Apple Inc. will scrap online pricing policies across Europe for iTunes music downloads and soon charge consumers in Britain and the rest of Europe the same amount, the company and the European Union said Wednesday.

Apple charges about 9 cents more per song in Britain compared with prices in nations that use the euro. The company said it has to pay more to record companies in Britain for distribution rights.

The maker of the popular iPod media players had been under review since April by EU authorities after a British consumer group complained that Apple and major record companies were unfairly restricting choice and ramping up the cost of downloads.

The European Commission said it had closed an antitrust probe into Apple’s iTunes operation after finding no evidence that EU laws were broken. However, the EU said some copyright issues involving Apple remain.

EU Competition Commissioner Neelie Kroes welcomed the agreement, saying it would “allow consumers to benefit

from a truly individual market for music downloads” across the 27-nation bloc.

Apple said it will lower prices for music on its British iTunes site “within six months” to match prices charged at 16 iTunes stores across Europe and “reconsider” ties with companies whether they do not lower wholesale prices in the UK during that same period.

“This is an vital step toward a pan-European marketplace for music,” said Apple Chief Executive Steve Jobs in a statement.

EU regulators said Apple’s distribution agreements restricted territorial restrictions which violate EU competition rules considering consumers can only download music from the iTunes store in their country of residence. Music buyers must supply a credit card issued by a bank with an address in the country where they live.

Downloading a individual in Britain costs 79 pence compared with 99 euro cents in Europe, a difference of about 9 cents allowing for currency…

Original post by Top Tech News