Apple, publishers conspired against $9.99 Amazon e-books, says lawsuit

[From the article: “Terrified” by Amazon’s Kindle e-reader and
discounted e-book pricing, five major publishers allegedly acted together to
increase e-book prices and compel Amazon to abandon its discount sales
strategy. That’s the gist of a new class action antitrust lawsuit filed
in the US District Court for the Northern District of California by the Hagens Berman
litigation group
. The five book sellers named in the suit are
HarperCollins, Hachette Book Group, Macmillan, Penguin Group Inc., and Simon
& Schuster Inc, plus one more defendant: Apple. … The essence of the claim
is that these publishers, in coordination with Apple, conspired to nix the low
price e-books that Amazon launched in 2007. Amazon wanted to quickly gain
market share with its Kindle, the court filing observes, the first version of
which sold out in less than a quarter of a day. And so, capitalizing on its “first
mover” advantage, Amazon sold e-books at prices conspicuously lower than
physical books—many titles were made available for $9.99. This had to be
stopped, the class action charges.]

publishers conspired against $9.99 Amazon e-books, says lawsuit

By Matthew Lasar | August