Microsoft and Apple Could Be Sent to Court for Price Discrimination

IT companies including Microsoft, Apple and Adobe may be called before parliament due to price discrimination, as their top products are much more expensive in Australia as compared to other markets.

Labor MP Ed Husic said in an interview that issuing subpoenas for the three companies could be the only viable solution in case they do not adjust pricing.

Calling the major players in the IT industry before The House of Representatives Standing Committee on Infrastructure and Communications is a necessary measure because the companies refuse to cooperate and provide details about their pricing strategy in Australia.

“I believe the inquiry will be forced to confront the prospect of subpoenaing major vendors to provide greater detail to justify the price discrimination being leveled at Australian businesses -- and something more substantive than a one to five-page submission,” he was quoted as saying by SmartHouse.

iPhones, iPads, Microsoft Office and Adobe Creative software packages are much more expensive in Australia than overseas, but the Redmond-based software giant has already sent an answer to the inquiry earlier this year.

Microsoft said that the "cost of doing business in Australia has a direct impact on the prices,” according to the same source, naming high labor costs, transport and shipping as very expensive operations.

Ed Husic however wants to discuss the matter once again with officials of the three companies, so a new round of talks will be held this week. Issuing subpoenas to send the three global corporations to court is only the last option, just in case this new round of discussions fails to come to a conclusion.