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Intel Could Face EU Antitrust Case
WSJ ^ | October 4, 2006 | MARY JACOBY, ADAM COHEN and DON CLARK

Posted on 10/04/2006 4:56:15 AM PDT by Brilliant

European Union investigators believe they have enough evidence to pursue formal antitrust charges against Intel Corp., a critical step in their five-year probe of the computer-chip maker, according to two people with knowledge of the case.

Investigators for the European Commission in Brussels have prepared a written draft of charges against Intel...

After that process, a report will be sent to European antitrust chief Neelie Kroes, who will make a final decision, likely before the end of the year, on whether to issue formal charges against the Santa Clara, Calif., chip maker...

Intel would then get two months to issue a written response... If Ms. Kroes decides that Intel broke EU antitrust laws, she could fine the company and order it to change its business practices.

Intel competitor Advanced Micro Devices Inc. of the U.S. has told regulators that its bigger rival has unfairly abused its position as the world's dominant supplier of computer chips to muscle AMD out of new markets. In July 2005, the EU searched Intel offices in Europe, seizing documents that investigators are now using to bolster their case against Intel.

Investigators have been examining a variety of Intel's practices, including giving rebates to computer makers and retailers that stock products made with Intel chips. "Our view is that the allegations from AMD are wrong. Our business practices are both fair and lawful," said Intel spokesman Chuck Mulloy.

AMD counters that it has struggled to get computer makers to switch to its chips due to Intel's practices. Thomas McCoy, the chip maker's executive vice president for legal affairs, said in a recent interview that Intel uses "false rebates schemes and the threat of price increases" to persuade computer makers like Hewlett-Packard Corp. and Dell Inc. to use its chips...

(Excerpt) Read more at online.wsj.com ...


TOPICS: Business/Economy; Foreign Affairs
KEYWORDS: amd; antitrust; computers; eu; intel
There is no way that giving rebates to customers can be considered "anti-competitive."

The EU is just using its anti-trust laws to keep a leash on US companies. They are using AMD as a shield to deflect criticism. If the US complains, the EU will simply say that both companies are American, and the US will be accused of taking sides.

1 posted on 10/04/2006 4:56:15 AM PDT by Brilliant
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To: Brilliant

The EU will be the home and birth place of the third anti-Christ just and they birth the last two.


2 posted on 10/04/2006 4:58:16 AM PDT by bmwcyle (Only stupid people would vote for McCain, Warner, Hagle, Snowe, Graham, or any RINO)
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To: Brilliant
birthed not birth
3 posted on 10/04/2006 4:59:23 AM PDT by bmwcyle (Only stupid people would vote for McCain, Warner, Hagle, Snowe, Graham, or any RINO)
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To: Brilliant

When the EU cant compete they extort and restrain under the veil of "anti-trust". Sad little socialist pansys.


4 posted on 10/04/2006 5:03:16 AM PDT by MARKUSPRIME
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To: Brilliant
At times I'd like to simply stop selling American products in Europe for a month and see how they like it. They dump on American business over and over and over again.

My response is Airbus, their hypocrisy knows no bounds.
5 posted on 10/04/2006 5:09:34 AM PDT by DB (©)
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To: Brilliant
Where's Europe's Intel? AMD? Microsoft?
Where's Europe's Dell? Apple?
Where's Europe's Google?
Where's Europe's MySpace? YouTube? Facebook?
Where's Europe's Free Republic?

Why, they're all here! Coincidence? You decide!

(steely)

6 posted on 10/04/2006 5:11:11 AM PDT by Steely Tom
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To: Brilliant
The EU has to make up the billions lost on AirBust by finding ways to fine Intel and Microsoft. I can hear the judge asking the prosecutor in French prior to his decision, "How much has AirBus lost?"
7 posted on 10/04/2006 5:46:50 AM PDT by GarySpFc (Jesus on Immigration, John 10:1)
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To: Brilliant

First Microsoft, then Intel. I'm waiting for the Europeons to go after Boeing next.


8 posted on 10/04/2006 7:03:45 AM PDT by pierrem15 (Charles Martel: past and future of France)
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To: pierrem15

Where have you been, they have already gone to the world court accusing Beoing of getting govt. subsidies.


9 posted on 10/04/2006 8:18:33 AM PDT by snowman1
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