“A closer look at the deal Steve Jobs offered the publishers suggests a way out,” Phillip Elmer-DeWitt reports for Fortune.
“In Saturday’s Washington Post, columnist Steven Pearlstein [explains]. The problem, according to Pearlstein, stems from two provisions in the contract Apple got the publishers to sign,” P.E.D. reports. “One that prohibits the publishers from entering into ‘wholesale’ arrangements with Amazon or any other major distributor [and] a second that guarantees that no other distributor will be allowed to sell books for less than Apple.”
P.E.D. reports, “Settlement talks now underway, Pearlstein says, are focused on those two provisions. If they can be written out of Apple’s contract, and the publishers can agree to pay some reasonable fines, perhaps a deal could be struck.”