Datel sues Microsoft over Xbox 360 memory unit ban

Datel filed an antitrust lawsuit in San Francisco federal court against Microsoft after Xbox 360 platform holder's most recent dashboard update disabled support for third-party memory units. Datel's representatives Howard Rice, accuses Microsoft of "exclusionary, predatory, or anticompetitive acts". It also dismisses company's official explanation for patch - that third-party memory units can be used […]

Datel filed an antitrust lawsuit in San Francisco federal court against Microsoft after Xbox 360 platform holder's most recent dashboard update disabled support for third-party memory units. Datel's representatives Howard Rice, accuses Microsoft of "exclusionary, predatory, or anticompetitive acts". It also dismisses company's official explanation for patch - that third-party memory units can be used to cheat on Xbox Live - as a "pretext" for establishing a monopoly on third-party accessories. Datel’s Mike Connors has said that third-party peripheral company has sold more than 50,000 such unofficial memory units, and that only difference between its offerings and Microsoft's is that official unit "offers only one-quarter memory while listing for same retail price". "Microsoft has taken steps to render inoperable the competing Datel memory card for no visible purpose other than to have that market entirely to themselves," said Howard Rice director Marty Glick in a statement.