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Nintendo's fine for distorting competition reduced by 40 percent.

Written by Paul Bicknell on 01 May 2009

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The European Union's approach to competition in the European Economic Area is enshrined in Articles 81 and 82 of the EC Treaty. This treaty, inter alia, seeks to stop behaviour which affects competition between the Member States, specifically practices which: "have as their object or effect the prevention, restriction or distortion of competition within the common market."

In 2002 Nintendo and 7 others were found to have breeched these competition rules. Nintendo took advantage of it's commercial position to force distributors to not move Nintendo's games consoles and games from the EU (were they were cheaper) to countries outside the EU (were they were more expensive).

However, excluding Itochu there was a 40% reduction in the fine levied on the aforesaid companies by the European courts, which was originally set at 167.8 million Euros, this was as a result of the compliance which those companies showed when the competition Commission was conducting its investigations.

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