Apple Claims 20% of U.S. E-Book Market, Double Previous Estimates

[MacRumors]

Publishers Weekly reports (via paidContent) that testimony from Apple executive Keith Moerer in the ongoing e-book price fixing trial has revealed that Apple holds approximately 20% of the e-book market in the United States, roughly double many of the previous estimates made by third parties.

The government also focused on the relative success of the iBookstore asking Moerer what marketshare the store held in the months after launch (about 20% Moerer said) and what its marketshare was after several years of operation and adding Random House in 2011 (also about 20%).

Beyond the market share claim, Moerer pointed to strong growth of the iBookstore in vigorously challenging the U.S. government's assertion that Apple's e-book effort has been a failure.

The government called the iBookstore "a failure," and charged that "Apple pricing was unfair to consumers," and that "Apple sold fewer books because of the higher price caps." Moerer challenged that characterization, "I disagree. E-book sales grew 100% last year at the iBookstore and it had over 100 million customers." The government countered that "when you drop prices you sell more books," and Moerer said, "sometimes, yes."

But the government bluntly said, "Apple forgot to focus on customers that's why the iBookstore is a failure." Moerer: "that's not true."

Testimony in the case is now in its second week, with Apple senior vice president for Internet Software and Services Eddy Cue scheduled to take the stand tomorrow.

Article Link: Apple Claims 20% of U.S. E-Book Market, Double Previous Estimates

 

[Semester]

That was surprising!

The strength of the iTunes ecosystem is easy to underestimate I guess.

 

[Mac21ND]

If Apple has 20%, I'm curious who makes up the other 80% (?)

 

[segers909]

This is remarkable considering they do not sell any E-ink devices.

 

[powers74]

Sounds like they're pulling some pretty basic reverse psychology on Eddy- EDIT: sorry, Moerer- there. I can see them turning those numbers on Apple.

 

[bigcat318]

The Gov stating things as facts with no backup? You dont say.

 

[gnasher729]

But the government bluntly said, "Apple forgot to focus on customers that's why the iBookstore is a failure." Moerer: "that's not true."

WTF? It is a failure because the government claims it is a failure? That's it? Are these guys just naturally stupid or do they have to go to special training courses?

 

[HobeSoundDarryl]

Cue: "Apple should just buy the government" or "The gov is stupid bringing a case like this" (because we consumers like price fixing higher than what it would have cost for the same book from others like Amazon), and similar. Those that feel this way, please send all the money you can make for as little as nothing in return payable to Apple, Inc, 1 Infinite Loop, Cupertino, CA 95014. I'm sure they'll appreciate your donations in support of this kind of business behavior which helps the publishers at our expense and basically pressures alternate competitors like Amazon to RAISE their eBook prices.

 

[GfPQqmcRKUvP]

If Apple has 20%, I'm curious who makes up the other 80% (?)

ummm....Amazon.

 

[Boomchukalaka]

How does the government calling the iBook store a failure do anything to move forward its case against Apple? Isn't the basis of this case the negotiations that Apple had with the publishing companies? I find this case incredibly interesting in as far as that the government is going after Apple for the price of ebooks yet oil companies continue to have free reign to price gouge at every drop of the hat.

----------

WTF? It is a failure because the government claims it is a failure? That's it? Are these guys just naturally stupid or do they have to go to special training courses?

Well they are lawyers...and they do work for the government...

 

[ValSalva]

ummm....Amazon.

Exactly. I'm surprised Amazon isn't at 95%. Good to see Apple at 20% if these numbers are to be believed.

 

[Red Oak]

This government of ours is out of control. The amount of money being wasted on this trail is mind blowing

 

[writingdevil]

WTF? It is a failure because the government claims it is a failure? That's it? Are these guys just naturally stupid or do they have to go to special training courses?

It's incredibly ironic and ludicrous that the US Government is lecturing Apple on wooing and taking care of customers.

 

[Mac21ND]

Exactly. I'm surprised Amazon isn't at 95%. Good to see Apple at 20% if these numbers are to be believed.

