News Archive for 07/04/02

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EU investigates Apple, may levy £323m fine

04/02, 6:55pm

Apple may face £323m fine

Despite a landmark agreement with EMI to offer DRM-free music via iTunes, European Union regulators are investigating Apple's iTunes Store for possibly violating competition laws, and said that they object to the Cupertino-based company's practice of forcing consumers to purchase songs from its iTunes Store only in their home country. The European Commission sent a letter outlining the accusations to Apple as well as major record companies -- including Sony BMG Music Entertainment, Universal Music Group, Warner Music, and EMI Group, according to the Associated Press. A spokesman for the EU competition commissioner says Apple's arrangements restrict music sales because "consumers can only buy music from the iTunes store in their country of residence." Companies that breach competition law face a fine of up to 10 percent of annual turnover, which according to the Times Online would total roughly £323 million.

Norwegian official applauds Apple, EMI

04/02, 12:20pm

Norway applauds Apple, EMI

Following EMI's announcement today that it will launch new high quality DRM-free downloads via Apple's iTunes Store, senior advisor Torgeir Waterhouse of the Norwegian Consumer Council immediately came forward to applaud the move. "It's with great interest [that] I've listened to the webcast from EMI & Apple today," Waterhouse told MacNN. "No matter how the digital music market develops, today will always stand out a very important date, the day when two of the really big market players finally took responsibility that follows from the position and made an interoperable solution available to consumers." The advisor told MacNN in early February that Italy had officially joined other European countries to apply pressure to Apple and the iTunes store to open up its musical tracks, enabling consumers the freedom of choice to choose their own medium for playing iTunes tracks. "I applaud [EMI and Apple's] move, and encourage all the other contenders in the digital music business to make the same important move."