Penguin announced this morning that the company has reached an agreement with the US State Attorneys General to pay $75 million as a settlement for the eBook price fixing claims that have been launched against Apple’s iBookstore.
US authorities have called Apple out for collusion with electronic book publishers, saying that the Cupertino-based company conspired with publishers to raise eBook prices when negotiating iBooks by playing them all against each other and against rival eBook retailer, Amazon.
Here’s Penguin’s official statement on the settlement:
Walter Isaacson, the author of the best-selling biography about Apple co-founder and former CEO Steve Jobs, will not have to share his notes or testify in an ongoing lawsuit over alleged eBook price fixing between Apple and book publishers.
Lawyers wanted to see Isaacson’s notes from interviews with Jobs in an effort to establish Apple’s agreements with publishers, but Isaacson refused to hand them over, citing a New York law that allows journalists to shield their sources.
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Did Apple conspire with major publishers to increase e-book prices? The European Commission has launched an antitrust probe of Apple and five publishers amid claims the industry was “terrified” by Amazon’s $9.99 e-book push. At the heart is Apple’s iBookstore and the tech giant’s “agency model” that a California lawsuit charges inflated book prices.