ibooks-iconAccording to a letter filed in the Southern District Court of New York, Apple has reached an out-of-court settlement with both class action lawyers and state district attorneys over e-book price-fixing, reports Bloomberg.

Settlement details remain sealed and must be approved by the court. If approved, this agreement will end litigation ahead of a potentially costly damages trial that was slated to begin July 14. Apple faced more than $800 million in damages in this class-action antitrust lawsuit involving both consumers and states.

Steve Berman, a lawyer representing the plaintiffs, said by phone that all the U.S. attorneys general and consumers settled the case. Berman said he filed a memorandum of understanding with the court under seal, which prevents him from describing the agreement.

In an earlier decision, Apple was found guilty of conspiring to fix e-book prices in a lawsuit brought by the U.S. Department of Justice. As part of its preparations for launching the iBookstore alongside the iPad in 2010, Apple sought to weaken Amazon's hold on the industry and change the business model that governed the sale of e-books, an effort that resulted in higher prices for consumers. Apple filed an appeal in that case earlier this year.

Top Rated Comments

John.B Avatar
90 months ago
All while Amazon wields complete monopoly power in the bookseller world. Unbelievable....
Score: 7 Votes (Like | Disagree)
redscull Avatar
90 months ago
But book prices have not changed. Amazon still sells books as a loss lead at the author/publisher's expense, and iBooks are still MSRP sticker priced. This whole thing accomplished nothing but putting money in lawyer's pockets.
Score: 5 Votes (Like | Disagree)
Rocketman Avatar
90 months ago
Apple sought to weaken Amazon's hold on the industry and change the business model that governed the sale of e-books, an effort that resulted in higher prices for consumers. Apple filed an appeal in that case earlier this year.
As a publisher who sets a firm wholesale price on the books I publish I welcomed the agency model Apple proposed. It "raised prices to consumers" by protecting "copyright owners' rights to set wholesale prices to above cost".

Amazon wanted to sell loss leader products and transfer the cost reductions to copyright owners and not compensate them for their work since under the Amazon model the owner gets a percentage of actual sale price, even if it is $1 or $0.

That's a ripoff.

The fact they exploited a wrinkle in regulator attitudes (not written down) and thus gave civil plaintiffs a foothold based on the arbitrary and monologue rulings of regulators, means this country, in fact, does not operate under the rule of law.

It's also an example of the majority squashing the minority.

Rocketman

cite (pdf):
http://www.v-serv.com/usr/ATFE-03-16-09.pdf
Score: 4 Votes (Like | Disagree)
fredaroony Avatar
90 months ago
Ok I give up. Sorry I wasted your time. It's my poor English that leads me to raw and rough simplifications. Bye.
Apple clearly was in the wrong in this case and the fact that posters in here are arguing keeping prices higher for the consumers isn't a negative is inane.
Score: 3 Votes (Like | Disagree)
FakeWozniak Avatar
90 months ago
Glad this is out of the way, it was a slam dunk, they clearly did conspire to keep prices high, the evidence is clear for everyone to see except those who dont want to.

Amazon kept (and keeps) book prices low, people talk about a "monopoly" but it patently isn't, there are numerous places to buy books from, online or in print. The only monopoly (or to be accurate oligopoly) was the conspiracies of a handful of major publishers and Apple to keep prices high.
The only thing the "conspirators" did was enact an agency model which keeps vendors like Amazon from instituting aggressive "loss leaders". These below-cost prices which would eventually turn into predatory contract negotiations like we have now with Hatchette and Time Warner.

And it's not over for either Apple or Amazon.
Score: 3 Votes (Like | Disagree)
sofila Avatar
90 months ago
I'm not feeling shortsighted. I look beyond the names involved, I see a company found guilty for fixing ebook prices (raising prices for final consumers). I see the same company reaching out of court settlements. And I see some guys trying to explain me that an higher price was better in the end. I live on another planet, different from yours.
Score: 2 Votes (Like | Disagree)

Top Stories

prosser macbook air colors stacked

Images Reveal Colorful New MacBook Air Design

Tuesday May 11, 2021 5:06 am PDT by
Apple's next MacBook Air will feature a completely new design and come in a range of colors like the 24-inch iMac, according to leaker Jon Prosser, who has now released supposedly accurate renders of the new machines based on leaked images. In a new video uploaded to YouTube channel Front Page Tech, Prosser elaborated on his previous prediction that Apple's next-generation MacBook Air models ...
iPhone 13 Camera Backs

iPhone 13 Models Will Be Slightly Thicker and Will Have Larger Camera Bumps

Monday May 10, 2021 10:41 am PDT by
Apple's upcoming iPhone 13 models will be slightly thicker than the iPhone 12 models and will also feature larger, thicker camera bumps with lenses that protrude less, according to iPhone 13 schematics seen by MacRumors. The new iPhone 13 and 13 Pro models are expected to feature a thickness of 7.57mm, up from 7.4mm in the iPhone 12 models. That's an increase of 0.17mm, which won't be hugely ...
m1 ipad pro chip

