CEO DATELINE - Authors, booksellers ask Supreme Court to overturn Apple ruling
CEO DATELINE - Authors, booksellers ask Supreme Court to overturn Apple ruling
- December 4, 2015 |
- Walt Williams
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Two organizations representing authors and booksellers want the U.S. Supreme Court to overturn a lower court ruling finding that Apple conspired to fix e-book prices. A major part of their argument is that the business deal is needed to protect the publishing industry from Amazon.com.
The Authors Guild and American Booksellers Association joined Barnes & Noble and a coalition of authors in filing an amicus brief in support of Apple's appeal of the ruling, Publishers Weekly reported. The case involves allegations the tech giant conspired with five major publishers to fix e-book prices. A district judge concluded in 2013 that the company had done just that, and a federal appeals court upheld the decision in June.
In their amicus brief, the Authors Guild and ABA argue the deal Apple struck actually increased competition in the marketplace. They specifically pointed to Amazon, which has been accused of setting prices so low the company takes a loss on the sale of new releases and bestsellers. Critics argue it is a business strategy meant to drive competitors out of business, giving Amazon a near-monopoly on e-book sales.
"With a 90 percent market share, nearly every customer who wanted to purchase an e-book had to do so through Amazon," the brief states. "Amazon could exercise this power to suppress specific publishers, authors, or messages with which it disagreed, with impunity. It also could steer the culture toward the ideas it valued."
The group also referenced Amazon's fights with two publishers, Macmillan and Hachette. In both cases, the company pulled e-books from both publishers from its website because Macmillan and Hachette wanted more control over how such content was priced.
"Amazon could, and in fact did, cut off access to certain e-books, leaving many consumers with no practical way to purchase them," the groups said.
The U.S. Department of Justice, which brought the case against Apple, has yet to file an opposition brief against the company's appeal. http://bit.ly/1QYS1PI
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