Sam Oliver
A number of Apple suppliers, including Samsung, LG, AU Optronics and Innolux, have been fined by the Chinese government for price fixing.
A total of six companies have been accused of holding 53 secretive meetings in Taiwan and South Korea to agree on prices for LCD panels, according to Bloomberg. China's National Development and Reform Commission also fined Chunghwa Picture Tubes Ltd. and HannStar Display Corp. in the price fixing scheme.
The commission reportedly said that the companies, which mainly build LCD panels for TVs, also shared other confidential information between them. It also revealed that the companies confessed to their crimes.
For its part, Samsung Display Co. said it ceased participation in price fixing at the end of 2005. Though the company is a fierce rival, Samsung remains a key supplier to Apple, and was initially the only manufacturer of Retina displays for the third-generation iPad.
LG, another major Apple panel supplier, said its illegal activities occurred between 2001 and 2006.
China's fines come soon after a number of the same companies settled a class-action lawsuit in July, in which they paid a total of $1.12 billion in damages. As part of that deal, LG paid $380 million, Samsung paid $240 million, AU Optronics paid $170 million, and Toshiba Corp. paid $21 million.
LG, Samsung and Chunghwa were also hit with $585 million in fines in 2008 when all three companies pleaded guilty to price fixing in the LCD display market. At the time it was revealed that Sharp's role in the matter affected Apple from September 2005 to December 2006, when Sharp supplied iPod displays.
William Gallagher
Christine McKee
AppleInsider Staff
Chip Loder
Malcolm Owen
24 Comments
I do not believe that an ethical company like Samsung would engage in such a practice... /s
Since it's China doing this I take it with a grain of salt. Who knows what the Communist government's motive is in this case. Could be true, could be a shakedown, could be retaliation for something, could be political. You know, just like the U.S. government.
LoL for the comment that Samsung is an ethical company.
[quote name="lkrupp" url="/t/155307/samsung-lg-charged-with-lcd-panel-price-fixing-in-china#post_2254060"]Since it's China doing this I take it with a grain of salt. Who knows what the Communist government's motive is in this case. Could be true, could be a shakedown, could be retaliation for something, could be political. You know, just like the U.S. government.[/quote] Yeah, Samsung and the others undoubtedly admitted guilt that can open them up to multibillion dollar lawsuits just for the heck of it. They didn't do anything wrong and this is all fabricated by people who are out to get them. /s Did they pay you well for that post?
deleted