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By Ina Fried
Posted on ZDNet News: Dec 3, 2004 6:05:00 PM

British regulators on Friday referred a complaint over iTunes pricing to the European Commission.

In a statement, Britain's Office of Fair Trade said that the Commission was in a better position to address the complaint, which charges that Apple Computer's iTunes Music Store discriminates against British consumers by charging them more than others in Europe and preventing them from accessing the cheaper stores.

"The OFT has decided that the European Commission is better placed to consider this matter, in particular as Apple iTunes operates in more than three EC Member States," the agency said.

The variable cost of music

The typical price of an iTunes track varies considerably, with consumers in Britain paying nearly twice what those in Canada pay.
Price of iTunes song in U.S. dollars:
Canada $0.83
U.S. $0.99
Britain $1.53
Other Europeans $1.33

An Apple representative did not have an immediate comment on the move.

The issue over iTunes pricing returned to the spotlight this week as Apple opened a Canadian store, which offers prices 16 percent cheaper than those charged to customers in the United States.

Apple charges 79 pence ($1.53) per song in the United Kingdom compared with 99 euro cents ($1.33) in its other European stores. Songs in the United States cost 99 cents, while in Canada they cost 99 Canadian cents (83 cents U.S.).

Apple executive Eddy Cue noted Thursday that the market for music prices are different in various countries, as are the taxes and the amount Apple must pay for the music. "The costs do vary by region for Apple," Cue said.

Which, the British consumer organization that brought the complaint last September, praised the decision by Britain's trade regulators.

"U.K. consumers are getting a raw deal from Apple," Phil Evans, Which principal policy adviser, said in a statement. The group said Apple's pricing means that U.K. customers pay 20 percent more than those in France and Germany, for example.

The group argued that online music should be part of Europe's overall common market.

"The online music market is a huge growth area," Evans said. "The Single Market should work the same in this market as in others. We're campaigning for free movement of goods and services in Europe, and we'll take on any company, or group of companies, that seek to carve up the market to their benefit."

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  • Most Recent of 50 Talkback(s)
Class-action lawsuit vs Apple, who's in?
Sue Apple Corporation for maintaining a monopoly on their entire business line of products hardware and software. I contend that Apple Corp. has eliminated all competition to their products and conti... (Read the rest)
Posted by: Da-Man Posted on: 12/23/04 You are currently: a Guest | | Terms of Use
Complaining about pricing?  FirstNLastN | 12/03/04
Do we now enforce planetary wide equal pricing?  No_Ax_to_Grind | 12/03/04
More to it than that  tic swayback | 12/03/04
Isn't it simpler than that?  No_Ax_to_Grind | 12/03/04
19.95 and 20.00 are pretty much the same  voska | 12/03/04
Apparently you think purchasing is a rational decision?  Immanuel Tranz-Mischen | 12/04/04
No, it's not simpler than that  tic swayback | 12/03/04
Re: "$19.95" or "$20"  Mack DaNife | 12/06/04
Me too, getting sick of nickle and pennies clogging my pockets.(NT)  voska | 12/22/04
Exactly  Richard Flude | 12/03/04
But it is supposed to be one market  Fred Fredrickson | 12/04/04
Says who?  No_Ax_to_Grind | 12/05/04
The EU, although I don't think the complaint is what you're saying it is  tic swayback | 12/06/04
If that is the case...  No_Ax_to_Grind | 12/06/04
If the uk wants equal pricing...  John Le'Brecage | 12/04/04
See what happens when ZDNet writes, No_Facts posts  Richard Flude | 12/04/04
Ah, noise from another fan.  No_Ax_to_Grind | 12/05/04
I hear what your saying, and I even agree in part.  No_Ax_to_Grind | 12/05/04
we need it  JasonL31 | 12/05/04
Your nievete is embarssing!  Mack DaNife | 12/06/04
Well "IF" his concept were to be put into place then  Laff | 12/06/04
Guess ppl will have to do region hacks  FilledOut | 12/03/04
yep, apple is just taking after the dvd scandals  JasonL31 | 12/05/04
seem to me they are equal pricing  voska | 12/03/04
And..  d_jedi | 12/03/04
No kidding  voska | 12/03/04
George and Osama  Immanuel Tranz-Mischen | 12/04/04
we have changed a lot sense 9-11  JasonL31 | 12/05/04
Only in the minds  Spoon Jabber | 12/06/04
We are winning? Huh!?!  Laff | 12/06/04
Uhhh, YES!  Spoon Jabber | 12/06/04
Dude it does not matter how you loose a war..just  Laff | 12/07/04
Well hello Kerry!  Spoon Jabber | 12/07/04
heh heh heh...I love you man...:)  Laff | 12/07/04
Like what?  Spoon Jabber | 12/07/04
First of all there is little to no evidence that Saddam  Laff | 12/07/04
Interesting  Spoon Jabber | 12/07/04
Sorry about your relative...that explains a lot.  Laff | 12/07/04
Good idea  Spoon Jabber | 12/07/04
Killing me is one thing. Still that does not take my  Laff | 12/07/04
I hope they succeed.  Immanuel Tranz-Mischen | 12/04/04
sounds like perscription drugs  JasonL31 | 12/05/04
Well, there are a couple of differences.  Immanuel Tranz-Mischen | 12/05/04
I know  JasonL31 | 12/06/04
Long before 21st century  Spoon Jabber | 12/06/04
NOW YOU ARE RIGHT ON THE MONEY....:)  Laff | 12/06/04
Pound Sterling  espruytte | 12/06/04
Interesting  Roger Ramjet | 12/06/04
Don't blame Apple!  bugmenotznet | 12/22/04
Class-action lawsuit vs Apple, who's in?  Da-Man | 12/23/04

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