FILE – In a Friday, June 7, 2013 file photo, a sign displays the Apple logo outside of the company’s headquarters in Cupertino, Calif. A federal judge ruled Wednesday, July 10, 2013 that Apple Inc. broke antitrust laws and conspired with publishers to raise electronic book prices, citing “compelling evidence” from the words of the late Steve Jobs. U.S. District Judge Denise Cote said Apple knew that no publisher could risk acting alone to try to eliminate Amazon.com’s $9.99 price for the most popular e-books so it “created a mechanism and environment that enabled them to act together in a matter of weeks to eliminate all retail price competition for their e-books.”Apple spokesman Tom Neumayr said the Cupertino, California-based company planned to appeal. (AP Photo/Marcio Jose Sanchez, File)
NEW YORK (AP) — Apple Inc. milked the popularity of its iTunes store to form an illegal cartel with publishers to raise electronic book prices, a federal judge decided in a case swayed by the words of the late Steve Jobs.
Wednesday’s ruling by U.S. District Judge Denise Cote in Manhattan sided with government regulators’ contention that Apple joined five major book publishers to gang up Amazon.com in a price-fixing conspiracy that caused consumers to pay more for electronic books.
Determined to protect one of the world’s most beloved brands, Apple has steadfastly denied it did anything wrong, even as the book publishers involved in the case settled to avoid a trial. Apple didn’t waver from its insistence of innocence after Cote drew an unflattering portrait of the iPhone and iPad maker in her 160-page ruling.
The Cupertino, Calif., company vowed to appeal the decision, extending a legal odyssey that could wind up in the U.S. Supreme Court.
It’s unclear whether the initial outcome will have a dramatic impact on the pricing of e-books, which continue to Login to read more