July 16, 2015 at 21:17The European Commission has launched two antitrust investigations against Qualcomm: a chip maker underestimates prices and makes discounts
The European Commission suspects Qualcomm of understating prices and using financial incentives for companies to exclusively purchase products for smartphones and tablets. Qualcomm had already paid a fine in China earlier this year for violating antitrust laws, and if the charges are confirmed, the European Commission will pay one tenth of the annual income.
The European Commission has opened two cases against Qualcomm . The company is suspected of "predatory pricing": according to experts, the company sets a low cost of production in order to squeeze competitors out of the market. As part of a second investigation, commissioners will find out if Qualcomm made discounts on condition that only their products were purchased. The penalty for violations can be up to 10% of Qualcomm's annual revenue.
Qualcomm is confident that these violations will not be proven, and are working with the commissioners to help collect all the information necessary for investigations.
In China in February 2015, Qualcomm had to pay a fine of $ 975 million for violating antitrust laws. The company was accused of using a dominant market position to sell licenses at inflated prices.
The European Commission is conducting several antitrust cases against large IT corporations. European Commission investigates Amazon's uncompetitive behavior, suggesting that the company's contracts with publishers contain provisions that may protect Amazon from competition from other sellers. Apple faced similar allegations, which is why it gave $ 450 million to settle the case. Against Google, the European Commission is investigating the protection of personal data .
The European Commission has opened two cases against Qualcomm . The company is suspected of "predatory pricing": according to experts, the company sets a low cost of production in order to squeeze competitors out of the market. As part of a second investigation, commissioners will find out if Qualcomm made discounts on condition that only their products were purchased. The penalty for violations can be up to 10% of Qualcomm's annual revenue.
Qualcomm is confident that these violations will not be proven, and are working with the commissioners to help collect all the information necessary for investigations.
In China in February 2015, Qualcomm had to pay a fine of $ 975 million for violating antitrust laws. The company was accused of using a dominant market position to sell licenses at inflated prices.
The European Commission is conducting several antitrust cases against large IT corporations. European Commission investigates Amazon's uncompetitive behavior, suggesting that the company's contracts with publishers contain provisions that may protect Amazon from competition from other sellers. Apple faced similar allegations, which is why it gave $ 450 million to settle the case. Against Google, the European Commission is investigating the protection of personal data .