FTC ASKS "WHAT’S OPERA, DOC?"

The Federal Trade Commission, the "friendliest trade commission," charges that AOLTW’s Warner Communications and Vivendi Universal predecessor PolyGram conspired to fix prices and limit competition via a joint-venture deal for the Three Tenors. You know, Luciano Pavarotti, Placido Domingo and, uh, that other guy. The three record at the World Cup finals every four years. Remember? You bought it for your mom for Christmas two years ago.

The FTC says that the companies broke the law when Warner and PolyGram formed a JV to distribute the discs and set non-advertising/ discount dates. It alleges specifically that PolyGram agreed not to discount or advertise the first Three Tenors album and video and Warner agreed to the same for the second set from Aug 1-Oct 15, 1998 and, in turn, certain catalog pieces. Warner has settled by agreeing to refrain from similar agreements. Vivendi Universal lawyers should be expecting a blue piece of paper from the FTC, telling them to meet in an administrative court.

Wonder if you’ll be able to get the Three Tenors on MusicNet or Pressplay…

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