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IBM looks to resolve European anti-trust mainframe woes

by Phil Muncaster

20 Sep 2011

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European commission

The European Commission has called for comments on IBM's latest moves to resolve a dispute over potential anti-competitive practices in the mainframe market dating back to 2010.

The EC said in a statement issued on Tuesday that commitments made by IBM were intended to resolve any concerns that the company may have "imposed unreasonable conditions for supplying competing mainframe maintenance service providers with such inputs, in breach of European Union anti-trust rules prohibiting the abuse of a dominant market position in Europe".

Anti-trust regulators at the EC contacted IBM in August over concerns that the company may have breached Article 102 of the Treaty on the Functioning of the EU and Article 54 of the European Economic Area.

IBM said that it had addressed the concerns by committing to make certain spare parts and technical information available to its competitors over a five-year period.

"I commend IBM's readiness to address our concerns about fair competition in the market for large computers which are crucial for the functioning of today's economy," said EC vice president and competition commissioner Joaquín Almunia.

IBM welcomed the response to its commitments, saying in a statement that it "also welcomes the proposed resolution of the Commission's investigation of certain IBM mainframe maintenance practices".

"IBM has put in place certain System z parts-ordering procedures, and we look forward to that providing the basis for the final resolution. IBM appreciates the Commission's work in concluding these cases," the company added.

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