Agency pricing war of words heats up

A recent news article by paidContent.org reporting on the ongoing Attorney General investigation into Apple and the Big Five publishers’ conspiracy to fix the price of ebooks, as well as an ongoing civil class action suit, suggests a war of leaked words is the latest strategy to force a settlement. However, what is missing from these articles is that the act that triggered agency pricing — the decision by Amazon to sell ebooks at a loss — is also illegal. Called predatory pricing, it is illegal for a retailer to Read More …

Lawsuit and investigations challenge agency pricing

In The Global Indie Author I discuss the history of agency pricing and conclude that in the U.S. a legal challenge to agency pricing is inevitable; it is already under investigation in the UK. Critics maligned this assumption, arguing that what happens in Europe has no bearing on the U.S. This ignores the mechanics of a global economy, and it also ignores how Apple has attempted to circumvent an individual country’s sovereignty to dictate its consumer laws: Apple’s contract forces price parity across international jurisdictions. It comes as no surprise Read More …