You'll also have B&N in there as well.

 

[samcraig]

Then Amazon doesn't have a monopoly, now does it?

 

[HobeSoundDarryl]

I find this case incredibly interesting in as far as that the government is going after Apple for the price of ebooks yet oil companies continue to have free reign to price gouge at every drop of the hat.

I think Apple should get into the oil business and launch a string of Apple gas stations with gas priced at about $10/gallon. What is a gouge by existing oil companies will probably be spun into comments like "but my car is snappier when I use Apple gas" or "I've noticed a significant improvement in how my car runs with Apple gas" and probably some "Die, Exxon Die", etc.

Then, a few months later, out comes Samsung Oil with bigger screen gas pumps at about 2/3 of the price of Apple-branded gas. And of course, that will be substantially inferior gas even if Samsung is the underlying supplier to themselves and Apple's gas stations.

All

 

[kas23]

This government of ours is out of control. The amount of money being wasted on this trail is mind blowing

Yes, our government is very wasteful. But, no matter how the government acts or how Apple's high-powered lawyers spin Apple's behavior/words, it's more than highly likely Apple is guilty in this case. The evidence is overwhelming.

 

[BobVB]

This is remarkable considering they do not sell any E-ink devices.

Agreed. Any standard book that doesn't need color I buy on Amazon so I can use it on a nice cheap kindle outside, at the beach or any other high light environment where an iPad is useless.

But then there lots of people like my sister who don't even know that iPads can read kindle books.

 

[vmachiel]

I read all my books now on my retina iPad. Love it! 20% is still way higher than what I would have guessed, very nicely done Apple

 

[AppleVsAndroid]

This government of ours is out of control. The amount of money being wasted on this trail is mind blowing

When has government ever made money?
They always reach the pockets of people and by borrowing from countries like China.
Its the only job where politicians rip off money from people to get their paychecks for doing experiments on people, economy and country!

 

[HobeSoundDarryl]

This government of ours is out of control. The amount of money being wasted on this trail is mind blowing

The trial is about not allowing big companies to screw over us consumers by fixing ebook prices at higher than what they would have otherwise sold for. In other words, this is the (seeming rare) government action actually trying to do something for the people- not the huge corporations- and we're finding fault with it because one of the culprits happens to be Apple. If this was a thread about someone like Samsung or Amazon doing the same, I bet the sentiment would be substantially the other way.

 

[Plutonius]

Yes, our government is very wasteful. But, no matter how the government acts or how Apple's high-powered lawyers spin Apple's behavior/words, it's more than highly likely Apple is guilty in this case. The evidence is overwhelming.

Why don't you wait till the verdict is announced. .

----------

The trial is about not allowing big companies to screw over us consumers by fixing ebook prices at higher than what they would have otherwise sold for. In other words, this is the (seeming rare) government action actually trying to do something for the people- not the huge corporations- and we're finding fault with it because one of the culprits happens to be Apple. If this was a thread about someone like Samsung or Amazon doing the same, I bet the sentiment would be substantially the other way.

Do you work for Amazon ?

 

[theBB]

Yes, our government is very wasteful. But, no matter how the government acts or how Apple's high-powered lawyers spin Apple's behavior/words, it's more than highly likely Apple is guilty in this case. The evidence is overwhelming.

Unfortunately, not one evidence of illegal behavior has been presented. Government is adding a lot of events and anecdotes together, each which is perfectly legal, to weave a tale of illegal collision. We'll see if the jury buys it, but with all the inevitable appeals that awaits, the final outcome will not be known for a long number of years.

 

[Noctilux.95]

Why don't you wait till the verdict is announced. .

----------



Do you work for Amazon ?

Yeah, 20% of sales and 50% of the profits.

 

[Oletros]

Unfortunately, not one evidence of illegal behavior has been presented. Government is adding a lot of events and anecdotes together, each which is perfectly legal, to weave a tale of illegal collision. We'll see if the jury buys it, but with all the inevitable appeals that awaits, the final outcome will not be known for a long number of years.

There is no jury