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Amazon (AMZN) could be the big winner from the DOJ's suit against Apple (AAPL) and 5 top...

Amazon (AMZN) could be the big winner from the DOJ's suit against Apple (AAPL) and 5 top publishers, says Jeff Roberts. The suit could once more grant Amazon the power to determine e-book pricing, which means it could aggressively price them to boost Kindle demand. However, publishers would lose if consumers become accustomed to lower e-book prices, thereby threatening their high margins. As for Apple, the issue is a sideshow.
Comments (6)
  • Oceanstats
    , contributor
    Comments (63) | Send Message
    Wait, AAPL can't determine e-book pricing but Amazon (who holds market share on e-books) can? BO didn't like that AAPL wouldn't play ball with him last year and sent his crony Holder to harass them.
    8 Mar 2012, 05:44 PM Reply Like
  • SA Editor Eric Jhonsa
    , contributor
    Comments (753) | Send Message
    I think any settlement that allowed Amazon to determine e-book pricing would allow Apple and other competitors to do the same.
    8 Mar 2012, 05:51 PM Reply Like
  • montanamark
    , contributor
    Comments (1434) | Send Message
    Just a thought - why not let the market and private business set pricing. Why is the federal government involved at all. There is no violation of law or price collusion or "fixing."
    8 Mar 2012, 06:25 PM Reply Like
  • tigersam
    , contributor
    Comments (1711) | Send Message
    These company will never loose. I still remembered my cable bill was $10 month, then government got involved. Now I am paying over $100. I think I am paying tax over $10 now.
    8 Mar 2012, 06:27 PM Reply Like
  • scott trader
    , contributor
    Comments (4529) | Send Message
    apple shrugging claim off as verbal mumbo jumbo
    8 Mar 2012, 11:37 PM Reply Like
  • krk
    , contributor
    Comments (821) | Send Message
    Why do publishers need a middleman like Apple or Amazon to distribute eBooks since this is a product so well suited for internet’s nirvana of “disintermediation”?


    Why bother with agency model, wholesale model etc. when all that is needed is a platform to host the content, manage DRM, process payment and advertise/promote etc.. the kind of stuff which fits Google's biz model of an advertising portal and also dovetails with Facebook's monetization efforts. The publishers and authors could even establish their own collaborative eBook portal and simply pay commissions to sales coming from affiliate's referral links.


    To that end, the publishing industry should get behind an open format like ePub and encourage the availability of commodity e-reader devices.
    9 Mar 2012, 01:09 AM Reply Like
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