AnticompetitiveBehavior
Latest
Department of Justice probe eyes Sony's rechargeable battery business
After the headache-inducing bout of hacking woes that beset the corporation in recent weeks, a new Department of Justice-led investigation into Sony's US electronics division may have the company emptying that aspirin bottle. Details of the inquiry are scarce at the moment, but with the company's cooperation confirmed, all signs lead to an alleged price fixing of its rechargeable battery business. Citing data from a Tokyo-based research firm, a Bloomberg report indicates that a 2010 market surplus had Sony Electronics (amongst others) lowering battery prices at the expense of less financially-cushioned players. The notorious sector of the multinational's operations has been in the hot seat before -- namely, for actual laptop explosions -- but this time 'round the judicial maypole, it seems the Japanese giant may have been partaking in some anti-competitive shenanigans. If the DoJ hammer does happen to fall on Sony's already bowed head, the company could be facing a very expensive slap on the wrist and a fundamental change to its business practices. Luckily for Sony, we happen to believe in a little something called "innocent until proven guilty."
FCC radio spectrum auctions prone to anti-competitive behavior?
A new study concludes what some wireless industry pundits have thought for some time: FCC radio auctions may not be an optimal format for assigning radio spectrum. The way that the FCC uses auctions for assigning spectrum licenses "could be" subject to anti-competitive behavior by incumbent carriers, according to the study. Well, surprise surprise! The study makes a point of stating that the auction format does not work in all circumstances to ensure the benefits of the efficient use of spectrum actually occur as a result. Want proof? How's this: the recent Advanced Wireless Services auctions last year ended up with 98% of the spectrum in large metro markets going to incumbents; only 2% went to new auction entrants.
