Apple, Microsoft Summonsed To Explain Australian Price Disparity

In the midst of the IT pricing inquiry major offenders Apple, Microsoft and Adobe have been reluctant to speak to the Committee handling the inquiry to explain themselves. As a result of this all three companies have now been summonsed to speak at a public hearing on March 22 in Canberra to answer questions regarding the increased pricing of its technology in Australia.

In short: this means that if all three companies do not send representatives to the hearing there will be direct legal consequences.

Ed Husic, IT pricing's Harvey Dent, welcomed the move but claimed its one they government shouldn't have been forced to make.

"These firms should have cooperated and been prepared to be more open and transparent about their pricing approaches," he said.

"In what’s probably the first time anywhere in the world, these IT firms are now being summonsed by the Australian Parliament to explain why they price their products so much higher in Australia compared to the US.

"Adobe, Apple and Microsoft are just a few firms that have continually defied the public’s call for answers and refused to appear before the IT Pricing Inquiry.

"While television and computer prices fell 14 per cent according the to the latest Consumer Price Index Figures, there’s still a long way to go – with some estimates suggesting that Australian prices are up to 60 per cent higher than the US.

"Given the widespread use of IT across businesses and the community, the prices paid for hardware and software can have a major commercial and economic impact.

"Getting downward movement on IT prices and easing the bite of price discrimination should be an important micro-economic priority – so I’m looking forward to hearing from these firms about their pricing approaches."

It'll be interesting to hear specifically how all three companies defend their practices — particularly with regards to the pricing of digital products. Considering the amount of publishers that artificially raise prices on services like Steam for Australian consumers, hopefully these summons represent a very real attempt by the Australian government to take IT companies to task on unfair pricing policies.

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    You're not the only one. Damn you Wyldstein!

    Is there anyone else here that loves the fact that there is someone in the Australian government named Harvey Dent?

    My guess is they will um and ahh and give some bullshit reason and prices won't change.

    Just look at the amount of comments, this is an extremely infamous issue that needs to be fixed, not just with games though, looking at headphones can cost twice as much compared to the prices that the US gets. I mean i wouldn't mind paying the shipping fees obviously, but when they're not even US products its absurd.
    Everyone goes on about how because we are a lower population they have to charge more to make it worthwhile, that shouldn't be an excuse when you're paying entirely for the extra shipping already.

    News Flash: Foriegn companies charge higher prices in tiny market with super high import tariffs 12,000 miles away.

    Follow up flash: Politicians responsible for shielding price gouging local businesses with said abusive tariffs use the popular and effective "attack furriners" tactics instead of admitting culpability.

    I understand that there are extra taxes on certain things, like cars. BUT (and I will use my previous example) - let's say a RHD conversion for that nice 911 Turbo costs $50,000. Add to that the cost of luxury car tax (30% was it? Yeah let's just go with that), which - after the purchase price ($80,000) and the RHD conversion, would come to a grand total of.... $169,000. I really do understand we would have to pay a bit more, but HOW THE F**K DO THEY JUSTIFY THAT EXTRA $381,000??????? Thank you, Oh Great Australian Leaders-and-Rulemakers, but I've had enough. I'd really like to buy a brand new Ducati for around $12,000 and be able to ride the exact same bike that costs double or triple in AUS.

    Well I guess it's time for me to buy an Akubra and some cowboy boots, because I think I'm moving to America :P

    The problem is though that these representatives will just rock up then spew a load of bullshit. They've used the, higher operating costs, excuse many times before and they'll no doubt do it again. Regional digital pricing might be a hard thing for them to make up crap for but that's what these big companies are good at. Hopefully the Government will be willing to call their bullshit and throw the book at them. This price gouging needs to stop. My biggest fear is that, like every single damn time in the past, the goverment says they will do something about this issue, but they don't.

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