Feeds

Judge tosses Netflix, Walmart conspiracy claim

Firms did not partner to control DVD rentals and sales

High performance access to file storage

Netflix and Walmart did not conspire to dominate the DVD-by-post market, a US judge has ruled.

Earlier this week, US District Judge Phyllis Hamilton said that Walmart's share of that market was so small that its exit from the business, alleged in a class action lawsuit to have been made in agreement with Netflix, would not have aided Netflix in any way.

Walmart had just 1.5 per cent of the mail rental market, the ruling states.

Nor would Netflix's decision to stop selling DVDs, also alleged to have been part of a covert deal with Walmart, have benefitted the retail colossus, the judge said.

The lawsuit was filed against Netflix and Walmart in January 2009. Other plaintiffs signed up in agreement with the lawsuit claims, and it was soon granted class action status.

At that time, Blockbuster's own DVDs-by-post scheme had gained 17 per cent of the market, according to the ruling.

“The court concludes that no reasonable juror could believe that Netflix would have lowered its [rental plan] to $15.99 in response to continued competition from Walmart, whose [comparable plan] was set at $17.49 – particularly when those facts demonstrate that Netflix chose not to lower its price in the face of Blockbuster’s $14.99 price cut, despite the fact that Blockbuster had a higher market share than Walmart,” Hamilton wrote. ®

Combat fraud and increase customer satisfaction

More from The Register

next story
Putin tells Snowden: Russia conducts no US-style mass surveillance
Gov't is too broke for that, Russian prez says
One year on: diplomatic fail as Chinese APT gangs get back to work
Mandiant says past 12 months shows Beijing won't call off its hackers
Record labels sue Pandora over vintage song royalties
Companies want payout on recordings made before 1972
Lavabit loses contempt of court appeal over protecting Snowden, customers
Judges rule complaints about government power are too little, too late
MtGox chief Karpelès refuses to come to US for g-men's grilling
Bitcoin baron says he needs another lawyer for FinCEN chat
Don't let no-hire pact suit witnesses call Steve Jobs a bullyboy, plead Apple and Google
'Irrelevant' character evidence should be excluded – lawyers
Edward Snowden on his Putin TV appearance: 'Why all the criticism?'
Denies Q&A cameo was meant to slam US, big-up Russia
Judge halts spread of zombie Nortel patents to Texas in Google trial
Epic Rockstar patent war to be waged in California
EFF: Feds plan to put 52 MILLION FACES into recognition database
System would identify faces as part of biometrics collection
Ex-Tony Blair adviser is new top boss at UK spy-hive GCHQ
Robert Hannigan to replace Sir Iain Lobban in the autumn
prev story

Whitepapers

SANS - Survey on application security programs
In this whitepaper learn about the state of application security programs and practices of 488 surveyed respondents, and discover how mature and effective these programs are.
Combat fraud and increase customer satisfaction
Based on their experience using HP ArcSight Enterprise Security Manager for IT security operations, Finansbank moved to HP ArcSight ESM for fraud management.
The benefits of software based PBX
Why you should break free from your proprietary PBX and how to leverage your existing server hardware.
Top three mobile application threats
Learn about three of the top mobile application security threats facing businesses today and recommendations on how to mitigate the risk.
3 Big data security analytics techniques
Applying these Big Data security analytics techniques can help you make your business safer by detecting attacks early, before significant damage is done.