On Wednesday, Computer and Communications Industry Association Chairman Ed Black informed about the investigation being carried out by the U. S. Justice Department against International Business Machines for abusing its dominance of the mainframe business to reduce rivals.
The Justice Department was asked by the CCIA to open the probe, claiming that IBM withdrew licenses for its operating systems from customers who use non-IBM hardware, hitting back against business partners deemed disloyal, bundling its mainframe operating systems with hardware and acquiring startup PSI to stifle competition.
Apart from this, the non profit trade group also specified that IBM denied licensing its mainframe operating systems to users of "Hercules" for installation on machines other than IBM mainframes.
For those who are unaware about Hercules, it is open-source software which permits IBM's mainframe operating systems to operate on Intel-based and Advanced Micro Devices-based personal computers.
Black explained, “We are aware that Justice has begun the CID investigatory process. The scope is quite broad.” He also described antitrust as one of its focuses.
A CID is equal to a subpoena and points that an investigation will soon be conducted.
It should be noted that it is after software developer T3 Technologies registered an antitrust suit against IBM in Manhattan federal district court that this news has appeared. It was on 30th September when the judge threw out the suit.
A statement issued by the company said, “Just last week, a U. S. District Court dismissed T3's claims against IBM in their entirety. We understand the Department of Justice has asked T3 for documents from the litigation.”
It added, “IBM intends to cooperate with any inquiries from the Department of Justice. We continue to believe there is no merit to T3's claims, and that IBM is fully entitled to enforce our intellectual property rights and protect the investments that we have made in our technologies.”
But, Black did express that the decision by Justice Department displays an oath by the Obama administration that they're going to take antitrust seriously.












