31985D0618

85/618/EEC: Commission Decision of 18 December 1985 relating to a proceeding pursuant to Article 85 of the EEC Treaty (IV/30.739 - Siemens/Fanuc) (Only the English and German texts are authentic)

Official Journal L 376 , 31/12/1985 P. 0029 - 0038

COMMISSION DECISION of 18 December 1985 relating to a proceeding pursuant to Article 85 of the EEC Treaty (IV/30.739 - Siemens/Fanuc) (Only the English and German texts are authentic) (85/618/EEC)

THE COMMISSION OF THE EUROPEANCOMMUNITIES, Having regard to the Treaty establishing the European Economic Community, Having regard to Council Regulation No 17 of 6 February 1962, First Regulation implementing Articles 85 and 86 of the Treaty (1), as last amended by the Act of Accession of Greece, and in particular Article 3 (1), Having regard to the Commission Decision of 10 December 1982 to initiate proceedings in this case, Having given the undertakings concerned the opportunity to make known their views on the objections raised by the Commission, in accordance with Article 19 (1) of Regulation No 17 and Commission Regulation No 99/63/EEC of 25 July 1963 on the hearings provided for in Article 19 (1) and (2) of Council Regulation No 17 (2), After consulting the Advisory Committee on Restrictive Practices and Dominant Positions, Whereas: I. THE FACTS The undertakings 1. Fanuc Ltd is a Japanese undertaking. It was formerly known as Fujitsu Fanuc Ltd, having been set up by Fujitsu Ltd in 1972 to conduct the business of its computer control division. Fujitsu Ltd owns 44,8 % of Fanuc's shares, Siemens AG owns 5,1 % (3) and others own 50,1 %. Fanuc's turnover in numerical controls in 1984/1985 was yen . . . (4) world-wide and yen . . . in the EEC. Fanuc has established several subsidiaries in the EEC: Germany (1976), France (1978), United Kingdom (1980). These subsidiaries were set up to service and maintain Fanuc NCs sold with machine tools into which they had been incorporated outside the EEC. In addition, Fanuc Mechratronics SA (Luxembourg) has now been established as a manufacturing facility. 2.Siemens AG is an undertaking incorporated in the Federal Republic of Germany with its head office in Munich. In 1984, Siemens' group turnover was DM . . . . Siemens' turnover in numerical controls in 1983 was DM . . . world-wide and DM . . . in the EEC. In 1979, Siemens' market share for numerical controls was 45 % in Germany, 8 % in Italy, 12 % in France and 10 % in the United Kingdom. Siemens produces a wide range of numerical controls which, in recent years at least, covers most customers' requirements. The product 3.Numerical controls (NCs) are special-purpose computers used mainly in the machine-tool industry. They control the sequence of motions and operations of a machine-tool. The installation of the NC frequently requires extensive preparatory engineering and programming in close cooperation between the NC manufacturer or distributor and the purchaser. According to Siemens, an NC can amount to between 6 % and 18 % of the total cost of the machine-tool. The use of NCs in the machine-tool industry The following Tables (1) show the growing importance of NCs in the Community's machine-tool industry:TABLE 1 (in million US $) >TABLE>

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Article 1

The provisions of agreements of 11 June 1975 between Fanuc Ltd and Siemens AG relating to exclusive selling rights for numerical controls in the comon market and to research, development and production of numerical controls constituted until their abrogation infringements of Article 85 of the EEC Treaty.

Article 2

1. For their involvement in the infringement relating to Siemens AG's exclusive selling rights in the common market for numerical controls manufactured by Fujitsu Fanuc Ltd and later by Fanuc Ltd, fines of one million ECU each, equivalent to Lfrs 44 744 900 (forty-four million, seven hundred and forty-four thousand, nine hundred) or DM 2 190 750 (two million, one hundred and ninety thousand, seven hundred and fifty), are imposed on Fanuc Ltd and Siemens AG. 2. These fines shall be paid within three months of the date of notification of this Decision into one of the three following accounts of the Commission of the European Communities:(a) Kredietbank (Agence Schuman), 2 rond-point Schuman, B-1040 Brussels, account No 426-4403003-54 (for payment in ECU);(b)Caisse d'Epargne de l'Etat, 1 place de Metz, L-2954 Luxembourg, account No 1/002/9906/6 (for payment in Lfrs);(c)Sal. Oppenheim & Cie., Unter Sachsenhausen 4, D-5000 Cologne, account No 260/0064910 (for payment in DM).

Article 3

This Decision is addressed to:1. Fanuc LtdOshinomuraMinami-TsurugunYamanashi Pref. 401-05Japan2.Siemens AGPostfach 103D-8000 Munich 1 This Decision shall be enforceable pursuant to Article 192 of the EEC Treaty.

Done at Brussels, 18 December 1985. For the Commission Peter SUTHERLAND Member of the Commission

(1) OJ No 13, 21. 2. 1962, p. 204/62.

(2) OJ No 127, 20. 8. 1963, p. 2268/63.

(3) It has recently been announced that Siemens has sold most of its shares in Fanuc.

(4)Certain figures have been omitted in the published version of the Decision pursuant to Article 21 (2) of Regulation No 17.

(1) See the Commission's statement on the machine-tool industry, 8 February 1983, SEC(83) 151.

(2) COM(85) 112 final; Bulletin of the European Communities, Supplement 6/85.

(3) Ibid., Annex I.

(1) Cases 51/75, 86/75 and 96/75 EMI v. CBS, [1976] ECR 811, 871 and 913.

(1) See Commission Decision 75/74/EEC, Duro-Dyne/Europair, OJ No L 38, 12. 2. 1975, p. 10.

(2)OJ No 57, 25. 3. 1967, p. 849/67.

(1) OJ No C 75, 29. 7. 1968, p. 3, as corrected by OJ No C 84, 28. 8. 1968, p. 14.

(2) The significance of the new technologies for the machine- tool industry and the importance of market competition and free trade in this context were stressed by the European Parliament in its resolution of 29 March 1984 on the European machine-tool industry, OJ No C 117, 30. 4. 1984, p. 92.