In short, Apple, Adobe and Microsoft have all been called before a govt inquiry into apparent price gouging of Australian users.

As the article says: 'Choice found that for one Microsoft software development product you could fly to Los Angeles return to buy the software and still save thousands of dollars.'

I presume that is a reference to the outrageous pricing of Visual Studio in Australia.

I'm not expecting much, but nevertheless, hope something comes of it.

Australian VS pricing is about 160% of USA VS pricing.

Our exchange rate is currently sitting around 105% of USA's, and has been for a long time.

The product is provided electronically and supported from USA, so it's not as if MS Australia actually does anything or has any costs to cover.

VS USA Pricing includes taxes, so even the argument of our local tax seems a red-herring.

Edit: The inference is that Apple, Adobe and MS are all running a scam to inflate Australian prices across the board, effectively negating the 'competition' argument.

Microsoft, Apple and Adobe combined are not small. If their products are 160% more expensive than the exact same product in other countries, then that makes it more expensive for small businesses in Australia to do business compared with if those businesses set up shop somewhere else.

Even if MS, Apple and Adobe are not doing anything illegal, if I was australian, I'd be demanding that the government take action to stop this behaviour.

That's all I'm asking Elmer spoke to that point, so I guess we'll just have to see.

I'm not sure what recourse the government has.  If they just forbid selling the products that would be terrible for end-users.  Would it be fines, perhaps, or...?

The EU fined MS billions of dollars twice for unfair business practices in the EU. I'm pretty sure if the ozzies wanted to they could make life hard for MS, Adobe and Apple.

Even if the government is wrong, pissing them off is pretty much always a bad idea. They always have the last laugh.

There is no import tax, ridiculous laws, regulations or bans that apply to software.

As with most things sold here, there is a 10% GST applicable, but there are sales taxes applicable to the USA prices, and our $ is worth more than the USA.

Our wages (and cost of living) are a bit higher than the USA, but as already mentioned above, when you are talking about electronically distributed software, and no local support, that is hardly a consideration.

This is not a problem caused by govt, and one would hardly imagine them holding an inquiry if there were any chance it was. I recall a classic line from Yes Minister - Never hold an inquiry unless you already know the answer.

1 hour ago, elmer wrote

@magicalclick: WTF? 

There is no import tax, ridiculous laws, regulations or bans that apply to software.

I don't know about MS products. But, Australia government's ban on gaming software are just ridiculous.

7 minutes ago, magicalclick wrote

*snip*

I don't know about MS products. But, Australia government's ban on gaming software are just ridiculous.

Personally, I have no issue with the short list (about 25?) of games that are banned.

http://en.wikipedia.org/wiki/List_of_banned_video_games_in_Australia

10 minutes ago, magicalclick wrote

*snip*

I don't know about MS products. But, Australia government's ban on gaming software are just ridiculous.

Since MS, Adobe and Apple's products are in the majority not gaming software, I fail to see how the Australian government's alleged ban on gaming software makes any difference to the price of Visual Studio or an iPhone.

Where Apple does have a problem however, is that Australians pay significantly more for electronic purchases (Tunes, Apps, Books, etc) and it's hard to see the reason for that.

25 minutes ago, Proton2 wrote

Microsoft should increase prices throughout the world to match Australia's prices. Logically, that should also make Labor MP Ed Husic happy as well.

Which is what has just happened in Europe with driver's insurance -- some guy took the insurance companies to court because female drivers had lower premiums (presumably based on actuarial data) and the courts judged that this was unfair The insurance companies were told to make the premiums the same, to they've raised premiums for female drivers to match those of male drivers. 

Herbie 

10 hours ago, evildictait​or wrote

*snip*

Since MS, Adobe and Apple's products are in the majority not gaming software, I fail to see how the Australian government's alleged ban on gaming software makes any difference to the price of Visual Studio or an iPhone.

5 hours ago, magicalclick wrote

*snip*

I know their crooked law to gaming industry may not translate to crooked laws elsewhere, hence, I have been using the word, "likely".

I'll give you the benefit of the doubt here, and assume that you are using the word 'crooked' incorrectly, and meant to say something else.

In related topic, games are also a lot more expensive. Partially due to their high cost of distribution, sales team, accounting team, customer support team, and etc.

http://au.gamespot.com/features/why-australian-game-prices-will-not-drop-6401518/

The future of physical games is very limited, and will be phased out as electronic sales become the norm. At that point, they will be in the same boat as the other players mentioned above, trying to justify higher prices for something that involves no significant cost difference.

13 hours ago, Bas wrote

Well, Adobe is already quaking. If prices can be dropped 20% that easily and that fast, Australia may have a point.

My Adobe subscription happened to renew last night, and it magically dropped by 25%

It's excellent that Adobe found 25% cost savings over-night and were able to pass them on

1 hour ago, elmer wrote

*snip*

I'll give you the benefit of the doubt here, and assume that you are using the word 'crooked' incorrectly, and meant to say something else.

*snip*

http://au.gamespot.com/features/why-australian-game-prices-will-not-drop-6401518/

The future of physical games is very limited, and will be phased out as electronic sales become the norm. At that point, they will be in the same boat as the other players mentioned above, trying to justify higher prices for something that involves no significant cost difference.

4 minutes ago, magicalclick wrote

*snip*are we talking about a product that provides customer service that is likely to have established an expensive office and employees in the local region, or are we talking about Microsoft Points being overpriced?

I have no idea what you are talking about, and I'm starting to suspect that neither do you.

17 hours ago, elmer wrote

*snip*

Personally, I have no issue with the short list (about 25?) of games that are banned.

http://en.wikipedia.org/wiki/List_of_banned_video_games_in_Australia

 

I do.  I grew up thinking all aussies were beer swilling rugged individuals with giant knives and a healthy respect for drop-bears.

Turns out they are just perfumed dandies....

7 hours ago, cbae wrote

Sounds like some religious tribunal against heresy.

Nobody expects the Australian inquisition!

34 seconds ago, Sven Groot wrote

*snip*

Nobody expects the Australian inquisition!

Although we can buy softwares through the internet, Microsoft has still need to care for local retail shops that are selling retail boxes for them, therefore cannot make the online option "too attractive".

Btw, I heard the internet connection speed was slow for most area in Australia, is that still the case there?

Australia is currently in the process of rolling out a nation-wide FTTP replacement of the existing copper network. Once completed, 97%+ of the country should have access to 100Mb+ broadband. Until then, anywhere outside the main metro regions (and even areas inside those) are limited by the poor condition of the copper network.