HP Fined $14 Million For 'Cartelization' of Ink Cartridges, Toner, PCs (arstechnica.com) 54
India's Competition Commission has fined HP India and its partners about 1.4 billion rupees ($14.4 million), alleging the company colluded with resellers to rig government PC bids and fix prices for ink cartridges, toner, and other printing supplies. "It said that HP was aiming to outcompete other OEMs and discourage resellers from selling 'counterfeit' ink and toner," adds Ars Technica. From the report: In an order, the CCI said that HP India worked with five resellers to coordinate their bid prices for government contracts to increase the chances of an HP partner winning the contracts. The company was fined 1.3 billion rupees (about $13.1 million). [...] HP was also fined 119.8 million rupees (about $1.2 million) for "indulging in cartelization in sale and supply of supplies products comprising of toner, cartridges, and other consumable used with print hardware products," CCI said in its announcement. The agency also fined 21 HP resellers 35.2 million rupees (about $365,335).
In a separate order, the CCI said that WhatsApp records showed that HP and 16 of its Tier-2 reseller partners operated "in a collusive arrangement" and that the messages show the companies engaging in "bid rigging, including cover bidding, price fixation, and customer allocation during 2017-2020." HP India played a central role, the regulator said.
Per the order, HP India said that high printing supply prices led some resellers to threaten to "shift to low-cost counterfeit products to compete on price." "HP India was commercially forced into a position where it had to support the collusive arrangement adopted by the Tier-2 resellers," the order reads. For its part, the order said that HP India "humbly objects to HP India's role being characterized as a 'kingpin' of the entire collusive arrangement." [...] The CCI also ordered HP India and its channel partners to "cease and desist from anti-competitive conduct" and to hold competition compliance training programs within 60 days.
In a separate order, the CCI said that WhatsApp records showed that HP and 16 of its Tier-2 reseller partners operated "in a collusive arrangement" and that the messages show the companies engaging in "bid rigging, including cover bidding, price fixation, and customer allocation during 2017-2020." HP India played a central role, the regulator said.
Per the order, HP India said that high printing supply prices led some resellers to threaten to "shift to low-cost counterfeit products to compete on price." "HP India was commercially forced into a position where it had to support the collusive arrangement adopted by the Tier-2 resellers," the order reads. For its part, the order said that HP India "humbly objects to HP India's role being characterized as a 'kingpin' of the entire collusive arrangement." [...] The CCI also ordered HP India and its channel partners to "cease and desist from anti-competitive conduct" and to hold competition compliance training programs within 60 days.
HP INK only $39.99/GAL (Score:5, Funny)
HP INK only $39.99/GAL
Re:HP INK only $39.99/GAL (Score:4, Informative)
I regret to inform you that you have woefully underestimated it. The actual retail rate offered to consumers is closer to $2200 US per gallon. Sources: internet-ink.com [internet-ink.com], cbc.ca [www.cbc.ca]. This $14 million fine is only worth like, seven thousand gallons, or less than 200 oil barrels of ink.
Re:HP INK only $39.99/GAL (Score:4, Interesting)
That puts it among the most expensive liquids around. It beats things like Dom Perignon (champagne), human blood, spider and snake venom (used in making anti-venom), and horseshoe crab blood (blue blood) which is used in medicine.
Printer ink is one of the most expensive liquids out there, beating out many liquids used to create lifesaving medications.
Re: (Score:2)
HP INK only $39.99/GAL
It's pretty sad that this joke doesn't even come close to the actual dollar amount (which is estimated to be between $2,000 and $10,000 a gallon.)
Cartelization is a clickbait term, but an accurate one. (Except for the sending criminal executives to prison of course.)
HP has always been the biggest offender (Score:5, Informative)
Lexmark invented the weaponization of ink and Toner, but it was HP that took it to a fine art. Where you can buy a cartridge but not actually own the ink in it or the right to use it. I moved on to Brother some years ago and never looked back. I wrote an article about it [productrevue.ca] seven years ago, and have never regretted dropping them. And the Brother MFC-J6945DW I moved to then, I still use it. Large format, fantastic quality, giant refillable cartridges. My price per page over and above the cost of paper is a rounding error.
