South Korea's Supreme Court finalized an 18.66 billion won ($13.9 million) fine against U.S. chipmaker Broadcom. The court found Broadcom abused its market power to force an unfair long-term contract on Samsung Electronics. This decision dismissed Broadcom's appeal and upholds a 2023 ruling by the Korea Fair Trade Commission (KFTC).
The KFTC found Broadcom pressured Samsung in 2020. Broadcom halted purchase order approvals and threatened to stop component shipments. This coerced Samsung into a three-year deal. The agreement required Samsung to purchase at least $760 million worth of smartphone parts annually from 2021 to 2023. Samsung also had to compensate Broadcom for any shortfall. The ruling concludes the legal challenge, solidifying a win for Samsung against its supplier's anti-competitive actions.