US fines Hitachi-LG disk drive firm for price fixing

September 30, 2011
A worker adjusts a logo of Japanese electronics giant Hitachi at a trade fair in Berlin in 2007. US justice authorities hit a Japanese-Korean producer of optical disk drives with a $21.1 million fine for bid-rigging and price fixing, the Justice Department announced.

US justice authorities hit a Japanese-Korean producer of optical disk drives with a $21.1 million fine for bid-rigging and price fixing, the Justice Department announced.

Hitachi-LG , a joint venture of Hitachi Ltd. and , agreed to plead guilty in the case, which was filed Friday in the in San Francisco, the department said in a statement.

Hitachi-LG was charged with 14 counts of conspiring with other companies to rig bids and fix prices on sales of DC-ROM, DVD-ROM and other similar optical disk drives to computer makers Dell, Hewlett-Packard and Microsoft between 2004 and 2009.

"As part of the conspiracy, Hitachi-LG Data Storage and co-conspirators issued price quotations in accordance with the agreements reached and exchanged information on the sales of optical disk drives to monitor and enforce adherence to the agreed-upon prices," the Justice Department said in a statement.

The conspiracies "undermined competition and innovation in the high tech industry," acting assistant attorney general Sharis Pozen said.

Other companies involved in the price-fixing were not named.

It was the latest in a series of fines levied against foreign companies involved in price fixing in the Untied States.

On Thursday, Pozen announced a huge $200 million fine against Japanese auto parts firm Furukawa Electric on similar charges.

Three Furukawa executives were also given 6-18 month prison sentences.

Explore further: Taiwan LCD maker to pay $30 million fine in US case

Related Stories

Samsung unit fined $32 mn for price-fixing

March 18, 2011

A unit of Korean conglomerate Samsung was fined $32 million dollars for involvement in an Asian price fixing ring for a key computer monitor component, the US Justice Department said Friday.

Samsung fined $300M for conspiracy

October 14, 2005

Samsung Electronics was found guilty by the U.S. Department of Justice Thursday for conspiring to set prices on computer chips and fined $300 million.

Hitachi Files Plasma TV Patent Suit Versus LG

April 25, 2007

On Monday, a Hitachi subsidary filed a patent infringement suit against LG Electronics and one of its subsidiaries for the improper use of Hitachi's plasma display panel technologies.

Recommended for you

Microsoft aims at Apple with high-end PCs, 3D software

October 26, 2016

Microsoft launched a new consumer offensive Wednesday, unveiling a high-end computer that challenges the Apple iMac along with an updated Windows operating system that showcases three-dimensional content and "mixed reality."

Making it easier to collaborate on code

October 26, 2016

Git is an open-source system with a polarizing reputation among programmers. It's a powerful tool to help developers track changes to code, but many view it as prohibitively difficult to use.

Dutch unveil giant vacuum to clean outside air

October 25, 2016

Dutch inventors Tuesday unveiled what they called the world's first giant outside air vacuum cleaner—a large purifying system intended to filter out toxic tiny particles from the atmosphere surrounding the machine.

1 comment

Adjust slider to filter visible comments by rank

Display comments: newest first

1 / 5 (1) Sep 30, 2011
Hey whats wrong with forming a "union" to demand better pay for everyone and blocking out competition! [sarcasm]

Please sign in to add a comment. Registration is free, and takes less than a minute. Read more

Click here to reset your password.
Sign in to get notified via email when new comments are made.