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E-Book Pricing Fixing Accusations May Bring Lawsuit

RENEE MONTAGNE, HOST:

NPR's business news starts with allegations of price fixing on e-books.

The Justice Department is threatening to sue Apple and five major U.S. publishers for allegedly colluding to raise the price of digital books. The Wall Street Journal reports that Apple persuaded publishers, including Harper Collins, Penguin and Simon and Schuster, to change how they price their e-books before the launch of the first iPad in 2010.

The report says Apple stipulated the publishers were not allowed to sell e-books to rival retailers for lower prices. So far there is no comment from the publishers, the Justice Department, or Apple. Transcript provided by NPR, Copyright NPR.