HP India fined $14.4M for ink cartridge and PC cartelization
Original: HP fined 1.4 billion rupees for “cartelization” of ink cartridges, toner, PCs
Why This Matters
The ruling highlights growing regulatory scrutiny of printer supply pricing practices in major markets.
India's Competition Commission fined HP India and its reseller partners a total of 1.4 billion rupees (~$14.4M) for colluding to rig bids on government contracts for PCs, ink cartridges, and toner. The conduct spanned 2017–2020.
The Competition Commission of India (CCI) this week issued fines totaling 1.4 billion rupees (~$14.4 million) against HP India and 21 of its reseller partners for anti-competitive conduct involving computers, ink cartridges, toner, and other printing supplies.
HP India was fined 1.3 billion rupees (~$13.1 million) for coordinating bid prices with five resellers to win government procurement contracts. According to the CCI order, resellers asked HP India to restrict competitors from other territories, divide government accounts among themselves, limit the issuance of manufacturer authorization forms (MAFs), and facilitate 'cover bids.'
In a separate order, WhatsApp records revealed that HP India and 16 Tier-2 reseller partners engaged in 'bid rigging, including cover bidding, price fixation, and customer allocation' between 2017 and 2020. HP India was described as playing a 'central role,' though HP disputed being labeled the 'kingpin.' The company argued it was 'commercially forced' into supporting the arrangement after resellers threatened to switch to counterfeit ink and toner. HP India was additionally fined 119.8 million rupees (~$1.2 million) for cartelization of printing supplies, while 21 resellers were fined 35.2 million rupees (~$365,000) combined.