Together, EMI, Sony BmG Music Entertainment, Universal Music Group Recordings, Inc., and Warner Music Group Corporation produced, licensed, and distributed 80% of the digital music sold in the United States. The companies formed MusicNet to sell music to online services that sold the songs to consumers. MusicNet required all of the services to sell the songs at the same price and subject to the same restrictions. Digitization of music became cheaper, but MusicNet did not change its prices.

Answer the following questions in your initial posting.

1. Did MusicNet violate the antitrust laws?Why or why not? Explain using specific legal principles from chapter 46.
2. Suggest one fact that would alter the outcome of the case. Be creative.