ibooks_icon.jpgThus far in the ongoing e-book price fixing case, Apple has maintained that it was indifferent to what business model book publishers adopted with Amazon. However, an email from Steve Jobs to Eddy Cue submitted today by the U.S. Department of Justice appeared to undermine Apple's argument, according to Fortune:

“I can live with this as long as they move Amazon to the agent model too for new releases for the first year. If not, I’m not sure we can be competitive …”

Apple's chief counsel quickly noted that the email was never sent, and AllThingsD now reports that Jobs later sent a longer, more detailed email with his complete thoughts on the negotiations with book publishers.

“I can live with this, as long as they also agree to the other thing you told me you can get: The retail price they will set for any book will be the LOWER of the applicable “iTunes” price below OR the lowest wholesale price they offer the book at to anyone else, with our wholesale price being 70% of such price. For example, normally our retail price for a $26 book will be $12.99 and we will pay 70% of that, or $9.10. However, if they offer the same book to Amazon for a wholesale price of, say $12.50, then our retail price for the same book shall be set at $12.50 and we will pay 70% of that price for the book.”

The emails provide some insight into Jobs' thought process during the negotiations. The draft and final versions of the email show that Jobs initially appeared to have strong feelings on how Amazon's pricing would have to be affected, but then according to the emails' timestamps he reconsidered his position within two hours to offer a different angle and concern about the negotiations.

The testimony portion of the case is now in the second week, with Cue set to take the stand tomorrow.

Top Rated Comments

cuda12 Avatar
155 months ago
Wonder how the government got that email :/
Score: 8 Votes (Like | Disagree)
Zachari Avatar
155 months ago
E-book pricing is not a threat to national security...

It's called "a joke".
Score: 6 Votes (Like | Disagree)
appleguy123 Avatar
155 months ago
Wonder how the government got that email :/

Probably from a subpoena, which is perfectly legal.
Score: 5 Votes (Like | Disagree)
mrxak Avatar
155 months ago
Unfortunately, this is the most likely outcome.

Apple really screwed the ebook market for consumers, as well as for small retailers, many of whom went out of business.

Even if Apple disgorges all of their ebook profits, they'll still be ahead, as they used ebooks to sell hardware.

The bankrupt small retailers and consumers will get cold comfort.
Laughable assertion. Amazon drove the small retailers out of business, not Apple. Apple just entered the market for the first time having a model that could compete with Amazon's juggernaut.

Before Apple entered the market, there is no competition. After Apple entered the market, there is competition. For some reason the DoJ has a problem with this???
Score: 4 Votes (Like | Disagree)
vmachiel Avatar
155 months ago
Spoiler alert: the case closes with a sum of money being paid. Not much will change
Score: 4 Votes (Like | Disagree)
Zachari Avatar
155 months ago
Wonder how the government got that email :/

NSA + Verizon (most likely)
Score: 4 Votes (Like | Disagree)

Popular Stories

iphone 16 display

iPhone 17's Scratch Resistant Anti-Reflective Display Coating Canceled

Monday April 28, 2025 12:48 pm PDT by
Apple may have canceled the super scratch resistant anti-reflective display coating that it planned to use for the iPhone 17 Pro models, according to a source with reliable information that spoke to MacRumors. Last spring, Weibo leaker Instant Digital suggested Apple was working on a new anti-reflective display layer that was more scratch resistant than the Ceramic Shield. We haven't heard...
iPhone 17 Air Pastel Feature

iPhone 17 Reaches Key Milestone Ahead of Mass Production

Monday April 28, 2025 8:44 am PDT by
Apple has completed Engineering Validation Testing (EVT) for at least one iPhone 17 model, according to a paywalled preview of an upcoming DigiTimes report. iPhone 17 Air mockup based on rumored design The EVT stage involves Apple testing iPhone 17 prototypes to ensure the hardware works as expected. There are still DVT (Design Validation Test) and PVT (Production Validation Test) stages to...
Beyond iPhone 13 Better Blue

20th Anniversary iPhone Likely to Be Made in China Due to 'Extraordinarily Complex' Design

Monday April 28, 2025 4:29 am PDT by
Apple will likely manufacture its 20th anniversary iPhone models in China, despite broader efforts to shift production to India, according to Bloomberg's Mark Gurman. In 2027, Apple is planning a "major shake-up" for the iPhone lineup to mark two decades since the original model launched. Gurman's previous reporting indicates the company will introduce a foldable iPhone alongside a "bold"...
iphone 17 air iphone 16 pro

iPhone 17 Air USB-C Port May Have This Unusual Design Quirk

Wednesday April 30, 2025 3:59 am PDT by
Apple is preparing to launch a dramatically thinner iPhone this September, and if recent leaks are anything to go by, the so-called iPhone 17 Air could boast one of the most radical design shifts in recent years. iPhone 17 Air dummy model alongside iPhone 16 Pro (credit: AppleTrack) At just 5.5mm thick (excluding a slightly raised camera bump), the 6.6-inch iPhone 17 Air is expected to become ...
apple watch ultra yellow

What's Next for the Apple Watch Ultra 3 and Apple Watch SE 3

Friday April 25, 2025 2:44 pm PDT by
This week marks the 10th anniversary of the Apple Watch, which launched on April 24, 2015. Yesterday, we recapped features rumored for the Apple Watch Series 11, but since 2015, the Apple Watch has also branched out into the Apple Watch Ultra and the Apple Watch SE, so we thought we'd take a look at what's next for those product lines, too. 2025 Apple Watch Ultra 3 Apple didn't update the...
iPhone 17 Pro Blue Feature Tighter Crop

iPhone 17 Pro Launching Later This Year With These 13 New Features

Wednesday April 23, 2025 8:31 am PDT by
While the iPhone 17 Pro and iPhone 17 Pro Max are not expected to launch until September, there are already plenty of rumors about the devices. Below, we recap key changes rumored for the iPhone 17 Pro models as of April 2025: Aluminum frame: iPhone 17 Pro models are rumored to have an aluminum frame, whereas the iPhone 15 Pro and iPhone 16 Pro models have a titanium frame, and the iPhone ...
AirPods Pro 3 Mock Feature

AirPods Pro 3 Just Months Away – Here's What We Know

Tuesday April 29, 2025 1:30 am PDT by
Despite being more than two years old, Apple's AirPods Pro 2 still dominate the premium wireless‑earbud space, thanks to a potent mix of top‑tier audio, class‑leading noise cancellation, and Apple's habit of delivering major new features through software updates. With AirPods Pro 3 widely expected to arrive in 2025, prospective buyers now face a familiar dilemma: snap up the proven...
iPhone 17 Pro on Desk Feature

All iPhone 17 Models Again Rumored to Feature 12GB of RAM

Tuesday April 29, 2025 3:36 am PDT by
All upcoming iPhone 17 models will come equipped with 12GB of RAM to support Apple Intelligence, according to the Weibo-based leaker Digital Chat Station. The claim from the Chinese leaker, who has sources within Apple's supply chain, comes a few days after industry analyst Ming-Chi Kuo said that the iPhone 17 Air, iPhone 17 Pro, and iPhone 17 Pro Max will all be equipped with 12GB of RAM. ...