News
A company that specializes in network maintenance services is suing Cisco Systems for antitrust violations. Multiven charges that Cisco is illegally protecting a monopoly in network maintenance services.
Specifically, Multiven charges that Cisco provides bug fixes/patches and updates for its operating system software only to customers that also sign up for Cisco’s maintenance program (SMARTnet). That also includes certified Cisco resellers.
The suit says maintenance is a $6 billion business for Cisco.
That automatically prevents Multiven and other independent service organizations (ISOs) from being able to maintain Cisco networking equipment. The company claims that makes Cisco policies illegal, exclusionary and anticompetitive.
Multiven argues that Cisco customers are forced to purchase Cisco SMARTnet maintenance services over substantially better quality and/or lower-priced maintenance services from plaintiff Multiven, and from other ISOs.
The Multiven suit states that Avaya Inc. v. Telecom Labs establishes a precedent for its complaints. The company notes that in contrast to Cisco policies, Microsoft, Apple, Hewlett-Packard and other companies make software updates and bug fixes available to all customers that have purchased their operating software license.
The suit (which can be read here) was filed in the United States District Court in San Jose, Calif.
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