EC launches two antitrust probes into IBM

Dylan Bushell-Embling | July 27, 2010

telecomseurope.net

The European Commission has launched two separate antitrust probes into IBM over allegations of illegal mainframe marketing practices.

The Commission alleges that IBM illegally tied sales of mainframe hardware with its mainframe operating system, and of discriminatory practices regarding maintenance services.

Emulator software vendors T3 and Turbo Hercules set the ball rolling in the mainframe investigations, the EC said, with the firms claiming that IBM's tying practices have prevented them from enabling IBM's OS to run on non-IBM hardware.

The second investigation has been initiated at the EC's own discretion.

It will examine whether IBM is keeping potential competitors out of the market for mainframe maintenance services by restricting access to spare parts that can currently only be sourced from IBM.

IBM has denied any wrongdoing, stating that it was just defending its intellectual property rights with its practices.

The company went on to state that the investigation is the cause of spurious complaints from Microsoft “and its satellite companies,” referring to the fact that Microsoft has a stake in T3, FT.com said.

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