Antitrust Storm: Smartphone Giants in Hot Water Over Exclusive Launch Collusion

Samsung, Xiaomi, and other smartphone companies are accused of colluding with Amazon and Walmart's Flipkart to launch products exclusively on their platforms, breaching Indian antitrust laws. The Competition Commission of India's investigation found that these practices hurt other businesses and consumers, leading to potential fines and mandated changes.

Samsung, Xiaomi, and other major smartphone manufacturers have been accused of colluding with e-commerce giants Amazon and Flipkart to exclusively launch products on their platforms, violating Indian antitrust laws, according to regulatory reports obtained by Reuters.

Investigations by the Competition Commission of India (CCI) revealed that Amazon and Flipkart prioritized certain listings, offered steep discounts, and gave select sellers undue preference, thereby disadvantaging competitors. The CCI's reports indicate that the Indian units of five companies, including Samsung and Xiaomi, were involved in these practices in collaboration with Amazon.

These findings pose a significant setback for Amazon and Flipkart as India's e-retail market is projected to surpass $160 billion by 2028. The CCI could impose heavy fines and mandate changes in business practices following the review of objections from the involved parties.

(With inputs from agencies.)