The author is a Reuters Breakingviews columnist. The opinions expressed are his own.
Apple is flailing around to the beat. The $535 billion iPhone maker may buy superstar rapper Jay Z’s music-streaming service Tidal, according to the Wall Street Journal. The presumed logic is that it will help Apple strengthen its own service. Meanwhile Spotify says Apple is harming it by rejecting an app upgrade. Apple has the clout to fend off rivals but adding Tidal won’t help get its rhythm back.
from Alison Frankel:
In 1980, New Jersey enacted a law to prohibit businesses from deceiving consumers about their legal rights. The awkwardly named Truth in Consumer Contract, Warranty and Notice Act provided statutory damages of $100 to "aggrieved consumers" who, for instance, bought a ticket or signed a contract that falsely claimed customers couldn't sue over personal injuries. The point of the law was to protect unsophisticated buyers who might be dissuaded by these deceptive notices from enforcing their legal rights.
An executive at the iPhone maker proposed a bid for Time Warner, a move that would have been at odds with Apple founder Steve Jobs’ recipe for success: Reject “1,000 ideas” and focus on the very few excellent ones. Aging smartphones, a tepid stock price and a pile of idle cash, however, could make the mediocre look awfully tempting.
Abbott, AbbVie and Sanofi are each paying up for takeover partners, while protecting the planet could be the investment deal of the century. Plus: Facebook forges ahead while Apple ambles.
from Morning Bid with David Gaffen:
So, uh, that happened. Apple put together an earnings report that seemed to spell the official end of the iPhone as an unstoppable force, as time, well, time waits for no one. And so after nine years without a sales decline, one has finally happened, and it’s cast a pall over markets so far in the early going for futures. Just how much the market reacts will be instructive for how much Apple still means for the overall market.
from Alison Frankel:
(Reuters) - U.S. Magistrate Judge James Orenstein of Brooklyn does not have the power to bind other courts. The 50-page opinion he issued Monday, denying the Justice Department's application for an order under the All Writs Act to compel Apple to help the government unlock the phone of a convicted drug dealer, will not end the California federal-court showdown between Apple and the Justice Department over an iPhone belonging to San Bernardino shooter Syed Farook. Judge Orenstein's decision isn't even the last word in the Brooklyn case - the Justice Department told Reuters Monday that it will ask for the order to be overturned by a district court judge.