EU warns online music stores: change or be changed

Stephen Withers
Friday, 19 September 2008 12:02

Business IT - Technology

EU Competition Commissioner Neelie Kroes has warned the music industry that she is prepared to take action to ensure a competitive online marketplace across member states, especially for digital music sales.

Earlier this year, a European investigation into inconsistent iTunes pricing in different countries resulted in Apple bringing its UK pricing into line with the rest of Europe.

At the time, Kroes said "The Commission is very much in favour of solutions which allow consumers to benefit from a truly Single Market for music downloads."

Kroes latest comments came while she was addressing a round table meeting called to discuss the opportunities and barriers to increased online retailing in Europe.

Those present at the meeting were Ben Verwaayen of technology company Alcatel-Lucent, Bernard Arnault from luxury goods group LVMH, eBay's John Donahoe, John Elkann from Fiat, music label EMI's Roger Faxon, musician
Sir Mick Jagger, Apple CEO Steve Jobs, Bernard Miyet of French performing rights association SACEM, and Peter Vicary Smith from UK consumer organisation Which?.

"Consumers see the internet, and the borders that exist online, and feel that they are not getting a fair deal," Kroes told the meeting.

"Consumers often find that the products they are looking for are not available to them. As Competition Commissioner, I want to know why."

What else did Kroes have to say? Please read on.