Quote:
Originally Posted by DiapDealer
You seem to be implying that illegal collusion and price fixing was the publishers' only alternative here. Even if that were true, I can't see how it matters.
|
Agency pricing
is pretty much their only alternative.
Publishers can't offer Apple or Fictionwise better wholesale terms on any basis other than volume, due to the Robinson-Patman Act.
Publishers setting prices isn't illegal -- any more than it would be illegal for an author and self-publisher to specify a price at Smashwords or B&N. What may be illegal here is the collusion, i.e. publishers getting together and saying "we need to fix Amazon's wagon," and offering one retailer (Apple) a "most favored nation" status.
That's why Random House was not targeted by the DoJ, because they (in theory) independently chose, months after the other publishers, to adopt agency pricing. The DoJ also specified that agency pricing can continue -- as long as they get rid of the "most favored nation" status.
Amazon's aggressive pricing or soon-to-be-reinstated monopoly aren't necessarily illegal either. That doesn't mean it was a good idea for the DoJ to hand Amazon control of the ebook market on a silver platter.