Global LMR Communications Provider Hytera Sues Motorola Solutions Under Sherman Antitrust Act Alleging Anticompetitive Practices That Force US Customers to Pay a Surcharge for Safety
Hytera Communications Corporation Ltd. today filed suit in federal district court in New Jersey against Chicago, Ill.-based Motorola Solutions, Inc., alleging that Motorola Solutions is engaging in anticompetitive practices that are unlawful under the Sherman and Clayton Acts by deliberately and actively foreclosing competition in land mobile radio (LMR) communications systems, in order to reap billions of dollars on sales at inflated prices to US customers.
Hytera's complaint alleges that Motorola Solutions prevents Hytera from competing in the US marketplace with its critical communications products that offer best-in-class features and far better value to public safety organizations, municipal governments, businesses, and taxpayers. Hytera further alleges that Motorola Solutions maintains its monopoly and enforces its inflated prices in the US by engaging in a monopolistic scheme that includes forcing LMR dealers to drop Hytera's products, leveraging its dominance of the US public safety market to impede adoption of newer, less expensive technologies here in the US, and engaging in a serial pattern of sham litigation to impede Hytera and interfere with its relationships with dealers and customers.
"Motorola Solutions is forcing US customers to pay artificially high prices for critical communications. It can do this because of its long-standing monopoly," notes Tom Wineland, Director of Sales for Hytera Communications America (West), Inc. "Motorola Solutions is doing this as security risks in the US are increasing, with a growing need for mission-critical communications solutions that help organizations to protect important utilities, provide safety and services for public transportation systems, and respond to threats at events such as concerts, festivals, and sports events, even in our nation's schools. All these demands put pressure on organizational budgets, and in turn are costing taxpayers and the American public."
Shenzhen-based Hytera, Jersey City, N.J.-based PowerTrunk, Inc., Miramar, Fla.-based Hytera America, Inc., Irvine, Calif.-based Hytera Communications America (West), Inc., and Cambridge, UK-based Sepura PLC together allege that by foreclosing competition from Hytera’s DMR and TETRA solutions, Motorola Solutions is able to maintain inflated pricing in the US on its P25-compliant products. P25 is a technology standard for public safety LMR in the US. TETRA, used by public safety organizations and commercial businesses worldwide, offers similar functionality and features to P25 equipment and can be significantly less expensive, making it a compelling option for utilities and transportation organizations and other commercial users in the US. Hytera’s complaint provides the example of two competing professional DMR handsets with similar features and functionality: Motorola Solutions’ suggested retail price (MSRP) is as much as $738, nearly twice Hytera’s MSRP of $440.
Hytera further alleges that Motorola Solutions is charging US customers more than it charges customers in competitive markets outside the US. Hytera gives an example that, even after Motorola applied discounts to its list price, it charged the City of Chandler, Ariz., $5,290 for a P25-compliant radio -- nearly five times what a customer in the UK could pay at retail for a comparable TETRA product. Hytera explains that US customers and American taxpayers could realize significant savings from competition from more cost-effective TETRA and DMR solutions that are just as robust.
"The only thing this pricing adds up to is more profit for Motorola Solutions -- with taxpayers on the hook," Wineland says. "Customers want a choice, as reflected by the demand by public safety customers and other US customers for DMR, a robust LMR alternative at a fraction of the cost of P25."
Hytera points out that Motorola Solutions has built a moat around the US public safety market, making continuous efforts to stall acceptance in the US of TETRA-compliant LMR. Hytera also notes that Motorola Solutions has engaged in a pattern of intimidation of LMR dealers. "Motorola Solutions brow-beats dealers into dropping Hytera's products or face losing the ability to sell Motorola Solutions' products and service lucrative maintenance contracts," notes Andrew Yuan, Hytera's President of North and South America, based in Irvine, Calif.
"Hytera provides feature-rich, high-quality solutions at a competitive price. Motorola Solutions is a monopolist charging US businesses a surcharge for safety, and those costs are passed on to taxpayers and the general public," adds Mark Jordan, Regional Sales Manager for Hytera Communications America (West). "Motorola Solutions is badgering dealers to drop Hytera, preventing adoption of standards that would lower prices for customers, and using courts to damage Hytera's relationships with LMR dealers and customers and raise our cost of doing business."
Hytera details how Motorola Solutions has engaged in a pattern of sham litigation and regulatory actions to raise costs for Hytera and sow anxiety in the market, diminishing competition. This includes suing Hytera for patent infringement on a set of standard essential technologies that industry users have agreed to license on fair, reasonable, and non-discriminatory (FRAND) terms, and for which Hytera has already been paying Motorola Solutions to license.
