Broadcom Appeals Rare EU Ultimatum to Stop Sales Tactics
Broadcom Appeals Rare EU Ultimatum to Stop Sales Tactics
(Bloomberg) --
Broadcom Inc. appealed a European Union order forcing the company to drop allegedly unfair clauses that may compel set-top box makers to use its chips.
The appeal opens a court fight over the validity of a rarely used regulatory tool meant to prevent victims from suffering while probes drag on for years.
EU Antitrust Commissioner Margrethe Vestager in October ordered Broadcom to end “anti-competitive provisions” in contracts within 30 days while her agency continues a probe into allegations that the U.S. supplier forces six of its main customers to buy its chipsets. Broadcom said at the time that it would appeal the decision.
The appeal was filed Dec. 23, according to the EU General Court’s website. Broadcom didn’t immediately respond to an email seeking comment.
The EU hasn’t used interim measures in nearly two decades. The order in the Broadcom case came after criticism that EU probes into Google and Intel Corp. took so long that that the market had fundamentally changed by the time fines were levied.
To contact the reporters on this story: Stephanie Bodoni in Paris at sbodoni@bloomberg.net;Aoife White in Brussels at awhite62@bloomberg.net
To contact the editor responsible for this story: Anthony Aarons at aaarons@bloomberg.net
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