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Samsung, Hynix, and Micron Facing Class Action Suit for Alleged DRAM Price Fixing

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If you have tried to build or upgrade a computer in recent months, you undoubtedly noticed the high price of some components, such as the graphics card. While many attribute the inflated costs of graphics cards to cryptocurrency mining, another factor has been the cost of DRAM chips, which impacts graphics cards, system RAM, and mobile devices. All of these components and devices need DRAM, so as demand for one class of device goes up, the supply of chips for the others falls. At least that is what would naturally occur in the economy, but DRAM manufacturers Samsung, Hynix, and Micron are facing a class action lawsuit from the firm Hagens Berman for price fixing.

According to the suit, these three companies engaged in behaviors that would knowingly limit restrict DRAM supply growth, driving prices up even though the manufacturing cost did not increase. Allegedly, public statements from the companies affirmed their commitment to the plan to restrict DRAM supply growth to 15-20% in 2017, even though the demand increased from 20-25%. The companies also refrained from trying to seize market share from each other.

Depending on how long your memory is, the name Hagens Berman might sound familiar to you, because this law firm successfully sued Samsung and Hynix previously for price fixing. That lawsuit resulted in a $300 million judgement in 2006. You can sign up for the case at the Hagens Berman source link below.

Source: Hot Hardware and Hagens Berman

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