X

Apple, Adobe, Microsoft subpoenaed to explain price gouging

Apple, Adobe and Microsoft have finally been held accountable for their reticence in the IT pricing inquiry, with the three companies summonsed to explain their pricing before a public hearing.

Michelle Starr Science editor
Michelle Starr is CNET's science editor, and she hopes to get you as enthralled with the wonders of the universe as she is. When she's not daydreaming about flying through space, she's daydreaming about bats.
Michelle Starr

Apple, Adobe and Microsoft have finally been held accountable for their reticence in the IT pricing inquiry, with the three companies summonsed to explain their pricing before a public hearing.

(2010_1310 - Coins_3 image by Ben Hosking, CC BY 2.0)

Throughout the IT pricing inquiry that has been ongoing since July last year, three major companies have refused to provide public evidence: Adobe, Apple and Microsoft.

In a release today (PDF), the House of Representatives Committee on Infrastructure and Communications announced that it has issued summonses to all three companies to appear before a public hearing to explain their pricing.

Previously, Apple had given evidence at a private hearing, and Microsoft had tendered a submission but not attended hearings, while Adobe attended hearings, but did not give evidence and did not tender an submission, instead claiming that it had helped the Australian Information Industry Association (AIIA) prepare its submission.

Now, if all three companies don't attend the public hearing, they will have to face serious legal consequences.

Ed Husic MP, who is heading up the inquiry, told Kotaku Australia:

These firms should have cooperated and been prepared to be more open and transparent about their pricing approaches... In what's probably the first time anywhere in the world, these IT firms are now being called by the Australian Parliament to explain why they price their products so much higher in Australia compared to the US.

The public hearing will be held on Friday, 22 March 2013 at 09.30am in Committee Room 1R1, Parliament House, Canberra.