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Friday, Aug 2
DOJ proposes e-book remedies for Apple case
- The DOJ wants Apple (AAPL +0.3%) to terminate its existing deals with five top book publishers, and to "refrain for five years from entering new e-book distribution contracts which would restrain Apple from competing on price."
- It also wants Apple to be "prohibited from again serving as a conduit of information among the conspiring publishers," and from entering into content deals that are likely to raise competitor content prices.
- In a positive for Amazon (AMZN -0.3%) and Barnes & Noble (BKS -0.1%), the DOJ also proposes Apple allow e-book rivals to "provide links from their e-book apps to their e-bookstores" for two years. Such a requirement would give Amazon and B&N a way to sell e-books on iDevices without giving Apple a 30% cut. Amazon has been trying to avoid paying Apple via its Kindle Web apps, but that's an imperfect workaround at best.
- Previous: U.S. district judge declares Apple guilty of e-book price-fixing.