The harm done to independent Apple resellers was raised as a major concern almost immediately after the deal was announced.
The Verge now reports that the Federal Trade Commission appears to be interviewing resellers who have been impacted by the deal.
CNET reports that authorized resellers will be limited to those ‘who handle millions of dollars in Apple products,’ which will eliminate small businesses and individual sellers.
One antitrust expert says the deal is likely illegal.
“You put a gate around the brand and say all the third-party sellers of whatever that brand is get a notice saying you can no longer sell this product on our platform unless you get authorization from the brand,” Hubbard tells The Verge. “But of course the brand is not going to let you sell if you’re under the [minimum advertised price]. Problem is that it’s illegal under antitrust law” […]
It’s basically a price-fixing agreement between a dominant retailer and a brand. And that’s illegal under Section 1 of the Sherman Antitrust Act.
Apple is facing a number of different antitrust investigations and lawsuits at present. These include a Justice Department investigation, separate actions from at least eight different states, additional investigations in South Korea and Europe, and lawsuits from App Store customers and developers.
