Corning, maker of toughened Gorilla Glass for phones, faces EU antitrust probe
On Wednesday, the European Union opened an investigation of U.S. manufacturer Corning over possible anti-competitive practices.
On Wednesday, the European Union opened an investigation of U.S. manufacturer Corning over possible anti-competitive practices. Corning may not be a name that’s super familiar to the average tech consumer, but you are almost certainly within touching distance of its products as its a leading supplier of speciality toughened glass for mobile devices, including Apple’s iPhone. Its Gorilla Glass branding may also be a touch more familiar.
In a press release, the Commission said it’s concerned that Corning may have abused a dominant position for global supply of protective glass screens for handheld electronic devices, which may have resulted in distorted competition. In the Commission’s own words, Corning signed “anti-competitive exclusive supply agreements” with mobile phone manufacturers and companies that process raw glass (also known as OEMs and finishers, respectively).
“The Commission is concerned that the agreements that Corning put in place with OEMs and finishers may have excluded rival glass producers from large segments of the market, thereby reducing customer choice, increasing prices, and stifling innovation to the detriment of consumers worldwide,” the EU wrote.
The Commission said it will now carry out an in-depth investigation as a matter of priority. There’s no fixed timeline for concluding such a probe so it remains to be seen whether or not the EU will confirm any breach. But if it does, penalties for competition violations can be up to 10% of global revenue.
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