Qualcomm is no stranger to legal action, but at the end of the day, youve gotta hit em in the pocketbook if you want to get a company to change its ways. South Koreas antitrust authorities have decided that the wireless chipmaker is guilty of some nefarious deeds, imposing a 260 billion won fine -- thats 26 with ten zeroes after it -- or about $209 million, which is a new record for the agency. The company has a rather large operation in South Korea dealing with giants Samsung and LG, and that seems to be where the problem starts -- South Korea claims that theyre offering better contracts to companies who deal exclusively with Qualcomm and shun its competitors, which the government is taking issue with. For its part, Qualcomm denies any wrongdoing and is vowing to "vigorously" defend itself as it works its way through the countrys court system. Whatever, we just want cheaper phones, you know?
Tuesday, July 28, 2009
South Korea slaps Qualcomm with massive fine for anticompetitive behavior
Qualcomm is no stranger to legal action, but at the end of the day, youve gotta hit em in the pocketbook if you want to get a company to change its ways. South Koreas antitrust authorities have decided that the wireless chipmaker is guilty of some nefarious deeds, imposing a 260 billion won fine -- thats 26 with ten zeroes after it -- or about $209 million, which is a new record for the agency. The company has a rather large operation in South Korea dealing with giants Samsung and LG, and that seems to be where the problem starts -- South Korea claims that theyre offering better contracts to companies who deal exclusively with Qualcomm and shun its competitors, which the government is taking issue with. For its part, Qualcomm denies any wrongdoing and is vowing to "vigorously" defend itself as it works its way through the countrys court system. Whatever, we just want cheaper phones, you know?
