The Department of Justice Recommends Apple Price-Fixing Remedies
The United States Department of Justice has recommend a series of remedies in response to Apple’s conviction for colluding with publishers to fix the prices of ebooks. If approved by the court, Apple will have to cancel all existing deals with publishers, and for five years would be unable to enter into “most favored nation” agreements that bar it from competing on price. Apple would also be disallowed from being a conduit for communication between publishers, or threatening publishers who charge lower prices at other retailers. More drastically, Apple would be restricted from any arrangement that would cause the price of any media, including ebooks, music, and movies, to rise, and for two years Apple would have to allow competing book retailers, such as Amazon and Barnes and Noble, to link to their own bookstores in their own apps. Finally, Apple would be required to hire a monitor to ensure that they comply with the DOJ’s recommendations.