Good info, what I saw on the news made me go, “thanks for checking on this DOJ, but WTF does it all mean. Thanks for posting.
Updated 4/18/12: After weeks of buildup, the Department of Justice sued Apple and five book publishers on Wednesday, April 11 and accused them of conspiring to set e-book prices. This is a big story and publishers, consumers and retailers may see the ramifications of today’s lawsuit for months or even years to come. Here’s what you need to know now.
What is agency pricing, anyway?
Agency pricing is at the heart of the lawsuits but the legality of the model itself does not appear to be in question. Agency pricing allows book publishers to set the prices of their e-books, while the retailer (the “agent”) takes a commission. Under the agency model, the publisher is the only party that can discount e-books, and an e-book’s price must be the same across all retailers (i.e., an e-book can’t go on sale at just one retailer). The agency model is different from the…
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