Apple, Microsoft, Adobe summoned by Australia pricing inquiry

[softwareFREEk]

SYDNEY - Global technology giants Microsoft, Apple and Adobe were Monday ordered to appear before a pricing inquiry examining the often-higher cost of tech goods in Australia compared with other economies.

The lower house committee holding the probe, which was launched last May, said it had summoned the trio to appear at a public hearing next month to explain why Australian customers paid more for the same products.

"The committee is looking at the impacts of prices charged to Australian consumers for IT products," it said in a statement.

"Australian consumers often pay much higher prices for hardware and software than people in other countries."

The inquiry was set up to examine claims by consumer advocacy groups of price discrimination for Australians on technology, with music, games, software, and gaming and computer hardware costing substantially more than elsewhere.

According to consumer lobby group Choice, Australians pay on average 73 percent more on iTunes downloads than the United States, 69 percent more on computer products and a staggering 232 percent more on PC game downloads.

Office software was on average 34 percent more expensive in Australia when compared with the United States, Choice said in its submission to the inquiry, with hardware coming in at 41 percent more expensive.

One software package was Aus$8,665 (US$8,939) more expensive to buy in Australia than the United States -- a gap that Choice described as "particularly unreasonable".

"For this amount, it would be cheaper to employ someone for 46 hours at the price of $21.30 per hour and fly them to the US and back at your expense -- twice," Choice said.

Choice only did comparisons to the United States, not Asia-Pacific economies.

Apple and Microsoft have both made their own submissions to the committee, arguing that prices differed across jurisdictions due to a range of factors including freight, local taxes and duties and foreign exchange rates.

The Australian Information Industry Association, which represents Adobe and other major ICT firms, has submitted to the committee that the "costs of doing business in Australia are higher than in many other countries".

It pointed to retail rent costs and high wages as some of the main factors behind business costs in Australia being "5-10 percent higher than any other country... and these costs are passed onto consumers".

Source

what do you think my fellow Aussies :huh:
or anybody that would like to comment??

 

[McLovin]

I think that this is very true. You go down to Dick Smith for instance and find a great monitor you like and look at the price tag, being $850. You then go home and try and find it cheaper in a different store or try elsewhere online. Which I disagree, if they want us to buy Australian products then why not keep the prices low?

 

[softwareFREEk]

I think that this is very true. You go down to Dick Smith for instance and find a great monitor you like and look at the price tag, being $850. You then go home and try and find it cheaper in a different store or try elsewhere online. Which I disagree, if they want us to buy Australian products then why not keep the prices low?

got my vote McLovin

 

[Viking]

Unfortunately buying hardware or software is always going to be much cheaper if you buy it online for us Aussies !

 

[softwareFREEk]

Adobe is in hot water in Australia over the high pricing of its Creative Suite applications in the country. Recently, the company has been asked to justify the disparities — which have left frugal Australians better off flying to America than buying a copy at home — at a public hearing on March 22nd. Many have questioned why Adobe and others have such wildly different prices across different countries in the age of digital distribution. In a press meeting yesterday, Adobe CEO Shantanu Narayen was asked multiple times to explain why Australians need pay up to $1,400 more for Creative Suite than US residents — he didn't.

Adobe CEO shows how to dodge price-gouging questions

did you watch the interview on youtube Adobe’s CEO Completely Refuses to Answer Questions About Unfair Pricing...wow!!

 

[McLovin]

Funny, how he didn't really answer the questions. The way I see it is, if they have the price higher than the States, there is going to be people that will try and get it for free. Which then companies like Adobe get all ancy about people not paying for software, which if they had the price the same or around the same price people would be more happy to get it if that was the case, but it's not.

Not saying it's good to download software that you normally have to pay for, but companies are contributing to that.