Today marks the start of Apple’s ebook price-fixing trial in a federal court in Manhattan.

The lawsuit accuses Apple of trying to break Amazon’s pricing on digital books by raising the cost of ebooks. Allegedly, Apple did this by working in conjunction with 5 large US book publishers such as Hachette, HarperCollins, Simon & Schuster, Holtzbrinck Publishers (Macmillan) and the Penguin Publishing Co. Ltd. (Penguin group).

The five accused book publishers chose not to appear in court and instead agreed to financial settlements and a promise of removal of discounting restrictions. However, Apple has chosen to fight on with this case with CEO Tim Cook stating: 'We're not going to sign something that says we did something that we didn't do, so we're going to fight.'

According to the US Justice Department, former CEO Steve Jobs, in a quote attributed to his official biography, wrote:

"We'll go to the agency model, where you set the price, and we get our 30 percent, and yes, the customer pays a little more, but that's what you want anyway."

If Apple loses this case, the US Government can seek to prevent them from engaging in similar practices in the future.