Apple to pay consumers up to $400 mn in e-books case

July 16, 2014
The Apple logo is seen on September 11, 2012 at the Yerba Buena Center for Arts in San Francisco

Apple will pay up to $400 million to compensate consumers for illegal price-fixing conspiracy for electronic books, officials said Wednesday.

The settlement would reimburse consumers in 33 states whose authorities sought damages for Apple's price-fixing, according to a statement from New York's attorney general.

But the settlement is contingent on the verdict being upheld in a July 2013 federal court ruling that Apple violated by orchestrating a conspiracy with five publishers to raise e-book prices.

If Apple's federal conviction is overturned, no money will be paid. If the case is retried, the settlement amount will be $50 million, the statement said.

Apple will also make payments to the 33 states of $20 million to cover costs, fees, and civil penalties if its conviction is upheld.

"This settlement proves that even the biggest, most powerful companies in the world must play by the same rules as everyone else," said New York state Attorney General Eric Schneiderman.

Apple's deal with the publishers as it introduced its iPad tablet shook up the existing model, but US officials said this was an illegal conspiracy which raised prices.

Explore further: Apple denies e-book pricing conspiracy

Related Stories

Apple denies e-book pricing conspiracy

April 13, 2012

Apple denied a charge that it schemed with publishers to hike prices for e-books, portraying itself as a hero for prying Amazon's "monopolistic grip" from the market.

Penguin joins settlement in US e-books lawsuit

December 18, 2012

Penguin Group has agreed to join three other publishers in a settlement of a US government lawsuit alleging an e-book price-fixing conspiracy with Apple, officials said Tuesday.

E-books: US tells Apple to cut publishing ties

August 2, 2013

The US Department of Justice said Friday that tech giant Apple must cut ties with the five publishers with which it was found guilty of running an e-book price-fixing scheme.

Settlement credits sent to e-book buyers

March 26, 2014

Some Inc. e-book customers received credits Tuesday as part of the $166 million price-fixing settlement five book publishers reached with the U.S. Department of Justice.

Recommended for you

The ethics of robot love

November 25, 2015

There was to have been a conference in Malaysia last week called Love and Sex with Robots but it was cancelled. Malaysian police branded it "illegal" and "ridiculous". "There is nothing scientific about sex with robots," ...


Please sign in to add a comment. Registration is free, and takes less than a minute. Read more

Click here to reset your password.
Sign in to get notified via email when new comments are made.