IBM faces EU antitrust probe
27 July 2010
Emma Barraclough, London
IBM has become the latest company to face an antitrust investigation in Europe over allegations that it may have abused a dominant position
The European Commission says it is initiating formal investigations against the company in two separate cases.
Both relate to the way that the company sells its mainframe computers.
The first case was triggered by emulator software vendors T3 and Turbo Hercules, who complained to the competition watchdog about IBM’s alleged tying of mainframe hardware to its mainframe operating system.
The two companies say that IBM has shut out providers of emulation technology that could enable users to run critical applications on non-IBM hardware.
The Commission says that the market for mainframes is a lucrative one and estimates that last year businesses spent about €8.5 billion worldwide and €3 billion in the European Economic Area on new mainframe hardware and operating...
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