Consumers file a class-action lawsuit against Samsung, SK Hynix and Micron in the US as memory prices keep on increasing due to a shortage
Back in 2005, Samsung Electronics was fined by the US Department of Justice for price-fixing practices of DRAM between April 1999 and June 2002, and the company also pleaded guilty to its actions.
Well, a lawsuit has again been filed against South Korean tech giant Samsung and two big DRAM manufacturers- SK Hynix and Micron in the US.
Lawsuit filed against Samsung, SK Hynix and Micron in the US
We are all aware of the rising costs of components (memory and storage chips). This is because there is a high demand for memory and storage chips by the AI manufacturers, resulting in their shortage and increasing prices. The current situation is now affecting consumers as well, and reports continue to suggest it may worsen in the future.
It is now reported that due to this ongoing situation, various consumers have filed a private class-action lawsuit in the US against Samsung, SK Hynix and Micron.
The lawsuit ‘3:26-cv-06345” will be headed by Judge Noel Wise in the US District Court for the Northern District of California. The lawsuit allegedly claims that the three companies have increased prices by artificially creating shortages in the industry, and the filers have demanded compensation from the companies.
The parties who have filed the case include Marc Garciaguirre, Tyree Burnett Jr., Joseph Flores, Rodolfo Gurrola Jr., Brook Barclift, Theo Papulis, Paul Henning, Jeff Ramirez Ochoa, Troy’s Computers LLC, JB Tech Solutions LLC, Evan Feliciano, Wastenotime Developments Performance Fabrications, Brian Graber, Joseph Danson, John Prineas, Thomas Yu, and Donald Barber.
Though this time there is no foul play by the companies in the increased prices and shortages, as there are indeed high demands from the AI manufacturers due to which many tech companies are already trying to curb the increasing cost or looking for alternative solutions.
Reportedly, Samsung, SK Hynix and Micron have also claimed that they are working on the construction of additional fabs and production lines to expand supply to meet the high demands.
Let’s see what the court decides on this lawsuit filed against the companies. Stay tuned for all the updates.
Via.
