DOJ suing Apple over ebooks.

[kennyc]

Originally Posted by cfrizz

At which time or probably before then, the DOJ will promptly go after them and put a stop to it!

No business has been allowed to monopolize in decades, why do you insist on thinking that Amazon will be able to do so when no other big company including Microsoft has been able to pull it off?

One thing I pretty sure of, is that Jeff Bezos knows how to attract customers with the services Amazon offers and with excellent customer service which is a HUGE draw for people.

I seriously doubt he would then shoot himself in the wallet by biting the millions of hands that feed him not only for books but for everything else under the sun.

Again you under estimate consumers, if Amazon decided that since they are the biggest game in town to start raising ebook prices up the wazoo, they risk not only losing those ebook purchases, but all the other purchases those ebook buyers buy!

Exactly.

It's all about customer service: http://www.forbes.com/sites/georgean...inside-amazon/

[OtterBooks]

"In a civil antitrust lawsuit, the Justice Department alleged that CEO's of the publishing companies met regularly in private dining rooms of upscale Manhattan restaurants to discuss how to respond to steep discounting of their ebooks by Amazon.com, a practice they disliked."-today's WSJ. italics for hilarity.

L...o...l. I really hope people were smoking cigarettes, or at least big fat cigars.

[treadlightly]

Originally Posted by fjtorres

No sooner than 60 days, at latest word.
And that assumes that Scott Turow's objection filings get disposed of quickly.
I would put the over/under at six months.

I'm curious - what is stopping Amazon from lowering prices today? It doesn't seem like the BPHs could take any action to prevent them from doing so.

[johnnyb]

Originally Posted by MrsJoseph

True, but Apple has been working double time on their iTunes U app, store and ecosystem. It's already has a massive catalog and is pretty well established.

Hmm I see, I've been using it and I quite like it... It is true that Apple may drop extended iBooks support in favor of educational orientation, especially targeting institutions; and stop offering "mass market" ebooks or just not intend making too much profit on them... Would that mean that they have been sued out of the game? Could the press argue in that way? If so, then Apple wouldn't exit...

[MrsJoseph]

Originally Posted by johnnyb

Hmm I see, I've been using it and I quite like it... It is true that Apple may drop extended iBooks support in favor of educational orientation, especially targeting institutions; and stop offering "mass market" ebooks or just not intend making too much profit on them... Would that mean that they have been sued out of the game? Could the press argue in that way? If so, then Apple wouldn't exit...

I do think that going into the educational field could work for them. One of the lectures I'm following is integrated into iBooks in such a way as to allow the purchase of books needed for specific courses. Any notes you take in that book shows back up in the course section under "notes" or "highlights." Pretty cool and very functional.

I think that the educational slant would be the only thing that keeps Apple in the ebook market. I can't see them getting into a massive war with Amazon and winning.

[ProfCrash]

Originally Posted by treadlightly

I'm curious - what is stopping Amazon from lowering prices today? It doesn't seem like the BPHs could take any action to prevent them from doing so.

I am sure that there are legal and PR reasons for holding off. There is another topic discussing how the Big 6 have refused to renew contracts with Amazon and that books are being sold based on the expired contracts.

I would imagine that Amazon knows that it needs to wait for the settlement to be agreed to and then enter into appropriate negotiations. I am sure they want to avoid anything that the Publishers could use to make them look the bad guys.

Keep in mind, this also effects BN, Kobo, Sony, and Apple. Amazon has been the focus only because Amazon was the reason for the collusion (hey, three Publishers have settled meaning that they are admiting on some level that they colluded). But BN will be dropping prices and Kobo fans shoud be thrilled because this should improve the value of those coupons and discounts.

[sbroome]

Originally Posted by OtterBooks

"In a civil antitrust lawsuit, the Justice Department alleged that CEO's of the publishing companies met regularly in private dining rooms of upscale Manhattan restaurants to discuss how to respond to steep discounting of their ebooks by Amazon.com, a practice they disliked."-today's WSJ. italics for hilarity.

L...o...l. I really hope people were smoking cigarettes, or at least big fat cigars.

Did the WSJ really use an apostrophe to pluralize "CEO"?

[stonetools]

Originally Posted by DiapDealer

I think you probably mean most BPH insiders agree with him, right? Again... hardly surprising or indicative of much.

