> An MFN provision will frequently appear in contracts between wholesalers and retailers and it ensures that the wholesaler will provide the retailer with the best wholesale price. But Apple adopted it in the agency model to require that the publishers adjust e-book prices in the iBookstore to match the lowest price offered by any other retailer — regardless of whether the publisher controlled the pricing in that retailer.
That last sentence means that publishers basically had to force Amazon onto the agency model, or else lose money selling on Apple's store. And their intention was clearly to force Amazon onto the agency model causing Amazon's consumer prices to increase.
That last sentence means that publishers basically had to force Amazon onto the agency model, or else lose money selling on Apple's store. And their intention was clearly to force Amazon onto the agency model causing Amazon's consumer prices to increase.