Samsung loses initial appeal against Dutch regulator's €40 million price-fixing fine

Electronics and technology company Samsung is appealing a fine from the Dutch Authority for Consumers and Markets (ACM), the regulator announced. The South Korean company was given 40 million euros in fines last year amid accusations the company influenced the prices that shops were charging for Samsung televisions, which meant that customers paid more.

The ACM rejected the appeal saying it was unfounded. Samsung can now fight the fine in front of a judge. It is not yet known if the company will do that. Samsung stated in its letter of appeal that it is not true that the company has constantly monitored sales prices.

According to the competition watchdog, Samsung decided the sales price for seven retailers from January 2013 to December 2018. "The influence of pricing in this way is an illegal practice against competition. The behavior of Samsung was to limit the competition," said the ACM.

Upon investigation, the ACM encountered unlawful practices by Samsung with shopkeepers who sold the brand's televisions in their webshop. If the sales price was lower than what Samsung wanted, the company sent messages to the sellers that the price had to be increased. Employees presented this as a piece of advice, but according to the regulator, there was no appearance of the messages being open to discussion. Samsung also became involved when shopkeepers would complain about competitors selling the brand's televisions for less.

Shopkeeper complaints brought the matter to the attention of the ACM. The regulator had earlier decided not to punish the shopkeepers who were a part of the price influence. Samsung sent the strong signals, putting them in a position as orchestrating the plan.

"But it does show that retailers need to be watchful, that they can also reject something." The ACM said it was not aware if Samsung is still influencing prices with retailers.