News Posts matching "price-fixing"

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DRAM Price-Fix Uncovered in China, 'Massive Evidence' Against Samsung, SK Hynix and Micron

The Chinese State Administration for Market Regulation has been conducting an anti-monopoly investigation of the global Dynamic RAM market. According to an interview of Wu Zenghou (bureau's head) in the Financial Times, this process has found "massive evidence" against the three companies (Samsung, Hynix, and Micron) that are responsible for the vast majority of this segment. "The anti-monopoly investigation into these three companies has made important progress", points out the investigator. On April these three companies were hit with a price-fixing suit on the same matter in the US, and this investigation seems to confirm those reports.

There is even an older precedent, as Samsung and Hynix were fined both by the US Department of Justice in 2005 and by the European Commission in 2010 on price-fixing allegations. The charges now are similar, and if the companies are found guilty, they could face fines of over $2.5 billion. Some analysts suggest this investigation could be part of the trade war between China and the US, with the former trying to get some leverage pushing the Chinese semiconductor company Fujian Jinhua Integrated Circuit as a bigger player on this market. One that, by the way, is being investigated on allegations of misappropriated trade secrets from Micron. Samsung and SK Hynix have accused China DRAM makers of industrial espionage, too.

NDRC, Samsung to Sign MOU That Could Moderate DRAM Prices, Increase Production

PC hardware enthusiasts all over (but particularly in our own forums) have been adamant in how this is one of the worst times to be building a new system. And it's true; the DIY market is a mess right now, as our own btarunr mentioned in his latest editorial; so much so, that in a full reversal of years and years of experience, users might now actually be better served in the $/performance department by buying their systems from boutique retailers, than by acquiring all of the parts separately. It's a mad, mad world out there, for a multitude of reasons; but one such reason is DRAM pricing. And fortunately, it seems that China's National Development and Reform Commission (NDRC) is on the verge of signing a Memorandum Of Understanding (MOU) with Samsung that might help the DRAM market as a whole.

China Regulator to Look Into Possible DRAM, NAND Price Fixing by Manufacturers

It's been a couple years now that we've seen continuously increasing pricing of DRAM and NAND semiconductors. The price increase, which has been hailed and documented over, over, and over again (and there are way more articles on this subject here on TPU), follows reported increased demand which has failed to be accompanied by its respective manufacturing and supply ability.

However, reports that companies were planning on increasing production of DRAM and NAND below the expected increases in supply demand may have turned at least some regulatory eyes towards the issue. China's National Development and Reform Commission's Pricing Supervision Department (NDRC) said they are aware of the situation, how it could point towards price-fixing from the four major NAND production players (Samsung, Hynix, Micron and Toshiba), and are looking into the matter. "We have noticed the price surge and will pay more attention to future problems that may be caused by 'price fixing' in the sector," the official Xu Xinyu was quoted as saying in an interview to Chinese newspaper Daily China.

SSD Pricing to Surge on the Back of NAND Shortages - Stock Your SSD Needs

Business. Business never changes. Whether you're for Keynes or Hayek, some truths just can't be escaped: and the one based on the market tending to equilibrium between the forces of supply and demand is oft times almost akin to a law of physics - other times, not so much. This time, it appears as if the market forces are steering NAND prices through the roof. The causes? Varied, though you probably carry one of them in your pocket most of the time. We earlier reported surging prices in the DRAM market, spurred by the Note 7 fiasco and increased production of that smartphone's competitors (and Samsung's own products) to fill the gaping hole left by its forcible market removal. But not only by DRAM are smartphones powered - they also make use of NAND flash.

LG, AUO, Toshiba Cough Up Fines to Settle Price-Fixing Case

Fence-sitters in the massive LCD panel price-fixing case, LG, AUOptronics, and Toshiba, finally agreed to pay their share of fines to settle. The three combined will pay US $571 million in fines, according to an attorney for the plaintiffs. The amount includes US $27.5 million in civil penalties for eight state governments (Arkansas, California, Florida, Michigan, Missouri, New York, West Virginia and Wisconsin).

In late-December 2011, the first set of fines were collected from LCD panel majors Samsung, Sharp, Hitachi, HannStar, and Chimei Innolux; who cumulatively paid US $553 million in the price-fixing case, as LG, AUO, and Toshiba abstained. AUOptronics was faced with the prospect of having to pay fines as high as US $1 billion. The case involves alleged price-fixing and cartel behavior by LCD panel makers in the period between 1996 and 2006, which stunted LCD panel development, and overpriced products to the consumers, by stifling competition.
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