Penguin has reached a comprehensive agreement with the US State Attorneys General and private class plaintiffs to pay $75 million in consumer damages plus costs and fees to resolve all antitrust claims relating to eBook pricing.
Penguin has also committed to the State Attorneys General to abide by the same injunctive relief as previously agreed in a separate settlement with the Department of Justice.
In anticipation of reaching this agreement, Pearson had made a $40 million provision for settlement in its 2012 accounts. An incremental charge will be expensed in Pearson’s 2013 statutory accounts as part of the accounting for the Penguin Random House joint-venture.
“Apple is expected to go to court to defend itself against an antitrust lawsuit from the Justice Department that accuses it of colluding with five major publishers to set e-book prices,” Julie Bosman reports for The New York Times. “The trial is scheduled to begin on June 3 in Federal District Court in New York.”
Full article here.
MacDailyNews Take: Killing real competition for the appearance of competition is just plain stupid.
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I hear about “settlements” with government all the time. Does anyone know if the settlements really get paid? If so, who’s pocket?
The DOJ pockets the money they strong-armed from businesses. Another greedy government scam. “Don’t steal. The government doesn’t like the competition.”
Penguin has no cajones. Apple does!
Yet another wingnut talking-points misinformed statement.
The fines and penalties the DoJ collects go to two places:
Fines from convictions of federal crimes mostly go into the Crime Victims Fund that pays state-run victim assistance and compensation programs.
Penalties not involving a conviction mostly go directly to the Treasury.
That is a lot of money, no matter how it’s offset
Apple should have to pay double this, at least. They should be nailed for their monopolistic practices.
If you knew what a monopoly was your response would be even funnier.
Renaldo, I suggest that you look up definitions of monopoly before you make yourself look an even bigger fuckwit.
If Apple ran a monopoly, then how exactly, am I able to procure ebooks from at least half-a-dozen different sources?
I have four ereader apps, simply because books that I wanted could only be obtained through a specific reader, like Bluefire, due to Adobe DRM. That should be clear even to as slow a mammal as you!
> $75 million in consumer damages
of which the consumers themselves won’t see a penny……
Apple will prevail in facts but still lose the case.
The government, Justice Department, can’t be seen losing a case like this. They have already found Apple guilty or they would not press it like this. Now they just have to drive over Apple and enforce their will.
Apple might have to fork up some money for this but will go down with their flag high insisting that they are innocent which I believe they are.
Justice Department should go after Amazon for destroying an entire industry.