M1 iPad Pro Over 50% Faster Than Previous Generation in Early Benchmarks

Tuesday May 11, 2021 11:56 am PDT by
Last month, Apple introduced a new iPad Pro with the same M1 chip found in the latest Macs, and early benchmark results indicate that the M1 iPad Pro is over 50% faster than the previous-generation iPad Pro. Based on five legitimate Geekbench 5 results (here's the fifth) for the fifth-generation 12.9-inch iPad Pro with the M1 chip, the device has average single-core and multi-core scores of...
3d printed airtag case siri remote

3D-Printed Case Lets You Attach an AirTag to Your Apple TV Remote

Monday May 10, 2021 8:11 am PDT by
Apple recently released a redesigned Siri Remote with a physical clickpad, but if you have an original Siri Remote laying around that you still plan on using, you may be interested in getting an AirTag case for the remote. Etsy user PrintSpiredDesigns has capitalized on the opportunity with a new 3D printed, made-to-order AirTag case for the original Siri Remote. The remote slides into the...
airtag hacked

AirTag Successfully Hacked to Show Custom URL in Lost Mode

Monday May 10, 2021 1:52 am PDT by
The inevitable race to hack Apple's AirTag item tracker has reportedly been won by a German security researcher, who managed to break into the device's microcontroller and successfully modify its firmware. Yesss!!! After hours of trying (and bricking 2 AirTags) I managed to break into the microcontroller of the AirTag! 🥳🥳🥳/cc @colinoflynn @LennertWo pic.twitter.com/zGALc2S2Ph— stacksmashing ...
iPad Pro Feature

Early M1 iPad Pro Orders Now Preparing to Ship

Tuesday May 11, 2021 9:41 am PDT by
Apple will soon ship out 11 and 12.9-inch M1 iPad Pro models, according to multiple Twitter users and MacRumors readers who have seen their orders shift to "Preparing to Ship" status. So far, we haven't seen any shipment notifications, but that's the next step and is likely to happen in the near future. Apple has not provided an exact delivery date to those who ordered a new M1 iPad Pro, but ...
maxresdefault

Video: Make Your iPhone Last Longer With These Battery Preserving Tips

Monday May 10, 2021 1:23 pm PDT by
Maximizing battery life is something that many iPhone users deal with on a regular basis as we all want our iPhones to last as long as possible. Sometimes there are bugs in iOS that make the battery drain faster, and sometimes we just need to eke out as much as possible on a long day out and about. Subscribe to the MacRumors YouTube channel for more videos. In our latest YouTube video, MacRumo...
Apple 5G Modem Feature

Kuo: Apple-Designed 5G Modem May Debut in iPhones as Early as 2023

Sunday May 9, 2021 10:02 pm PDT by
Apple plans to adopt its own custom-designed 5G baseband chip starting with the 2023 iPhones, meaning it'll no longer need to rely on Qualcomm to supply the 5G cellular modem for the iPhone, Apple analyst Ming-Chi Kuo said today in an investors note obtained by MacRumors. According to Kuo, Apple plans to include its own custom-designed 5G baseband chip starting with the launch of the 2023...
tracking disabled ios 14 5

Analytics Suggest 96% of Users Leave App Tracking Disabled in iOS 14.5

Friday May 7, 2021 1:51 am PDT by
An early look at an ongoing analysis of Apple's App Tracking Transparency suggests that the vast majority of iPhone users are leaving app tracking disabled since the feature went live on April 26 with the release of iOS 14.5. According to the latest data from analytics firm Flurry, just 4% of iPhone users in the U.S. have actively chosen to opt into app tracking after updating their device...
macos big sur ios 14 iphone 12 pro macbook air icloud drive desktop documents hero

Apple Merging 'iCloud Documents and Data' Service With iCloud Drive in May 2022

Tuesday May 11, 2021 2:36 am PDT by
Apple plans to merge its iCloud Documents and Data service with iCloud Drive starting in May of 2022, according to a support document published late last week (via MacGeneration). iCloud Drive and iCloud Documents and Data share the fundamental ability to backup data from apps. However, iCloud Documents and Data was often a cumbersome, confusing experience. In contrast, iCloud Drive is more...