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Today in Apple history: Eddy Cue takes the stand to defend iBooks pricing | Cult of Mac

History of the iBooks lawsuit
Filed in April 2012, The United States of America v. Apple Inc. antitrust case alleged that Apple conspired with five book publishers to raise and fix the price of e-books. The publishers included Hachette Book Group, HarperCollins, Macmillan Publishers, Penguin and Simon & Schuster. All five settled their claims outside of court — only Apple went to trial.

The agreement came as a response to Amazon, which controlled the overwhelming majority of the e-book industry in terms of sales. Amazon charged $9.99 for many popular books as part of its goal to become a market leader with its Kindle e-book reader.

However, this upset publishers, who worried that the low pricing ate away at their profit margins. When Apple launched the iPad in 2010, the publishing houses saw an opportunity to claw back some lost ground.

This was evidently Apple’s strategy as well. When Cue spoke with publishers in late 2009, he said Apple planned to sell new books for $12.99 to $14.99.

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Today in Apple history: Eddy Cue takes the stand to defend iBooks pricing.

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