[News] Samsung, Micron, and Hynix Reportedly Slapped with Colossal Antitrust Fines
https://www.techpowerup.com/245370/s...ntitrust-fines
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China's Anti-Monopoly Bureau of Ministry of Commerce visited Samsung Electronics, SK Hynix, and Micron Technology last year to express its concerns over the high prices of DRAM. Unfortunately, these meetings yielded no results as DRAM prices continued to skyrocket in the first quarter of this year. With their patience exhausted, Chinese antitrust regulators finally launched an investigation into Samsung, Micron, and Hynix, which collectively owns 90% of the global DRAM pie. The three DRAM vendors are allegedly cooperating with the Chinese authorities to shed some light into the whole DRAM price fixing matter. If found guilty, they could face fines between $800 million to $8 billion. The estimated fines were calculated based on the companies' DRAM sales in China between 2016 and 2017.
Whether you believe in coincidence or not, Samsung, Micron, and Hynix have a long history of being partners in crime. The trio, along with Infineon and Elpida Memory, conspired to fix prices on DRAM in the United States from April 1999 and June 2002. Infineon pleaded guilty in 2004 and was fined $160 million. Hynix cracked shortly afterwards and paid $185 million in fines. Elpida got off the hook easy with a $84 million fine, while Samsung took the biggest hit paying up to $300 million. Curiously, Infineon called it quits shortly after the incident, and Micron later acquired Elpida. In other news, China aims to become self-sufficient in the IC department by supporting local manufacturers like Yangtze Memory Technologies (YMTC).
