iPod Faces Lawsuit Over iPod Monopoly
Dec 31st, 2006 | By James Lewin | Category: Computer Hardware, iPods & Portable Media Players 
Apple, which has had its share of public relations problems this year, said Friday that it is facing several federal lawsuits, including one alleging the company created an illegal monopoly by tying iTunes music and video sales to its market-leading iPod portable players.
The case, filed July 21, is over Apple’s use of a copy-protection system that prevents iTunes music and video from playing on rival players. The plaintiff is seeking unspecified damages and other relief. The court denied Apple’s motion to dismiss the complaint on Dec. 20.
Another lawsuit, filed Nov. 7, alleges that the logic board of Apple’s iBook G4 fails at an abnormally high rate. The plaintiff is seeking unspecified damages. In a filing with the
Securities and Exchange Commission, Apple said its response to the complaint is not yet due.
The Cupertino, Calif.-based company also disclosed that PhatRat Technology LLC filed a lawsuit Oct. 24 alleging patent infringement over the Nike+iPod Sport Kit, which lets runners keep track of how far and how fast they’ve gone.
The lawsuits were disclosed in Apple’s delayed regulatory filing with the SEC.
via Yahoo! News
If this sticks, watch out Napster.
I don’t know how Apple’s practices can be considered a monopoly when all of their competitors are employing the exact type of closed-system that they are. Besides, it’s not like they offer a backdoor for the DRMed music (CD burning) – more than other systems sometimes offer.
i hope Apple losses the monopoly case, and that this sends a message to all the other music download services. When the buyer buys the song or video he or she owns it and should have the right to play on whatever device is convenient.