E-Book Remedy: DoJ Gives No More Than an Inch to Apple
Apple (NASDAQ:AAPL) is not likely to find much to celebrate in the U.S. Department of Justice’s revised injunction proposal. The proposal is the Department of Justice’s remedy for the anticompetitive e-book business conduct that Apple was found to have committed in an antitrust trial last month. The revised proposal comes after the court held a hearing on the government’s original proposal earlier this month.
Although Judge Denise Cote indicated at the hearing that an external antitrust compliance monitor may not be necessary, the DoJ refused to budge on that point reports CNET. In its revised proposal, the DoJ stated that, “Under these circumstances, this Court should have no confidence that Apple on its own effectively can ensure that its illegal conduct will not be repeated. There must be significant oversight by someone not entrenched in Apple’s culture of insensitivity to basic tenets of antitrust law.”
On the other hand, the government said it was willing to cut the length of the proposed injunction from ten years to five years. The DoJ noted that this revision will “limit the possibility that changes in industry circumstances will cause the decree to outlive its usefulness and unnecessarily harm Apple.”