Quanta Storage

History

2019: Quanta Storage will pay HP of $439 million for collusion at sale of disk drives

At the beginning of January, 2020 HP Inc. seized $439 million from the Taiwan supplier of Quanta Storage disk drives for collusion to Samsung, Sony and Panasonic for overestimate of the prices. The American court decided to fill losses which the HP company suffered as a result of these frauds, in a threefold size.

In October, 2019 the Texas court decided that the Quanta Storage company should pay $176 million for collusion to rival producers of HP. During the investigation it became clear that for the purpose of overestimate of the prices of Quanta Storage disk drives entered a plot with the companies Hitachi- LG Samsung, Sony, Panasonic and some other producers of the optical disk drives CD ROM, CD-R/RW, Blu-ray, DVD, etc. Producers admitted charges and agreed to permit them out of court, however Quanta Storage decided to submit the case to Court of Appeal.

HP seized $439 million from the supplier of disk drives for collusion to Samsung, Sony and Panasonic for overestimate of the prices

As a result the judge of the federal district David Hittner decided that Quanta Storage and its American division listed to HP compensation for damage in a threefold size of rather initial court order, i.e. $528 million less $89 million which are already paid by other producers. The decision was made according to the antitrust law of the USA.

Quanta said that completion of damage in a threefold size breaks the constitutional prohibition on excessive penalties. However the judge rejected this argument, having specified that the antitrust law allows completion of losses in a threefold size if it is provided as compensation, but not as a penalty for the caused damage.

The lawyer of HP Alex Roberts told the news agency Bloomberg: HP hopes that this solution will serve as warning for suppliers worldwide. All market participants should understand that antitrust violation bears serious effects.[1]

Notes