Re:HP has always been the biggest offender (Score:4, Insightful)
Re: (Score:3, Interesting)
I also used to use HP printers because they were drama-free on Linux. I switched to a Brother printer, which has a neat "HP Emulation Mode" setting. I didn't even have to change drivers.
Re:HP has always been the biggest offender (Score:5, Interesting)
Drivers!? Who needs drivers? Just netcat the PDF output directly to the printer! Printers natively have their own printing drivers and capabilities built in, and will translate documents internally.
https://retrohacker.substack.c... [substack.com]
Re: (Score:2)
Re: (Score:2)
You want drivers if you want to print n-up, double sided/single sided, fit to page, low-resolution for preview, B&W instead of color, etc.
Now if the printer accepts a meta file for the next document, I'm all for that.
Re: (Score:1)
Friends don't let friends use HP. (Score:5, Insightful)
When other people use HP, it makes me angry. It's like giving money to a powerful mafia; even if I am not the one dealing with the mafia the power others give to them makes them a threat to me.
The more HP succeeds at consumer-hostility, the fewer options I have that are not consumer-hostile. Even Brother will start to look with envy upon the kind of money that HP makes through customer abuse. Someday, new leadership will inherit Brother and see no competitive forces keeping its quality of service high, and it will become HP's mini-me.
Spread the word. Every time you use an HP device, the terrorists win.
Re: Friends don't let friends use HP. (Score:1)
Re: (Score:2)
I would never buy HP junk. My current printer is a Canon inkjet (I absolutely need color printing and color lasers are still too expensive) and the printer I buy to replace this one is going to be another Canon.
Re: (Score:2)
Re: (Score:2)
It's hard to justify the tank printers for my use case, I print enough color that I need a color printer but I don't print enough to justify spending hundreds of dollars on a tank printer instead of just buying a cheaper normal inkjet and buying cartridges as needed.
Re: (Score:2)
The terrorists won here almost two decades ago. This is how long I had this one HP printer I own. Two of the cartridges are still the ones included with the printer back then.
Cost of doing business. (Score:5, Interesting)
This fine doesn't even make a dent in the amount of money they made from doing this. If the fine doesn't exceed 100% of profits then it's not a fine, it's a cost of doing business.
Re:Cost of doing business. (Score:4, Insightful)
This fine doesn't even make a dent in the amount of money they made from doing this. If the fine doesn't exceed 100% of profits then it's not a fine, it's a cost of doing business.
Perhaps we will start to see the punishments fit the crime when the term premeditated fraud in the first degree is used by a judge to describe the felonous MBA fuckery currently building the FY27 balance sheets of Too Big To Fail.
Re: (Score:3)
Eh... theres still a sting in the tail. I suspect these sorts of fines are more about "We want you to fix this" rather than "We want you to bleed for doing this". The thing is, $14 mil aint a drop of piss in the oceans of HPs money supply, but what IS important is that its a court order, and disobeying the court order can turn this from "insignificant financial mosquito bite" to "Oh shit, theres an interpol arrest warrant out for the CEO on criminal contempt charges".
Rule number #1 and #2 of any interaction
Re: (Score:2)
HP's revenue in 2025 was 56 billion dollars. So the fine is 0.025% of their revenue. In comparison, the cost of replacing the TP in the HP corporate restrooms is 0.05% of their revenue (I made that last one up).
This fine won't even get noticed by HP.
Re: (Score:2)
This fine doesn't even make a dent in the amount of money they made from doing this. If the fine doesn't exceed 100% of profits then it's not a fine, it's a cost of doing business.
Yep, $14 million, that's like 3, maybe 4 replacement ink cartridges.
In several nations (Sweden and Germany for example) a speeding fine is charged as a portion of your income (I believe Sweden is a percentage and Germany is a number of days up to 365). The fine needs to be proportionate to the companies revenue in order to be an effective deterrent. Much like with speeding fines, here in the UK an S15 (less than 15 miles over the posted limit) is £100, that'll sting a little bit but it's not a huge
Re: (Score:2)
When reading the ruling, I noticed that a lot of the Indian companies had the same addresses.
HP is like Wells Fargo (Score:4, Insightful)
At this point in history I can't understand why anyone is still using HP printers. Brother is right there.
