If you don’t know antitrust law, why write a long article suggesting Apple has broken it?
Over at the ZDNet blogs, David Berlind has written a long article about how Apple has - get this - something approaching a monopoly in music downloads (gasp!) and that even so the US is telling other countries not to treat it as an issue meriting antitrust treatment.
Quoth Berlind:
For the Feds to bust up a monopoly, they must first prove it exists and proving it exists starts with (1) defining a market and (2) demonstrating how one company dominates that market. When US Department of Justice first started going after Microsoft for being a monopolist, it defined the market Microsoft was dominating as “Intel-based desktop operating systems.”
And he’s surprised. And Paul Thurrott, whose rehabilitation had been going so well, chimes in:
If Microsoft[’s antitrust trial experience] can serve as a lesson, and they should, Apple should be stopped before the abuses get too great and harm too many consumers.
I’m surprised either is surprised. In case they hadn’t been watching or listening through the Microsoft antitrust trials, and the 1995 DoJ settlement that preceded it (and whose violation led to the big antitrust bustup), it is not illegal in the US to have a monopoly of a market. Got that? Absolutely nothing wrong with having 80%, 90%, 100% of any given market. No sir. That’s the American way.
What is illegal, and led to the late-90s trial, is to use a monopoly in one market to push out rivals in another. Such as having a monopoly of desktop operating systems, and using it to push out people in, oh, say, browsers. That’s what Microsoft was found guilty of having done.
Now, Apple has a lock on the music downloads market. Riiight… and where is it using that to push into other areas? Digital music players, you say? But it dominated that before the iTunes Music Store came along. And there’s a format which all music players can play - MP3 - and you can buy CDs which you can rip into that format. Apple isn’t getting into, say, the CD business (if it were to change the format on CDs from AIFF to AAC wrapped in its Fairplay DRM, now that would be an antitrust issue).
In all: this is not an issue, because it’s not an abuse of monopoly, which is what you need to get an antitrust case going in the US. Berlind and Thurrott have, strangely, revealed themselves as having taken no notice of the whole background to the US case. (See the Wikipedia entry on the Sherman Antitrust Act, which is the relevant one here.)
OK, other territories look at these things differently; France and Sweden are thinking about whether DRM is good or bad (not very clearly). But honestly..
Another Berlind quote, just to show that he’s not with the legal program:
When I first saw the DOJ come up with that definition, that I realized how a clever lawyer can make any company seem like a monopolist. All you have to do is define a market in such a way that the company you’re chasing after conveniently dominates it.
Yes, but that’s not illegal.
Looking back on Microsoft’s history of entanglement with US trustbusters, I still think it was right of the government to interfere.
Yes, because Microsoft used one monopoly to get another.
And why didn’t I put this at the end of the article? Because you have to do that stupid registration crap, which is just a method of grabbing all your details so they can email you junk forever. No thanks, even if I could be bothered to do it to point out the errors of people who don’t know their stuff. (Thurrott just doesn’t have comments nor trackbacks on his blog, which lends it a certain pre-Reformation feel.)
- These posts might be related (the database thinks..):
- Gmail POP is broken - again (3 October 2006; score: 39.16%)
- Now will you believe I don't write the headlines? (30 September 2004; score: 36.88%)
- So who's the Apple user? (19 May 2008; score: 35.56%)



