Loren Data, GXS and Daisychaining


In the early 1970s MCI filed an antitrust suit against AT&T alleging that AT&T held a monopoly position in the telecommunications industry. A part of its claim was that MCI was unable to compete fairly against AT&T because of pricing and access control AT&T held. Consumers at that time had few choices in long distance carriers because AT&T restricted the ways that MCI was able to offer its services. All that changed in 1980 when MCI won $1.8 billion in damages from AT&T and the Department of Justice led the breakup of the Bell System. But what does that have to do with today’s supply chain?
In December 2010 Loren Data Corp filed an antitrust suit against GXS, Inc. alleging that GXS used its market position by denying Loren Data Corp competitive access to its network, while granting similar access to other competitors.