Connecticut AG to probe internet e-book deals

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August 3, 2010

HARTFORD, Connecticut: Connecticut Attorney General, the Democratic nominee in the race for Chris Dodd's United States Senate seat, has launched an investigation into "deals struck by Inc and Apple Inc to offer low prices on electronic books, saying the agreements may block rivals from providing attractive pricing."[1]

Blumenthal has accused the two companies of engaging in anticompetitive practices after striking a "most favored nations" deal with major book publishers. This agreement requires publishers to offer the same discounts to Amazon and Apple as they do for their competitors. Connecticut's top law enforcer contends that this "restriction blocks cheaper and competitive prices for consumers."[2]