Nokia accuses 11 LCD manufacturers for conspiring on pricing

7th December, 2009 by adina
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The number one in phone manufacturing, Nokia, is suing eleven LCD displays producers for conspiring on fixing the liquid crystal displays prices. The information comes from a Wall Street Journal report. In the suit, filed in San Francisco on November 25th, Nokia claims that the eleven companies maintain high prices of LCDs, above a normal level fixed by a competitive market. The suit refers to the period starting on January 1st, 1996 and ending on December 11th, 2006, when Nokia purchased overpriced displays for its smartphones. The companies accused by Nokia for unfair price practice are Samsung, Toshiba, Sharp, LG Display, Philips Electronics, Seiko Epson, Samsung SDI, Hitachi Display, AU Optronics, Tatung and Chunghwa Picture Tubes.

Nokia believes price fixing is a reality and even a court settlement will probably not be released earlier than a few years, the company is still confident in its action. Nokia is also n to any settlement, even outside of court.

Nokia is not the only company to initiate such actions, as AT&T, in October, also sued Samsung, LG Display, AU Optronics and other LCD producers for similar circumstances and for the same period of time. Late in 2008, Sharp and Chunghwa Picture Tubes had to plead guilty in a similar case regarding price fixing of large LCD panels and were forced to pay $585million in fines. Hitachi also had to face similar charges and paid $31 million in March this year.


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