"Customers in the US deserve the best critical communications equipment and technology at the best prices," adds Wineland. "Customers love Hytera's products—and the value they receive. American customers are paying far more to Motorola Solutions and getting less, and Motorola Solutions is working hard to maintain that unfair pricing regime here."
Hytera Communications Corp., Ltd., et al. v. Motorola Solutions, Inc., 2:17-cv-12445 (D.N.J.) alleges that Motorola Solutions has violated federal and state antitrust law by violating Sections 1 and 2 of the Sherman Antitrust Act and Section 3 of the Clayton Act, and the unfair competition and intentional interference laws of the states of New Jersey, California and Florida. Hytera is seeking damages and injunctive relief.
Hytera is represented by Noah Brumfield, Jason Zakia, Yi Ying, and Jeremy K. Ostrander of White & Case LLP and by Liza M. Walsh, Tricia B. O’Reilly, Marc D. Haefner, Katherine Romano, and Katelyn O’Reilly of Walsh Pizzi O'Reilly Falanga LLP.
Hytera Communications Corporation Limited is a leading global provider of innovative professional land mobile radio (LMR) communications solutions to governmental organizations, public security institutions, and customers from other industries including transportation, oil and gas, and many others around the world. Founded in Shenzhen, China in 1993 and listed on the Shenzhen Stock Exchange (002583.SZ), Hytera has ten research and development centers around the world and has partnered with companies in the U.S. since 2000. Hytera established its first U.S. subsidiary, Hytera America, Inc., in 2004. It established Hytera Communications America (West), Inc., in 2016. Hytera owns PowerTrunk, Inc., and Sepura LLC, and has research and servicing facilities in Schaumburg, Ill. More information is at www.hytera.com.
Hytera Communications America (West), Inc.
Kevin Nolan, +1 469-206-8170
Director of Marketing
For more than 50 years, Business Wire has been the global leader in press release distribution and regulatory disclosure.
Tilaa tiedotteet sähköpostiisi
Haluatko tietää asioista jo ennen kuin ne uutisoidaan? Kun tilaat tiedotteemme, saat ne sähköpostiisi yhtä aikaa suomalaisen median kanssa. Tilauksen voit halutessasi perua milloin tahansa.
Lue lisää julkaisijalta Business Wire
First Westinghouse AP1000® Nuclear Plant Sanmen 1 Completes Initial Criticality21.6.2018 23:24 | Tiedote
Westinghouse Electric Company, China State Nuclear Power Technology Corporation (SNPTC) announced today that the world’s first AP1000 nuclear power plant located in Sanmen, Zhejiang Province, China has successfully completed initial criticality. “Today we completed the final major milestone before commercial operation for Westinghouse’s AP1000 nuclear power plant technology,” said José Emeterio Gutiérrez, Westinghouse president and chief executive officer. “We are one step closer to delivering the world’s first AP1000 plant to our customer and the world – with our customers, we will provide our customers in China with safe, reliable and clean energy from Sanmen 1.” Following initial criticality will be connection to the electrical grid. Once plant operations begin at Sanmen 1, it will be the first AP1000 nuclear power plant in operation, offering innovative passive safety system technology, multiple layers of defense and advanced controls for unequaled reliability and safety. Commentin
Westinghouse Loads Fuel in Second AP1000® Nuclear Power Plant21.6.2018 23:07 | Tiedote
Westinghouse Electric Company and its customers, China State Nuclear Power Technology Corporation (SNPTC) and Shangdong Nuclear Power Company Limited (SDNPC) announced today that Haiyang Unit 1, the AP1000 nuclear power plant located in Haiyang, Shandong Province, China, has begun to load fuel. “This is a great day for Westinghouse, our China partners and the nuclear industry. Haiyang Unit 1 continues to demonstrate our ability to deliver safe, innovative solutions for power generation,” said José Emeterio Gutiérrez, Westinghouse president and chief executive officer. He added, “Westinghouse will continue to deploy AP1000 technology throughout the world and demonstrate our technical leadership in the nuclear energy industry.” Fuel load at Haiyang Unit 1 commenced at 7:36 p.m. (GMT+8) today. Earlier this summer, in preparation for fuel load, Haiyang Unit 1 successfully completed the necessary testing and regulatory reviews conducted by China’s National Nuclear Safety Administration (NNS
Pharnext to Announce Top-Line Results from the Pivotal Phase 3 Trial of PXT3003 for the Treatment of Charcot-Marie-Tooth Type 1A Disease by October 201821.6.2018 21:23 | Tiedote
