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Hitachi-LG Storage sued by Florida Attorney General over Price Fixing

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Florida’s attorney general Palm Bondi’s office filed a case against the optical disc drive manufacturer Hitachi-LG Storage, Inc. and its subsidiary company Hitachi-LG Storage Korea, Inc., alleging that the company is involved in price fixing. The office is seeking equivalent relief, damages, civil penalties for their Florida consumers, businesses and government institutions.

The complaint also states that the company and its subsidiary have participated in numerous meetings and discussions about sensitive information, price, sales , production and also about order of ODDs from Dell Inc., HP and Microsoft.

It also alleges that there are many co-conspirators in this price fixing controversy. The office  has named practically everyone involved in the ODD manufacturing business as names such as Hitachi, Ltd., LG Electronics, Inc., BenQ Corporation, BenQ America Corporation, Koninklijke Philips Electronics N.V., Lite-On IT Corporation, Philips & Lite-On Digital Solutions Corporation, Philips & Lite-On Digital Solutions USA, Inc., Sony Corporation, NEC Corporation, Sony NEC Optiarc, Inc., Sony Optiarc, Inc., Sony Optiarc America, Inc., Samsung Electronics Co., Ltd., Toshiba Corporation, Toshiba Samsung Storage Technology Corporation, Toshiba Samsung Storage Technology Corporation Korea, Panasonic Corporation, Panasonic Corporation of North America, TEAC Corporation, TEAC America Inc., Quanta Storage Inc., and Quanta Storage America, Inc. are included in the lawsuit.

This isn’t the first time Hitachi-LG Storage, Inc. involved in price fixing controversy. Few years ago, the company was charged with 15 counts of felony by United State’s Department of Justice in the District court of San Francisco, which then had to pay $21.1 Million as a criminal fine and pleaded guilty of bid rigging and price fixing of ODDs.

ODDs are drives that read and write data on optical disks such as CDs and DVDs, which are being used as internal or external add-ons and used by PCs, disk players and Video game consoles, to name a few.
The State attorney issued a statement:

“Price-fixing hurts healthy business competition and costs Florida’s businesses, consumers, and governmental agencies by requiring them to pay higher prices for products. My office is committed to protecting Floridians, and we will work to obtain relief for those affected by this alleged price-fixing scheme.”

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One comment

  1. someone please sue wd and seagate for hiking up the price. they are the biggest con artists in the history of anti-trust. making such business as a monopoly/duopoly is unfair to its users, sometimes i wonder if that is the reason amd doesnt release chips quicker than intel overall.

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