Apple Using Strong-Arm Tactics?

[Jeff Campbell]

<div class='os_post_top_link'><a href='http://www.9to5mac.com/itunes-amazon-daily-deal-apple-3560348' target='_blank'>http://www.9to5mac.com/itunes-amazo...l-apple-3560348</a><br /><br /></div><p><em>"Ed Christman at Billboard contends that Apple is pressuring the record labels not to deal with Amazon and their Daily Deal, which allows users to purchase the album at a reduced price one day before it is generally released (on iTunes</em>)."</p><p><img src="http://images.thoughtsmedia.com/resizer/thumbs/size/600/at/auto/1267986265.usr105634.jpg" style="border: 1px solid #d2d2bb;" /></p><p>According to the executive,<em>&nbsp;"iTunes representatives have been urging labels to rethink their participation in the Amazon promotion and that they have backed up those warnings by withdrawing marketing support for certain releases featured as Daily Deals." </em>I can't really blame them, and it appears some are listening to Apple as Capitol, Capitol Nashville and Jive all opted out of the Amazon Daily Deal promotion. Wonder how many more will opt out? I'm guessing most if not all, what are your thoughts?</p>

[doogald]

I feel the same way as I would feel if a company like Wal-Mart used its market strength to threaten to delist vendors who give exclusive sales to Target: it doesn't make me feel very good. I think it's within their rights, but it is hardly consumer-friendly, and this is the sort of stuff that the FTC and DOJ start paying attention to when you have a super-majority of a market.

[Deslock]

I feel the same way as I would feel if a company like Wal-Mart used its market strength to threaten to delist vendors who give exclusive sales to Target: it doesn't make me feel very good. I think it's within their rights, but it is hardly consumer-friendly, and this is the sort of stuff that the FTC and DOJ start paying attention to when you have a super-majority of a market.

If any of the companies involved had "a super-majority of the market", the FTC and DOJ might care.

I don't know enough about this to judge the record labels, Amazon, or Apple. But this is my understanding:
Initially Apple and Amazon sold albums the day they were released
Amazon made a deal with record labels to sell albums a day early at a discounted rate (that record labels will not give to Apple because they're pissed that Apple's digital store has hurt sales of their physical media)
Apple asked record labels to sell them stuff at the same date and price as they sell to Amazon, but the record labels said no
Is that an accurate summary?