Re: (Score:2)
My last HP was the 5L. nearly 30 years ago. Never had another HP. Brother ever since, even now.
Re: (Score:2)
Re: (Score:2)
My last HP OfficeJet would drop network connection every few hours and had to be rebooted to reconnect. I had to go into settings and schedule the printer to reboot itself every 6 hours to prevent this.
I bought a Brother laser printer and haven't looked back.
Every time I try cheap ink it wrecks my printer (Score:1)
I've tried the cheap ink cartridges in Epson printers in the past. Every time it clogged my print heads and I could not get them clean. Every "clean" cycle attempt just eats ink like crazy too. In the end I've had to buy a new printer.
Re: (Score:2)
That was my experience with epson mid 90's too.
And back then, i was a frequent printer.
If you don't print often, go laser. Can sit for years without use, wake it up, and it all works.
Re: (Score:2)
"Can sit for years without use, wake it up, and it all works." - Unless of course it wakes up, calls home, downloads and updates its firmware, and now tells you since it was sitting so long you need to purchase new toner cartridges before you can print again. Your current ones have "expired". Haven't seen this yet? You will. Most printer manufacturers are evil as far as I'm concerned. Only a matter of time.
Re: (Score:2)
this is why I stop the updates. Even newer consumer HP printers can do this. A new Color laserjet I got through my company discount (Yes, I work for HP and side with customers constantly instead) has this blocked from the printer. and it's working just fine. Now, I'm also critical of HP, but my EcoTank T4800 tried to lock me out and force me to pay Epson a service fee because it "claimed" my ink recovery pads were full. The Very ones I already replaced on the rear corner of the printer, and refused to pr
Re: (Score:1)
Unless of course it wakes up, calls home, downloads and updates its firmware, and now tells you since it was sitting so long you need to purchase new toner cartridges before you can print again.
Brother, at least for now, doesn't do this. And that's what I use at the house.
Re: (Score:2)
Yep, I have a Brother laser printer too simply because Brother seems like one of the last printer manufacturers left that have not gone full tard. It's only a matter of time though.
Wow (Score:3)
14 Million dollars? That is a rounding error for HP...
Re: Wow (Score:5, Informative)
Re: (Score:2)
Then again, I'm surprised this happened at all under this administration!
See, that's the thing... By having this be handled now they take care of it for a measly $14 mil. Whereas if the current administration had ignored it, then a later one could come after them for a lot more. So it's really doing them a favor "punishing" them at this time.
$14 million? (Score:3)
14 Million? (Score:3)
It's all a scam! Toner & Ink (Score:1)
Only $14,000,000 ?? (Score:2)
That's chump change to HP. They spent more on their weekend getaways to Jeff's Fantasy Island.
The partners should have been fined harder (Score:2)
Is one thing when the partners say:
We will move to non-HP Ink, as in SmartInk or Cartridge world, that you as a consumer know right away that they are not HP, and know what you are geting into...
And a very different thing is to threaten to sell COUNTERFEIT cartridges, as in cartridges that say HP in the Box, HP in the plastic moldings, mimic the HP box, logos and holograms, and yet you as a consumer are none-the-wiser that these were not made by HP
The partners should have been fined harder
Re: (Score:2)
Maybe their management doesn't know about (Score:2)
rich cunt problems (Score:3)
If the punishment is a fine its legal for a price.
HP printers are something from the past (Score:2)
Used to have HP printers because they were running fine with Linux. And itwas good printer at the time. And then they started updating their firmware like every other week to prevent people choosing their ink (which was crazy expensive), which is illegal where I live. Up to the point, they transformed the printer into a brick....Will never buy one again.Now using Epson Ecotank. haven't seen a HP printer for years....
Carly Fiorina (Score:2)
Remember when Carly Fiorina got to lead HP? It's been downhill ever since. What once was a reliable provider of high-grade equipment became a company to avoid.
EU (Score:3)
I wish the European Union would take similar action. Mario Draghi claimed he wanted to solve the issue 20 years ago. Time to revisit it.
https://competition-policy.ec.... [europa.eu]
i hate printers (Score:2)
They paid off the dozin' demented idiot (Score:2)
So the US didn't go for the same.
$14.4 million is pittance (Score:2)