The European Commission has opened formal antitrust proceedings to investigate whether some international publishers engaged in anti-competitive practices, possibly with the help of Apple, engaged in anti-competitive practices affecting the sale of e-books, breaching the EU antitrust rules.

Formal antitrust proceedings have been opened by the Commission to investigate whether international publishers Hachette Livre (Lagardère Publishing, France), Harper Collins (News Corp., USA), Simon & Schuster (CBS Corp., USA), Penguin (Pearson Group, United Kingdom) and Verlagsgruppe Georg von Holzbrinck (owner of inter alia Macmillan, Germany) have, possibly with the help of Apple, engaged in anti-competitive practices affecting the sale of e-books in the European Economic Area (EEA), in breach of EU antitrust rules.

The Commission has concerns, that these publishing groups and Apple have engaged in illegal agreements or practices that would have the object or the effect of restricting competition in the EU or in the EEA. In March 2011, the Commission carried out unannounced inspections at the premises of several companies active in the e-book publishing sector in several Member States. Now, the Commission will also investigate the character and terms of the agency agreements entered into by the above named five publishers and retailers for the sale of e-books.

According to the Commission, these practices may breach EU antitrust rules that prohibit cartels and restrictive business practices (Article 101 of the Treaty on the Functioning of the European Union – TFEU).