Regarding an antitrust investigation linked to Amazon and Flipkart’s exclusive product launches, Samsung accuses India’s competition commission of unlawful data confiscation.
Samsung has filed a legal complaint against India’s competition authority, accusing it of unlawfully detaining its employees and seizing sensitive data during a raid related to an ongoing antitrust probe into Amazon and Walmart’s Flipkart.
The complaint, filed by Samsung on October 11, claims that the Competition Commission of India (CCI) overstepped its bounds by acting against the company based on materials seized during a 2022 search at an Amazon vendor.
The CCI’s investigation, which concluded in August, found that Samsung and other smartphone manufacturers violated competition laws by collaborating with Amazon and Flipkart to launch exclusive products on their platforms.
Samsung’s filing in the High Court in Chandigarh sought to overturn these findings, alleging that its employees were unlawfully detained during the raid and their phones were confiscated, along with confidential information.
The company asserted that the entire search process was illegal and that the seized data should not be used in the investigation.
While the High Court has granted Samsung an injunction that temporarily halts the CCI’s proceedings, it has yet to decide on Samsung’s request to return the seized data or to prohibit its use in the case.
The CCI has responded by challenging the injunctions granted to Samsung and 22 other companies across India, urging the Supreme Court to address all the cases together. The competition authority argued that these companies are attempting to hinder the ongoing investigation.
The CCI’s findings have also implicated Amazon and Flipkart, accusing them of violating competition laws by favouring select sellers on their platforms. Both companies have denied any wrongdoing, despite continued complaints from physical retailers about their discounting practices and other business strategies.
In its legal filing, Samsung also rejected the accusation that it was complicit in anti-competitive behaviour with Amazon and Flipkart. The company emphasised that it had been cooperating with the investigation, providing information only as an external party.
According to an Economic Times report, the inclusion of smartphone companies in the probe could further complicate legal and regulatory matters for major players like Samsung.
However, CCI reported that Samsung participated in exclusive product launches on Amazon and Flipkart, which the competition authority considers harmful to fair competition.
Samsung is one of the leading smartphone brands in India, holding a 14% market share, and online sales have become a significant channel, with research firm Counterpoint estimating that 50% of smartphone sales in India occurred online last year, up from 14.5% in 2013.
