∞ Feds investigate Apple's tactics in the music business

Apple has been getting a lot of attention lately, but not all of it is good. The Department of Justice is reportedly investigating the company’s tactics in the online music business. Officials from the Justice Department have spoken to the major music labels and competing Internet companies about Apple’s business practices. Citing the delicate nature of the inquiry, The New York Times sources wished to remain anonymous, but said “the conversations have revolved broadly around the dynamics of selling music online.”

Still in its early stages, the investigation seems to be focused on allegations that Apple is pressuring music companies to withdraw support for Amazon.com’s MP3 Daily Deal. Billboard magazine said those that continued to support Amazon had marketing support on the iTunes Store taken away by Apple.

This is the second federal probe of Apple this month. The DoJ is also said to be investigating Apple’s business practices regarding changes to the iPhone Developer Agreement, which essentially locked Adobe out of using Flash to create apps for the platform.

  • Lucas

    From what I understand it seems like Amazon should be the ones under investigation not Apple.

    The labels set up this whole street date game so no one would have favored conditions on sales (online or brick stores) and then Amazon gets an earlier release date and the means to 'sale' the items to promote them so folks will buy them on that earlier date from them and not wait for itunes etc. Perhaps getting that deal via their position as an online retailer.

    That sounds more like an abuse of monopoly than Apple refusing to give their prime marketing space to an album that signed up for Amazon's Daily Deal early release game. They are less likely to get sales so why not give the space to someone else who needs it more