Wed Sep 25 03:48:35 UTC 2024: ## US Government Investigates SAP and Carahsoft for Potential Price Fixing on Government Contracts

**Washington, D.C.** – The U.S. Department of Justice is investigating German software giant SAP SE and its reseller Carahsoft for potentially overcharging government agencies for over a decade. The probe, which began in 2022, focuses on whether SAP illegally conspired with Carahsoft to inflate prices for software sold to the U.S. military and other government agencies.

Federal court records filed in Baltimore indicate the investigation centers around potential violations of the False Claims Act. The investigation has reached the point where FBI agents and military investigators raided Carahsoft’s offices in Virginia on Tuesday.

The probe is particularly concerning as it involves over $2 billion worth of SAP products used by the U.S. government since 2014. The potential price rigging could impact a significant portion of government technology spending.

This investigation comes as a blow to both SAP, Germany’s largest company, and Carahsoft, a major player in government technology. SAP’s shares have been performing well recently, and this investigation could impact their future performance.

The investigation is currently in its early stages, and it remains unclear if charges will be filed. However, the potential for price fixing on a scale of this magnitude raises significant concerns about government procurement practices and transparency.

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