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FTC to Investigate Broadcom's Business Practices

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Jan 17, 2018, 4:46 PM   by Eric M. Zeman   @zeman_e

The U.S. Federal Trade Commission today said it is investigating potential anticompetitive negotiating tactics used by Broadcom. Of note, the FTC believes Broadcom has altered its practices by requiring some customers to buy a certain percentage of its production items, rather than an absolute number or quantity. This can lead to companies overbuying. The FTC has issued subpoenas seeking more information from Broadcom on the matter. In a brief statement, Broadcom insisted the investigation will not impact its wireless business nor its attempt to buy Qualcomm. Qualcomm is itself the focus of a separate FTC antitrust investigation.

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