is good to see that corrected.

    I was an avid Kindle user at the time that Apple introduced iBooks and their purchasing model and I remember quite clearly the outrage it caused me and many others on Amazon's discussion boards that all of a sudden ebook prices almost uniformly were hiked for kindle users even though we weren't participating in anyway in anything to do with Apple. It felt really wrong and I'm glad the judge agrees.

    Damage is still probably already done though. I shop around for ebooks these days since I got a tablet (no more being locked to my kindle) and ebook prices are almost always set by the publisher and exactly the same for all stores. Sigh...
     

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