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Scandinavian Consumer Group Challenges Apple DRM

Apple Computer Corp. has been strangely silent since the passage of a new law in France that could force it to open its iTunes music software to competition. However, when similar cases were launched in Scandinavia, the iPod maker responded. The company claimed it was not illegal for Apple to only allow its copy-protected software to play on its media players--at least in Norway. In a letter to Norway's Ombudsman arbitrator, the computer giant rejected claims by consumer protection advocates that Apple should face fines and a possible closure if found guilty of violating Norway's strict consumer-protection laws. It said using a proprietary technology--sometimes called "digital rights management"--was "not unfair" or against the law. But the company did admit that its marketing practices might be. Norway's Consumer Council, which is backed by both Denmark and Sweden, disagrees. Torgeir Waterhouse, a senior advisor of the group, told the Financial Times: "Our position is that this is a tool to lock consumers into [Apple's] products." Waterhouse added that a long struggle is now expected. "We are at the beginning of a booming digital market, and if we don't win this one, then we won't be able to achieve a fair marketplace." The Ombudsman, who received Apple's letter, now must assess the company's response before deciding on further action. First France, now Norway--and then, perhaps the rest of Scandinavia. If Apple is forced to open up here, it will likely be forced to open up in other international markets.

Read the whole story at Financial Times »

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