Regulatory News: Pharnext SA (Paris:ALPHA) (FR0011191287 - ALPHA), a biopharmaceutical company pioneering a new approach to the development of innovative drug combinations based on big data genomics and artificial intelligence, today announced an update from its ongoing Phase 3 clinical program (PLEO-CMT and PLEO-CMT-FU studies) evaluating PXT3003 for the treatment of Charcot-Marie-Tooth type 1A disease (CMT1A) in adults. Top-line results from the pivotal PLEO-CMT study are now expected by October 2018. Prof. Daniel Cohen, M.D., Ph.D., Pharnext’s Co-Founder and Chief Executive Officer said: “We are thrilled to bring this Phase 3 clinical trial to completion and we now expect to disclose top-line results by October of this year. Our PLEODRUG™ PXT3003 has already shown initial signals of efficacy in our Phase 2 trial in CMT1A. We are hopeful we can bring this much-needed therapy to patients suffering from this debilitating condition, as they currently have limited therapeutic options, mo
Philip Morris International Makes Call to Creative, Media and Communications Communities21.6.2018 21:13 | Tiedote
Philip Morris International Inc. (“PMI”) (NYSE: PM), today announced a bold call to action for the creative, media and communications communities to embrace its ongoing commitment to creating a smoke-free world. As part of this initiative, PMI will offer smoke-free alternatives wherever we can, including heated tobacco products and e-cigarettes, to current smokers in the industry who would otherwise continue to smoke. During a keynote at the PMI Science Lounge at The Cannes Festival of Creativity, SVP of Communications Marian Salzman said, “We are asking the creative community to join us in raising awareness of the potential of science, technology and innovation for those who smoke and the people around them.” The move is part of PMI’s vision to lead the charge towards greater innovation and technology in the tobacco industry, all of which is backed by science. Agencies interested in joining the movement can contact Marian Salzman at email@example.com. “People who smoke deserve in
IBC2018 Announces Cyber Security Forum to Help Media Tackle Cyber Threats21.6.2018 19:30 | Tiedote
IBC2018, the world’s most influential media, entertainment and technology show, today announces a Cyber Security Forum to expand its position as the preeminent cyber security destination for broadcasters and media. The event will form part of the prestigious annual IBC show at the RAI in Amsterdam from Thursday 13 to Tuesday 18 September 2018, which last year attracted more than 57,000 attendees from 170 countries. The Cyber Security Forum is one-day, invitation-only event that will convene Chief Technology Officers, Chief Information Officers, Chief Information Security Officers and Chief Digital Officers within media and broadcasting for a conversation on the challenges and opportunities presented by cyber security for broadcasters. Attendees will discuss how to anticipate the next cyber threat, how to manage a breach and how to prepare for the future of cyber security. The Cyber Security Forum sits alongside the Telco & Media Innovation Forum and Leaders’ Forum as part of IBC’s Exec
Mensia Technologies Raises 1,3 Million Euro to Introduce Koala Neurofeedback as a Revolutionary Medical Device in Europe21.6.2018 19:23 | Tiedote
Mensia Technologies, french MedTech start up, leads the new booming category of Digital therapeutics with its revolutionary « at home « neurofeedback, to train the brain and cure neuropsy disorders without drugs. Co-founder INRIA-IT2, existing shareholders and now HARA, which are business angels experts in medical device category, joined this fund raise. BPI de Rennes is also part of this tour. Mensia Technologies, borned out of INRIA in 2012. The IT expert labs in Rennes are computing real time signaling softwares. The neurofeedback technique is non invasive, at home and without drugs. MENSIA KOALA treats ADHD, Attention Deficit Disorders with or without Hyperactivity, children and adolescents. This unique medical device is a therapeutic video game on an interactive tablet connected to the brain activity. Children learn to control their attention by exercising 3 times a week during 4 months of treatment. Visual feedback given during the game, allows the children to learn, control and
Uutishuoneessa voit lukea tiedotteitamme ja muuta julkaisemaamme materiaalia. Löydät sieltä niin yhteyshenkilöidemme tiedot kuin vapaasti julkaistavissa olevia kuvia ja videoita. Uutishuoneessa voit nähdä myös sosiaalisen median sisältöjä. Kaikki STT Infossa julkaistu materiaali on vapaasti median käytettävissä.Tutustu uutishuoneeseemme