Apple's iTunes faces US inquiry

The Guardian reports: The US justice department is making preliminary inquiries into Apple's activities in the digital music market, according to reports.

The New York Times and Wall Street Journal reported that the justice department contacted music labels and digital music providers earlier this month to ask them about Apple's conduct in the market.

"It was a very preliminary conversation," one source involved told Reuters.

Given Apple's leading market share the broad questions involved iTunes, these people said.

Billboard magazine reported in March that Apple had used its market dominance to prevent labels from agreeing to let Amazon.com exclusively debut new songs.

Spokespeople for Apple, Amazon and the justice department declined to comment.

It was reported yesterday that Apple's market value had overtaken Microsoft at $222.1bn (£155bn). Analysts suggested that the fact that the former underdog is now attracting attention from US regulators is a sign of its strength in the technology market.