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Infineon To Pay $160 Million For Fixing RAM Prices

Posted by timothy on from the long-running-saga dept.

Jerrod K writes "Infineon Technologies pleaded guilty to charges of price fixing in an international conspiracy. The Justice Department said this is the third largest antitrust settlement ever. Other memory chip makers involved include Hynix, Samsung, and Micron Technology." Reader phalse phace adds a link to CNET's coverage.

6 of 356 comments (clear)

  1. Now thats fair. by DAldredge · · Score: 5, Insightful

    A local family man is facing 20+ years in prision for walking into the vault at the back where he worked and taking 100,000 USD.

    Why do large corps get away with crap like this, hell the goverment doesn't even go after those whitecollar criminals that skip bail...

    But, normal crimes they come down hard on.

  2. Free market isn't perfect by revscat · · Score: 5, Insightful

    Cases like this remind me why I don't think the libertarian philosophy towards free markets is all that realistic. Many libertarians believe that things such as this should be left to the marketplace to settle, and that government "interference" like this ultimately harms the market. I emphatically disagree. There are inherent flaws with the free market that the justice system can and should remedy so that the overall market is healthier thereby. Collusion does no one -- consumers, industries, or the economy as a whole -- any favors, and I fail to see how letting the market handle it would do anything but unfairly fatten the pockets of those who benefit.

    1. Re:Free market isn't perfect by Jahf · · Score: 5, Insightful

      You're right in the "many libertarians" statement, but that doesn't mean it is a clear majority. Unfortunately for Libs (like me) there are really 2 Lib groups within the party. Right/Conservative and Left/Liberal.

      The Liberal side would be more in favor of government taking care of business like this but trying for the most part to stay out of other places like social laws (most especially privacy). The Conservative side is more set on seeing government stay out of business entirely as well as the social aspects.

      I'm primarily a Libertarian Left because I'm more moderate on business than a Democrat, but far more liberal on social issues than a Republican, and I think both parties have sold out when it comes to privacy. However in this case I think the matter was solved properly.

      --
      It is more productive to voice thoughtful opinions (reply) than to judge (moderate) others.
  3. Re:Does this mean memory prices will fall? by mr_spatula · · Score: 5, Insightful

    Sure. Just like CD prices fell after the CD price fixing settlemet... oh, wait...

    Then I guess this will be like my rates with progressive going lower after they had the class action law suit over adjusting rates based on credit... oh, wait... that didn't happen either.

    The only peopel to benefit from this will be the lawyers and the major companies - the rest of us will be lucky to get a coupon for a dollar off.

  4. Why do we fine coporations and jail humans? by nlinecomputers · · Score: 4, Insightful

    If I personally break the law I will probably be incarcerated for my crimes. Yet a corporation who's only job is to make more money then it spends simply pays a fine. If I am in jail I can't earn any money or perform any deeds outside of a very limited set of rules. Corporations shouldn't be fined. They should be forced to shutdown or even be disbanded.

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    Slashdot, home of supporters of free software, free music, and free speech.Except for Moderators that disagree with you.
  5. Re:Fine line between "dumping" and fixing by SpecBear · · Score: 4, Insightful

    I don't see how it's a fine line between dumping and fixing. They seem to be polar opposites. As I understand it:

    Fixing: I get together with my competitors and we all agree to sell products at a certain price. Since we're no longer competing against each other, we can negate the downward pressure on prices (and thus profits) that usually results from a competitive market.

    Dumping: If I happen to have a bunch of money, instead of cooperating with my competitors, I try to kill them off. I price my products below the cost to make them, ensuring that nobody can run a sustainable business in the market. Since I have a bunch of money, I can last longer than my competitors. Once they die off or move on, I have a monopoly and can jack up prices far above what a competitive market would support.

    We all lose if these companies can't stabilize, but we all win if the companies that can't manage their freaking inventory die off and make room for companies that actually read their history and learn from it. Collusion won't end the boom/bust cycle. It'll just ensure that the consumer gets screwed on prices regardless of whether there's a shortage or a surplus.