The U.S. Federal Trade Commission (FTC) has approved a Final order designed to curb Broadcom’s “anti-competitive conduct”.
The order prohibits the Californian semiconductor company from entering into “certain types” of exclusivity or loyalty agreements with customers in connection with the supply of silicon for “devices that provide broadband internet and television services.” It also prohibits Broadcom from retaliating against customers who go elsewhere for their chip needs.
In June, a complaint issued by the FTC accused the company of “illegally monopolizing the markets for semiconductor components.” The Broadcom settlements, according to the FTC, “created insurmountable barriers for companies trying to compete.”
Broadcom agreed to settle July. Their deals have also come under scrutiny in the EU, and the European Commission in October 2020 finally agreed. commitments that would “suspend all existing agreements containing exclusivity or quasi-exclusive agreements and / or leverage provisions relating to Systems-on-a-Chip (‘SoC’) for TV set-top boxes and Internet modems, and has committed not to enter into new agreements that include such terms “.
An infamous attempt by Broadcom to buy Qualcomm ended in tears in 2018, although he later consoled himself by choosing CA Technologies. Something we describe as “Rarer. Acquisition. Always.“Because, frankly, it was.
More recently, the company found itself in Hot water patents over Wi-Fi held by the California Institute of Technology. Never enrage a boffin, or their lawyers.
Broadcom did not immediately respond to a request for comment on the FTC’s final order. He was probably too busy polishing the Customer of the year award you picked up from Google Cloud last month.
In September, the company reported a 16 percent increase in revenue for the third quarter of fiscal 2021. Net revenue was $ 6.8 billion, of which its “semiconductor solutions” segment accounted for $ 5 billion (up 19 percent). hundred more than a year ago). ®