Actually, its the accuracy of his analysis that should matter, not his " insider status" . But then, you would have to read and think it through.
Don't like Shatzkin? Try Tim Carmody of WIRED-as new media as you wouldwant:

But if it’s “a big win for Kindle owners,” it’s a huge win for Amazon. If you read the text of Justice’s proposed settlement with e-book publishers, it sounds like an argument for Amazon’s business model.

The settlement gives Amazon everything it wants in its dealings with publishers, and enshrines it as part of an agreement with the federal government, and compliance with antitrust law.

With publishers who agree to the settlement, Amazon will have the right to set final prices of e-books for customers, including the right (within some limits) to set those prices below cost. It enshrines Amazon’s ability to charge publishers for promoting their e-books and to factor those costs into its total balance sheet with each publisher. It allows Amazon to stagger negotiations over time, so that it can’t be pressured by every publisher asking for better terms all at once.

Sure, Amazon loses the ability to negotiate its own most favored nation agreements with these publishers — but the agreement prohibits those publishers from establishing such an agreement with anyone else. Ultimately, Amazon’s market share let it pursue lower margins than its most robust competitors, so that’s a net win for Amazon, too.

In short, the settlement forces publishers who agree to it to go back to the negotiating table with Amazon while systematically taking away every piece of leverage those publishers have had — whether ill-gotten or not.

Jeff Bezos Should Send Eric Holder a Christmas Card


His analysis makes it very clear that the DOJ practically hands the ebook market back to Amazon.

[stonetools]

What the traditionalists seem to (conveniently) ignore is that Amazon's game can be played by anybody. Just ask Kobo. Or B&N.

All it takes is the desire to play to win instead of whining and pining for an age long gone.

Well, discounting costs retailers. BN can't turn to selling other products to finance its discounts. Kobo also may not be able to (although some company named Rakuten bought them recently).

Saying blithely that all thec others have to do is match Amazon's discounts is sort of saying that all a middleweight has to do to beat a heavyweight is just to pluck up their courage and swing as hard as they can. They'll just get knocked out faster

[Skydog]

There is one important issue that is absent in all of the articles I have read thus far - windowing. I am very curious to know how/if this is addressed in the LOA that we will never see. Needless to say, any perceived "win" by the retailers is seriously diluted if the BPH do not release ebooks concurrent with the HB releases. This was the action taken by some publishers two years ago and, unless restricted by the settlement, I would fully expect this to happen again.

[johnnyb]

Originally Posted by MrsJoseph

I do think that going into the educational field could work for them. One of the lectures I'm following is integrated into iBooks in such a way as to allow the purchase of books needed for specific courses. Any notes you take in that book shows back up in the course section under "notes" or "highlights." Pretty cool and very functional.

I think that the educational slant would be the only thing that keeps Apple in the ebook market. I can't see them getting into a massive war with Amazon and winning.

I see, and I think this is actually an additional option...
Yet, I think Apple _COULD_ go into a war with Amazon, but it is something they normally don't do... I am hoping and it is more likely than it has ever been, but we'll have to see.
And I totally share your fascination with iTunesU and its features on the iPad and iPhone... I think it's the best integrated system to date...

[DiapDealer]

Originally Posted by stonetools

Actually, its the accuracy of his analysis that should matter, not his " insider status"

Agreed. Which is why I couldn't figure out why you'd tout his insider status like it mattered in the first place. The accuracy of his analysis is obviously yet to be determined... unless you or he are psychic?

[treadlightly]

Originally Posted by ProfCrash

But BN will be dropping prices and Kobo fans shoud be thrilled because this should improve the value of those coupons and discounts.

The first ebookstore to drop prices/allow coupons on agency books will be getting a large chunk of change from me. I'm hoping there will be a race to see who does it first.

[stonetools]

Originally Posted by murraypaul

Or ignore the low margin mass market ebook market and focus on whizz-bang shiny interactive books, textbooks, magazines, etc...

Hey I can see Tim Cook treating the whole iBooks venture as a sunk cost and just pulling the plug. Unlike Steve Jobs,he strikes me as cool and calculating. SJ would hang in just out of sheer stubbornness, but Cook will step out the moment he thinks its not worth it.
Since he is contesting the suit, I think he is in it for the long haul. I think one thing Apple does want to do is dominate the educational market, the source of future Apple consumers.

[ProfCrash]

Have we heard from Apple on this subject? I know we saw the one letter from a Publisher discussing why they were contesting, not that it contained anything useful in it. I have not seen anything from Apple.