9/22/06

As you probably know, Apple recently started selling feature films through the iTunes Store (formerly known as the iTunes Music Store). Wal-Mart (a huge player in the DVD retail market) has reason to fear that this will cut into their bottom line. Now, the Post reports, studio executives say Wal-Mart has threatened to buy fewer DVDs from any studio that goes into business with Apple. Early adopter Disney has already received "cases and cases" of returned DVDs.

Would someone who knows something about antitrust law please tell me this: If these allegations are true, isn't Wal-Mart opening itself up to an anticompetitive-practices lawsuit?

Update: Wal-Mart disputes the Post's report.