The European Commission announced on Monday 27 April that it had invited interested parties to comment on commitments offered by Broadcom to address competition concerns regarding Broadcom’s behaviour in various markets for chipsets for set-top boxes and modems.
Margrethe Vestager, Executive Vice President for Competition Policy, explained that the Commission was “assessing whether the commitments proposed by Broadcom after our interim measures decision of last October will ensure that final consumers reap the benefits of choice and innovation on these markets benefits of choice and innovation in these markets. We want to hear stakeholders’ views before taking any decision”.
In October 2019, the Commission ordered Broadcom to unilaterally cease applying the anti-competitive clauses (see EUROPE 12350/18).
Broadcom then offered a series of commitments to meet the Commission’s competition concerns. At global level (excluding China), Broadcom has undertaken, among other things, not to require or encourage an original equipment manufacturer, by means of certain types of advantages, to source more than 50% of its systems-on-chip requirements for set-top boxes and modems. At European Economic Area (EEA) level, the company has made the same commitments. These will reportedly apply for a period of 5 years.
Interested parties may comment on the commitments within 6 weeks of their publication in the Official Journal of the European Union. The full text of the commitments will be made available on the case webpage. (Original version in French by Lionel Changeur)