DOJ Probes Online Music Price Fixing
March 3, 2006 at 6:36 AM (PT)
The U.S. JUSTICE DEPARTMENT has announced a probe into alleged price fixing in the online music business, according to the ASSOCIATED PRESS, which reported that "two record industry officials" have confirmed the inquiry, and characterized it as essentially identical to one launched in DECEMBER by NEW YORK Attorney General ELIOT SPITZER.
DOJ spokeswoman GINA TALAMONA confirmed the investigation, saying, "The antitrust division is looking at the possibility of anticompetitive practices in the music download industry."
UNIVERSAL and WARNER have reportedly been told to expect a formal demand for information from the DOJ, according to the two officials who requested anonymity because the probe was ongoing. WARNER has publicly acknowledged that it was previously subpoenaed by SPITZER.