The figure is in for how much Apple Inc might have to pay to consumers to settle charges of conspiring with publishers to raise e-book prices: US$400 million.
Apple last month agreed to settle a class action brought by US attorneys general in 33 states. They had sought hundreds of millions of US dollars in damages from Apple, claiming it had colluded with book publishers to inflate e-book prices. The class action was certified after Apple lost an antitrust suit brought by the US Justice Department in 2012.
The government had accused Apple of working with the publishers to raise prices of e-books so they could break free from the uniform US$9.99 pricing that Amazon had set for new e-book releases.
The amount Apple would actually have to pay in the class action depends on the outcome of Apple’s appeal in the antitrust suit. If Apple wins the appeal, it could pay nothing.
Five major publishers, including Hachette Book Group, Simon & Schuster and HarperCollins, had also been named in the government’s antitrust suit, but they settled before the trial. The judge presiding over the case, Denise Cote of the US District Court in Manhattan, rendered a guilty verdict last summer.
New York Attorney General Eric Schneiderman said on Wednesday that the settlement reached with Apple was a victory for consumers.
“This settlement proves that even the biggest, most powerful companies in the world must play by the same rules as everyone else,” he said in a statement. “In a major victory, our settlement has the potential to result in Apple paying hundreds of millions of dollars to consumers to compensate them for paying unlawfully inflated e-book prices. We will continue to work with our colleagues in other states to ensure that all companies compete fairly with the knowledge that no one is above the law.”
Apple, in a statement, maintained its innocence and said it was still fighting the accusations through the appeal.
“We did nothing wrong and we believe a fair assessment of the facts will show it,” Apple spokeswoman Kristin Huguet said.
“The iBooks Store has been good for consumers and the publishing industry as a whole, from well-known authors to first-time novelists. As we wait for the court to hear our appeal, we have agreed to a settlement, which is contingent on the outcome of the appeal. If we are vindicated by the appeals court, no settlement will be paid,” she added.
Meanwhile, the publishing industry continues to feel pressure from Amazon, which is by far the biggest retailer in e-books.
The latest struggle between publishers and Amazon became public in May. Amazon had sought concessions on book sales from Hachette, the fourth-largest publisher, which the publisher was unwilling to give. So Amazon sought to get its way by delaying delivery of Hachette books.
MULTIFACETED: A task force has analyzed possible scenarios and created responses to assist domestic industries in dealing with US tariffs, the economics minister said The Executive Yuan is tomorrow to announce countermeasures to US President Donald Trump’s planned reciprocal tariffs, although the details of the plan would not be made public until Monday next week, Minister of Economic Affairs J.W. Kuo (郭智輝) said yesterday. The Cabinet established an economic and trade task force in November last year to deal with US trade and tariff related issues, Kuo told reporters outside the legislature in Taipei. The task force has been analyzing and evaluating all kinds of scenarios to identify suitable responses and determine how best to assist domestic industries in managing the effects of Trump’s tariffs, he
‘SWASTICAR’: Tesla CEO Elon Musk’s close association with Donald Trump has prompted opponents to brand him a ‘Nazi’ and resulted in a dramatic drop in sales Demonstrators descended on Tesla Inc dealerships across the US, and in Europe and Canada on Saturday to protest company chief Elon Musk, who has amassed extraordinary power as a top adviser to US President Donald Trump. Waving signs with messages such as “Musk is stealing our money” and “Reclaim our country,” the protests largely took place peacefully following fiery episodes of vandalism on Tesla vehicles, dealerships and other facilities in recent weeks that US officials have denounced as terrorism. Hundreds rallied on Saturday outside the Tesla dealership in Manhattan. Some blasted Musk, the world’s richest man, while others demanded the shuttering of his
TIGHT-LIPPED: UMC said it had no merger plans at the moment, after Nikkei Asia reported that the firm and GlobalFoundries were considering restarting merger talks United Microelectronics Corp (UMC, 聯電), the world’s No. 4 contract chipmaker, yesterday launched a new US$5 billion 12-inch chip factory in Singapore as part of its latest effort to diversify its manufacturing footprint amid growing geopolitical risks. The new factory, adjacent to UMC’s existing Singapore fab in the Pasir Res Wafer Fab Park, is scheduled to enter volume production next year, utilizing mature 22-nanometer and 28-nanometer process technologies, UMC said in a statement. The company plans to invest US$5 billion during the first phase of the new fab, which would have an installed capacity of 30,000 12-inch wafers per month, it said. The
Taiwan’s official purchasing managers’ index (PMI) last month rose 0.2 percentage points to 54.2, in a second consecutive month of expansion, thanks to front-loading demand intended to avoid potential US tariff hikes, the Chung-Hua Institution for Economic Research (CIER, 中華經濟研究院) said yesterday. While short-term demand appeared robust, uncertainties rose due to US President Donald Trump’s unpredictable trade policy, CIER president Lien Hsien-ming (連賢明) told a news conference in Taipei. Taiwan’s economy this year would be characterized by high-level fluctuations and the volatility would be wilder than most expect, Lien said Demand for electronics, particularly semiconductors, continues to benefit from US technology giants’ effort
RSS