LCD Screen Makers Plead Guilty in Price Fixing Case
by , 9:20 AM EST, November 13th, 2008
Sharp, LG, and Chunghwa Picture Tubes have all agreed to plead guilty to charges that they collaborated to fix the price of LCD displays. The companies agreed to pay US$585 million in fines for artificially raising the price of displays in products including Apple's iPod, according to the Wall Street Journal.
Sharp was accused of involvement in three different price-fixing conspiracies where it sold LDC panels to Apple, Dell, and Motorola, LG and Chunghwa were accused of conspiring to set mutual LCD component prices.
The companies were able to set artificially high prices, which ultimately were passed on to consumers. Assistant Attorney General Thomas O. Barnett said that the conspiracy "affected millions of American consumers who use computers, cellphones and numerous other household electronics every day."
He added that LCD prices should come down now, leading to lower prices for consumers.
Sharp representatives stated that the company "understands the gravity of this situation and will strengthen and thoroughly implement measures to prevent the recurrence of this kind of problem, and will earnestly work to regain the public's confidence."
LG and Chunghwa have not commented on their plea.
Observer Comments
I have received checks in the mail from a variety of lawsuits like this, when I didn't even know I had been "wronged". Among them, insurance and CD price-fixing. A class-action lawsuit is usually filed on behalf of all the wronged customers. You may yet receive a mailing asking you to verify that you bought a certain LCD-containing product between certain dates, and if you can, you might get some money back in the form of a check. It DOES happen.
These items are not necessities so why any of us deserve compensation. They can charge whatever they want. If one advertises for a certain price then the other follows so what's the difference. Much like gasoline. Hence the reason why they charge a certain amount in a given area and a different amount where competition is higher.
I'd be happy if this court case just allowed LCD's to come down to a price where they were affordable to lower-income families. LCD's create significant electircal savings and have a much sharper picture than tube (projection TV's) and often the only reason people don't update their technology is because of price. With the DTV conversion coming up hot on our heels, it would be nice if the prices dropped sharply enough so that people who would normally have to purchase a converter or who normally wouldn't upgrade to a digital TV could now afford to upgrade to a shiny, new, digital LCD...
You forgot Chinese (Chungwa). These people are patently unethical. The Japanese copied everything for decades and are very dishonest with their intentions to put US manufacturing out of business. The Koreans started as cheap labor for the Japanese but now do the same thing as them. And the Chinese steal and copy everything they can, all the while employing defacto slave-labor.
QuoteGuest wrote:
The Free Market is dead companies cant be trusted and greed will always overcome good. The Answer? I dont know but there should be some automatic method we could come up with other then 7 years of litigation every time we get screwed!
How little you know about how the free market works. The free market is constantly hampered by government regulation and lawsuits like this that increase costs for businesses and ultimately get passed on to the very consumers those controls are designed to protect.
Get this through your thick heads- companies do not exist for your benefit. They exist for the benefit of their shareholders. It's not greed, it's the way the world is. They are not obligated to do ANYTHING for you or anyone else besides generate profit. They are not your friend, and they are not your caretaker. Don't like that? Don't buy their products. No one forces you to.
Is a family of eight with two degreed employed parents making less than a 100,000 per year low income or sorry or whatever else is assumed about a family's financial situation? The family (consumer) is not the problem. The regulators being paid to prevent these types of actions are the problem. That is who is sorry or in this case a wellfair recipient who is getting a check for not working. Think about it objectively and the truth becomes clear.
QuoteGuest wrote:
"where it sold LDC panels to Apple, Dell, and Motorola, LG and Chunghwa"
Maybe a dash, or a semicolon, or a period would make the article actually make some sense. Utterly unreadable as published and a waste of time even upon re-reading.
This is a blog, geniuses. Blogsphere is as close to publishing and/or journalism (with qualified, educated journalists) as a fart is to romance. Proofreading and knowledge of basic grammar are not required when you consider that 90% of those reading wouldn?t know a well-written piece if it crawled up their ass.
And greedy US corporations can not wait to do business with cultures that do not have an understanding or defintion of "unethical", or for that matter ever historically viewed equality and fairness as a component of advanced or advancing society. While Corporations know full well that any business engagement with one of the cultures in question could end up in litigation. Hence, the increased or elevated prices for their goods as litigation fees and class action lawsuits payouts laughably are conscientous (professional) points of product pricing.
QuoteGuest wrote:QuoteGuest wrote:
"where it sold LDC panels to Apple, Dell, and Motorola, LG and Chunghwa"
Maybe a dash, or a semicolon, or a period would make the article actually make some sense. Utterly unreadable as published and a waste of time even upon re-reading.
This is a blog, geniuses. Blogsphere is as close to publishing and/or journalism (with qualified, educated journalists) as a fart is to romance. Proofreading and knowledge of basic grammar are not required when you consider that 90% of those reading wouldn?t know a well-written piece if it crawled up their ass.
I fart on my girl, and the romance is on
It costs less than a $1.50 to bring a gallon of gas to the pump and that includes ALL taxes as well as end distribution point profit. So comparing gas as well as this price fixing scandal is an execellent point of comparison. In fact, gasoline price fixing is exactly what OPEC does and the US again eagerly awaits to do business with cultures that could not care less about fairness, equaliy or ethics.
QuoteGuest wrote:
"Seriously, why do people feel the need to be anal about the spelling of words like dumbass?"
Hehe, he said ANAL.
Seriously, why do you have to be so childish. Don't you know that it only tears down this highly intelligent debate we adults are haveing. GO play in the street or something and get off my lawn!
QuoteGuest wrote:
It costs less than a $1.50 to bring a gallon of gas to the pump and that includes ALL taxes as well as end distribution point profit. So comparing gas as well as this price fixing scandal is an execellent point of comparison. In fact, gasoline price fixing is exactly what OPEC does and the US again eagerly awaits to do business with cultures that could not care less about fairness, equaliy or ethics.
Ok. Gas is a great comparison. But we're done talking about gasoline now. We're talking about how everyone who bought an iPhone during the time of this LCD heist got screwed. I HAD A DREAM LAST NIGHT THAT I BOUGHT AN IPHONE!
QuoteGuest wrote:QuoteGuest wrote:
It costs less than a $1.50 to bring a gallon of gas to the pump and that includes ALL taxes as well as end distribution point profit. So comparing gas as well as this price fixing scandal is an execellent point of comparison. In fact, gasoline price fixing is exactly what OPEC does and the US again eagerly awaits to do business with cultures that could not care less about fairness, equaliy or ethics.
Ok. Gas is a great comparison. But we're done talking about gasoline now. We're talking about how everyone who bought an iPhone during the time of this LCD heist got screwed. I HAD A DREAM LAST NIGHT THAT I BOUGHT AN IPHONE!
I appreciate your accuracy. We are really talking about the utter corruption that we trust to represent and conduct the direction of our (the US) annual consuming dollars. And how that trust is disrespected
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