Apple Facing Antitrust Inquiry Over Music Distribution

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According to insiders who spoke with the New York Times under the condition of anonymity due to the sensitivity of the matter, the Justice Department is looking into Apple's method of online music distribution. According the New York Times Report, the inquiry is in its early stages.

Investigators have asked about allegations of the Cupertino-based company using its top position in the online music distribution market to talk music labels to refuse exclusive access to soon-to-be released music.

Billboard Magazine reported back in March that Amazon was in discussion with music labels as they tried to acquire the right to exclusively sell upcoming songs for one day before they became widely released. Those songs would also be included in an Amazon promotion called the MP3 Daily Deal.

It's reported that Apple spoke with labels and asked them not to participate in the Amazon promotion. It's also said that Apple withdrew marketing support for songs of those that did.

via The New York Times

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