US display coating manufacturer Corning has dodged a potential multi-billion dollar antitrust fine from the European Commission by agreeing to overhaul its supply agreements with smartphone manufacturers and glass processors.

The maker of Gorilla Glass, which is widely used in smartphones, tablets and smartwatches, was under investigation for anti-competitive practices after allegedly locking mobile device makers into exclusive contracts that stifled competition and drove up prices.

Corning’s customers include Samsung, Sony, Google, HP, Dell and Apple.

The EU probe, launched in November 2024, found that Corning held a dominant position in the market for Alkali-Aluminosilicate (Alkali-AS) glass and was using exclusivity clauses and purchasing requirements that may have blocked rivals from gaining market access.

To avoid penalties that could have amounted to 10% of global turnover, Corning has now agreed to scrap all exclusive dealing clauses across existing agreements and refrain from entering similar deals for the next nine years.

The company will also be restricted from requiring phone makers or their suppliers to source more than 50% of their glass needs from Corning globally.

In a statement, the European Commission confirmed the commitments have been made legally binding and will be monitored by an independent trustee. These remedies apply across the European Economic Area and globally, with some exceptions for Apple-specific products deemed outside the relevant market.

Corning said the agreement does not constitute an admission of wrongdoing and stated the changes would have “no material impact” on its Gorilla Glass business.