Taking a Bite Out of Recyclers
By Amy Wu

(FORTUNE Small Business) – An ink-cartridge cartel? That's what independent cartridge recyclers have dubbed $4 billion Lexmark. At issue: Lexmark's encrypting of its cartridges with chips that prevent recycling by rivals. One of those, tiny Static Control Components, based in Sanford, N.C., retaliated by launching a decoder chip, using part of Lexmark's code--a move that got it sued by Lexmark. Says Mark Yost, a Lexmark spokesman: "We have no problem with companies if they come out with their own cartridge and build a better mousetrap." On Feb. 24, Static launched another decoder chip--this time without the copied code. -- AMY WU