News
 

Bookmark and Share

(0) 

The European Commission has decided to initiate formal antitrust investigations against IBM Corp. in two separate cases of alleged infringements of EU antitrust rules related to the abuse of a dominant market position. Both cases are related to IBM's conduct on the market for mainframe computers.

The first case follows complaints by emulator software vendors T3 and Turbo Hercules, and focuses on IBM's alleged tying of mainframe hardware to its mainframe operating system. IBM is alleged to have engaged in illegal tying of its mainframe hardware products to its dominant mainframe operating system. The complaints contend that the tying shuts out providers of emulation technology which could enable the users to run critical applications on non-IBM hardware.

The second is an investigation begun on the commission's own initiative of IBM's alleged discriminatory behaviour towards competing suppliers of mainframe maintenance services. In addition, the commission has concerns that IBM may have engaged in anti-competitive practices with a view to foreclosing the market for maintenance services (i.e. keeping potential competitors out of the market), in particular by restricting or delaying access to spare parts for which IBM is the only source.

The initiation of proceedings does not imply that the commission has any proof of infringements.

Mainframes are powerful computers which are used by many large companies and government institutions worldwide to store and process critical business information. It is estimated that the vast majority of corporate data worldwide resides on mainframes. In 2009 approximately €8.5 billion worldwide and €3 billion in the European Economic Area were spent on new mainframe hardware and operating systems.

Tags: IBM, T3, Turbo Hercules, Business

Discussion

Comments currently: 0

Add your Comment




Related news

Latest News

Tuesday, July 15, 2014

6:11 am | Apple Teams Up with IBM to Make iPhone and iPad Ultimate Tools for Businesses and Enterprises. IBM to Sell Business-Optimized iPhone and iPad Devices

Monday, July 14, 2014

6:01 am | IBM to Invest $3 Billion In Research of Next-Gen Chips, Process Technologies. IBM to Fund Development of 7nm and Below Process Technologies, Help to Create Post-Silicon Future

5:58 am | Intel Postpones Launch of High-End “Broadwell-K” Processors to July – September, 2015. High-End Core i “Broadwell” Processors Scheduled to Arrive in Q3 2015

5:50 am | Intel Delays Introduction of Core M “Broadwell” Processors Further. Low-Power Broadwell Chips Due in Late 2014

Wednesday, July 9, 2014

4:04 pm | Intel Readies New Quark “Dublin Bay” Microprocessors. Intel’s “Dublin Bay” Chips Due in 2015