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I guess it is the capitalist in me that doesn't really get what Apple was doing wrong by trying to set higher eBook prices with the major publishers.
by smallegan 13y ago
I guess it is the capitalist in me that doesn't really get what Apple was doing wrong by trying to set higher eBook prices with the major publishers.
- felipeko 13y agoI don't think there's a problem with Apple selling for eBooks more on their store. The problem is they forced everybody to sell for more on other stores.
- smallegan 13y agoThey didn't really force them to, they said if you want to be in our store, you can't charge less elsewhere. The publishers all could have said no, right?
- revelation 13y agoWell, but they didn't. Of course you can only have a cartel if you have all major players onboard.
- josephlord 13y agoThis bit is the one that struck me as legally shaky. 2. All the major publishers tell us that Amazon’s $9.99 price for new releases is eroding the value perception of their products in customer’s minds, and they do not want this practice to continue for new releases. [Edit to add: This section implies a collective (amongst competitors) view/wish to shift prices being communicated by Apple. It isn't proof of illegal action but it doesn't look good and if there are other communications indicating how Apple acquired the understanding of the industry view they may be in trouble.]
- _lex 13y agoIt's a digital good (so marginal cost is zero). Price floors are the only thing stopping the average price from falling to zero. This means that an apple-imposed price floor is enticing. However, apple can always remove the price floor once they have enough inventory to make their market appealing.
- wavefunction 13y agoTo zero? Maybe asymptotically as time progresses...