South Korea’s Supreme Court has left an 18.6 billion won ($13.9 million) antitrust penalty against Broadcom in place after dismissing the company’s final appeal over a supply contract with Samsung Electronics, The Korea Herald reported Monday, citing legal sources.
The court dismissed appeals from Broadcom’s U.S. headquarters and affiliated companies on Oct. 27. The decision finalized a lower court ruling that upheld sanctions imposed by the Korea Fair Trade Commission (KFTC), the report said.
Samsung agreed to a minimum purchase commitment of $760 million in Broadcom components each year for three years beginning in 2021. The contract required Samsung to pay Broadcom for any amount it fell short of buying. It covered radio-frequency front-end components used to manage smartphone wireless signals, along with Wi-Fi and Bluetooth chips.
The KFTC said Broadcom used its bargaining position to press Samsung into the arrangement, including by suspending purchase order approvals and threatening interruptions to component shipments and production. The Korea Herald reported that Samsung had recently launched its Galaxy S20 series and faced possible production disruptions if it could not secure the parts.
In September 2023, the commission found Broadcom had misused its stronger bargaining position, then ordered corrective measures and imposed the fine. Broadcom challenged the decision in court two months later.
In May 2026, the Seoul High Court ruled against Broadcom, saying the company had relied on unusually coercive tactics to obtain an agreement it knew would disadvantage Samsung. The Korea Herald also reported that the court found Broadcom sought to prevent Samsung from adopting components from rival suppliers.
The KFTC put losses linked to Samsung’s limited component choices at a minimum of $160 million. Samsung claimed its total damages were $326.3 million, according to The Korea Herald. Broadcom faces the fine and corrective orders, which remain in force after the Supreme Court’s dismissal.
