IT services group accuses Oracle of anti-competitive practices


IT services group accuses Oracle of anti-competitive practices

Warwick Ashford

An industry group for IT services companies has asked the US Department of Justice to investigate Oracle's policies aimed at preventing customers using third-party service providers for Sun hardware.

The Service Industry Association (SIA) claims that since acquiring Sun earlier this year, Oracle has changed policies on the maintenance of Sun equipment to discourage customers from using third-party support companies, according to US reports.

The SIA accused Oracle of trying to capture business from independent service organisations (ISOs) worth $2.4bn by pushing customers to buy maintenance services from Oracle, and of imposing requalification fees on customers that go to a third party for maintenance and later want to go back to Oracle.

The SIA claims ISOs do about half the maintenance on Sun hardware, charging on average 35% less than the suppliers of the equipment.

The SIA complained to Oracle in May, according to documents on the group's website, but Oracle rejected the allegations.

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