Corning Under Antitrust Investigation: EU Probing if Gorilla Glass Maker Used Exclusive Contracts To Exclude Competitors From Phone Market, Says Report
According to a report, Corning has been under antitrust investigation by the EU. The Commission is reportedly probing to determine if the Gorilla Glass marker used exlusive contracts to exclude competitors from the phone market.
Paris, November 6: Corning Inc., a tech company known for offering speciality glass, ceramics and related products, has been investigated by the European Union over anti-competitive practices. Previously, the EU had opened antitrust investigations against tech giants like Apple and Google, who were asked to comply with the Digital Markets Act 2023 and allow customers to have more choices without restrictions.
The European Union has opened a formal investigation into Corning to learn if the Gorilla Glass provider had broken any antitrust laws, according to a report by The Verge. It said the company's "Alkali-aluminosilicate" glass was used to protect top phones and tablets. The report said that the clients using this glass across their extensive product range were Apple and Samsung. EU opened the antitrust investigation because it was concerned about Corning using a variety of exclusivity contracts, which barred rivals from the phone market. Amazon 5 Days a Week Return to Office Mandate Not Part of ‘Backdoor Layoffs’ but To Strengthen Culture, Says CEO Andy Jassy During All-Hands Meeting.
Margrethe Vestager, the outgoing EU competition chief, highlighted that the market needed to have strong competition so that the customers could benefit from the lower prices. She said that it would be a "very frustrating and costlier experience to break a mobile phone screen", and therefore, she added that the market needed more competitors to produce cover glass to ensure high quality and affordable prices.
Vestager said that the Commission would investigate if Corning had tried to exclude other glass makers and deprived the customers of getting cheaper and break-resistant glass in the market. The report mentioned that the Commission would look for exclusive sourcing obligations requiring the device makers to source "all" of the Corning glasses; this would enable the rebates for "exclusivity deals" and "forced device makers" to provide competitive offers. Mozilla Layoffs: Tech Company’s Non-Profit Arm The Mozilla Foundation Laying Off 30% of Its Staff Amid Going Through ‘Relentless Onslaught of Changes’.
EU would check if the device makers only accepted the offers from competitors if Corning failed to match the price. The Commission would fine if the EU antitrust investigation found Corning Inc. guilty. The report said that the glassmaker could also address concerns about its commitments to put an end to the investigation. Corning has been a major supplier of glasses to many brands, including Apple, Samsung, OnePlus, Xiaomi and others.
(The above story first appeared on LatestLY on Nov 06, 2024 07:50 PM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).