Apple's Aggressive Online Music Tactics Bring U.S. Government Antitrust Inquiry

Daily Tech ^

[Thurston_Howell_III]

Over the last two decades, antitrust regulators in the U.S. and Europe have imposed fines and restrictions on Microsoft and Intel to try to prevent them from abusing their dominant position in several markets. However, they have cast a largely blind eye on Apple's iTunes -- until now.

Antitrust investigators with the U.S. Department of Justice are conducting an extensive inquiry into Apple's online music business, interviewing Apple employees, internet music company employees, and music label employees according to the New York Times. At the core of the investigation is the allegation that Apple applied pressure to force music labels not to grant Amazon.com access to exclusive tracks to help grow the online retailer's fledgling music market.

[Thurston_Howell_III]

The new investigation is at least the fourth antitrust inquiry into Apple. The U.S. government is also investigating Apple, Palm and others to see whether the companies illegally agreed not poach each others' employees (Apple's CEO Steven P. Jobs secretly suggested such a truce, which appears to be illegal). The government is also investigating Apple's ban on Flash for the iPhone or iPad and its decision to block out ports of Flash titles to native iPhone code. And there's also a pending investigation about whether board members serving on both Apple's and Google's boards violated antitrust laws.

[thulldud]

Uh-oh, somebody must have forgotten to “contribute”.

[Ingtar]

Banning Flash for the iStuff is not something the government should investigate. Blocking the ports of these applications is screwy, unless they leave an out for those doing so with the owner of the Flash version. The others appear to actually be interstate commerce! After applying it to everything else under the sun, are they closer to getting it correct?

[driftdiver]

how about investigating the cell phone companies for price fixing?

[LS]

So, lessee: if Apple actually competes for the thieving, illegal downloading business, they are in “restraint of trade.” LOL.

[DesertRhino]

“Uh-oh, somebody must have forgotten to “contribute”.”

Bada Bing! We have a winner,,

[Thurston_Howell_III]

Let Apple enjoy the same legal hurdles Microsoft had to face. Welcome to the big leagues Apple!

[LS]

Sorry, you won’t get me Apple bashing. Nor did it side with the gubment vs. Microsoft. But one foolish act doesn’t justify another.

[Thurston_Howell_III]

Nothing to bash, if they are breaking the law they need to be held accountable.

[dennisw]

The Cupertino Communist Cadre has to be reined in. But they have lots o DC connections and lobbyists unlike Microsoft back then. Bill Gates had only disdain for DC//

[LS]

Since I don’t believe that any of the antitrust laws are lawful, I don’t care if they break the law.

[PreciousLiberty]

“The Cupertino Communist Cadre has to be reined in.”

Yeah, those communists are well known for monopolistic practices... I believe the term is “capitalist”.

Apple is the third highest US company in market cap, behind Exxon and Microsoft - don’t mess with success. It’s hard to argue that 99 cent music is hurting the consumer when the record companies wanted that number to be higher!