Between 1999 and
2002, Sony, Fuji and Maxell managed to raise or otherwise control
prices through a series of regular meetings and other illicit
contacts, according to the Commission's findings.
The cartel covered the two most popular professional videotape
formats at the time: Betacam SP and Digital Betacam, which in 2001
totalled annual sales of some €115 million in the European Economic
Area. TV stations and independent producers of TV programmes and
advertising films are the main customers of professional
videotapes.
Sony, Fuji and Maxell, with a combined share of more than 85% of
the professional video tape market, organised three successful
rounds of price increases and endeavoured to stabilise prices
whenever an increase was not possible. They also regularly
monitored the implementation of the price agreements.
The evidence uncovered describes in detail 11 meetings during
which Sony, Fuji and Maxell discussed and agreed prices and/or
exchanged sensitive commercial information as well as continuous
contacts intended to monitor the implementation of their cartel
agreements.
The Commission started an investigation on its own initiative
and carried out surprise inspections at the premises of Sony's,
Fuji's and Maxell's European subsidiaries in May 2002. The
inspections found "abundant evidence of cartel activities".
A Sony employee refused to answer oral questions asked by the
Commission's inspectors, while another Sony employee was found to
have shredded documents during the inspection. Fuji and, at a later
stage, Maxell co-operated with the Commission and submitted
additional evidence.
Sony's fine was increased by 30% for obstructing the
Commission's investigation. Fuji's and Maxell's fines were reduced
by 40% and 20% respectively because they co-operated with the
investigation.
Competition Commissioner Neelie Kroes said: "This decision sends
two warnings to companies engaging in cartel activities: first, the
Commission can prosecute cartels effectively even without prompts
from immunity applicants, and second, obstructing a Commission's
antitrust investigation leads to severe penalties."
Sony was fined over €47 million, Fuji over €13 million and
Maxell €14 million.
