US-based company Corning, the maker of Gorilla Glass, a highly durable glass used on most popular smartphones, now finds itself alongside tech giants like Apple, Google, Meta, Microsoft, and Amazon, facing scrutiny in the EU.
In the EU, tech behemoths like Apple, Google, Microsoft, and Amazon are being scrutinized alongside US-based Corning, the manufacturer of Gorilla Glass, a very robust glass found on the majority of smartphones.
For allegedly utilizing exclusive supply agreements with raw glass processors and mobile manufacturers to purportedly deny other glass makers substantial market share, Corning is currently the subject of an EU antitrust probe.
Corning offers refunds as an incentive to mobile phone manufacturers who purchase almost all, if not all, of their alkali-AS glass from them, according to a press statement from the European Commission. Unless Corning is unable to match or beat the price, these manufacturers are also required to notify Corning if they obtain competitive bids from other glass makers and are unable to accept such offers.
Additionally, Corning has agreements with raw glass processors that prohibit them from contesting Corning’s patents and mandate that they purchase the majority or all of their alkali-AS glass from Corning.
Breaking the screen of a mobile phone is an extremely annoying and expensive experience. Therefore, to guarantee cheap prices and high-quality glass, there must be fierce competition in the production of the cover glass used to protect such gadgets. We are looking into whether Corning, a significant manufacturer of this unique glass, attempted to keep out other glass manufacturers in order to deny consumers access to more affordable and durable glass.
These charges, in my opinion, highlight Corning’s aggressive strategy to maintain its leading position in the smartphone glass market. Gorilla Glass is essential to the durability and scratch resistance of devices like the most recent Apple and Android models, such as the Google Pixel 9. It does an excellent job of preventing cracks and breaks, although not being totally unbreakable. Nevertheless, it is evident that Corning’s dubious tactics and market dominance have drawn EU notice.
The Commission has said that a comprehensive probe will be its top priority. It’s unclear how long the investigation will take, thus it’s unclear if the EU will confirm any wrongdoing.
Corning may be fined up to 10% of its worldwide sales if it is determined that it violated EU competition laws. Nonetheless, the business will also have the opportunity to allay the Commission’s worries by making promises that might end the antitrust probe.