Broadcom’s alleged misconduct affected the distribution of video set-top boxes and internet modems, and harmed competition, the FTC said.
Under the settlement, which must still be approved by a court, Broadcom will refrain from engaging in those types of business deals. And, according to an agency release, “the proposed order prohibits Broadcom from retaliating against customers for doing business with Broadcom’s competitors.”
“We are pleased to move toward resolving this Broadband matter with the FTC on terms that are substantially similar to our previous settlement with the [European Commission] involving the same products,” the company said in a statement. “While we disagree that our actions violated the law and disagree with the FTC’s characterizations of our business, we look forward to putting this matter behind us and continuing to focus on supporting our customers through an environment of accelerated digital transformation.”
The settlement comes a day after the FTC, led by its new chair Lina Khan, voted to pursue anticompetitive behavior more aggressively and to focus more intensively on key sectors of the economy including the technology and health care industries.
The FTC voted unanimously to sue and settle the Broadcom case. Khan did not participate in the vote.