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Wednesday, May 26, 2010

An "early stage" inquiry from the federal DOJ about music pricing by Apple's iTunes and Amazon

The Los Angeles Times says investigators at the Department of Justice have “started reviewing the pricing and promotion of digital music by Apple Inc. and Amazon.com.” The particular focus seems to be on whether Apple “leaned on the labels to discourage them from participating” in Amazon’s rival download program. It offers discounts to online buyers before a tune or album is released. The Times says EMI, Sony, Universal Music Group and Warner Music Group “were contacted by Justice Department officials several weeks ago”, and so far no one is commenting on what it called an investigation that “appeared to be in the early stages.”

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