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A comment on Dear DoJ: You Need To Sue Apple Again. Parent comment

Re:Dear DoJ: You Need To Sue Apple Again by ralfd on Wednesday April 11, 2012 @03:35PM (#3829244)
Doesn't make sense, because the big six publishers _wanted_ the agency model. They used Apple to force Amazon to use it too. What happened I think (correct me if I am wrong), is that till two years ago Amazon used its market power to pass on their low wholesale prices to the publishers: "We only will sell your eBook if we can get it for this price" In the agency model the publisher can set its own price.

Also notice, that Apple only uses the agency model for Apps and eBooks. Music songs are sold in the iTunes store for a constant price (99 cents).

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Re:Dear DoJ: You Need To Sue Apple Again by MatthewPhillips on Wednesday April 11, 2012 @03:45PM (#3829303)
That's not correct. In the agency model the publishers set the price that Amazon (and others) sells it to the end user.

Apple doesn't use the agency model for music because they are dominant in that market. The agency model was meant to prevent Apple from having to compete with Amazon on price. They couldn't sell at the same price as Amazon without taking a loss.

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