5 posts • joined Wednesday 3rd August 2011 16:58 GMT
That's part of the problem. The other part is that Apple and the publishers colluded to force an agent pricing model on all major e-book retailers, esp Amazon. This type of collusion, including the 'most favored nation' clause you mention, is completely illegal.
What kind of article is this?
The author seems entirely sympathetic to poor Apple, who apparently can't compete in an open market and should be allowed to fix high prices by collusion and force the best prices for themselves. Apple's profit margins are so freaking high on their hardware, they can afford to compete fairly, like everyone else.
To Gordon, Amazon is extremely customer focused. They don't strong arm their competitors. They offer very good prices, at the expense of high profit margins. There are lots of other options, both on the web and bricks and mortar, but Amazon is the largest web retailer because of their combination of customer service, reliability, and good prices. They were also very early in the web retail game. If they start charging rip off prices, ***people will not use them***.
They compete fairly - Apple is competing through secret deals that favor only them and damage all the competition, and of course on the hardware front, frivolous litigation.
Let's look at what Google has done.
They have millions/billions on the line, and were competing against the best selling phone of all time. They didn't hoard patents, they made an excellent OS and many devices began using it. Even now that they are the best selling mobile operating system, they have not initiated any lawsuits with other companies over their phones. Even when iOS started directly copying things from the Android OS (notifications, iCloud, etc.), they did not litigate. They take it as a compliment and continue to improve.
So no, nobody is forcing Apple to sue everybody.
I suppose this does present a problem for developers. To everyone saying that they should have just stuck ads in the app, the whole point in getting a PAID app for FREE is that it is the full/pro/ad free version. If they are going to just stick ads in it, they should offer it for free every day.
Regardless, I think that many developers will wise up to that , and the quality of many free apps of the day will degrade. Amazon really should go back to giving 20% of each free app of the day purchased to the developer.