Text Version
RSS Feeds
Home Forum Photos Features Newsletter Archive Employment
About US Help Site Map
SEARCH   About US FAQ Site Map Site News
  -Text Version
  -RSS Feeds
  -News Archive
  -Give us feedback
  -Voices of Readers
  -Online community
  -China Biz info
  What's new
EU publishes decision on Intel's abuse of dominant position
+ -
08:42, September 22, 2009

 Related News
 Sweden's economy to recover from financial crisis next year
 Bulgaria, Russia agree to create South Stream working groups
 EU reaches common positions for G20 summit in Pittsburgh
 EU reaches common positions for G20 summit in Pittsburgh
 EU leaders call on G20 to limit bankers' bonuses
 Comment  Tell A Friend
 Print Format  Save Article
The European Commission published here on Monday a decision on Intel's illegal practice to exclude competitors from the market for x86 central processing units (CPUs) computer chips.

In May, Intel was given a record EU antitrust fine of 1.06 billion euros (1.45 billion U.S. dollars) for abuse of dominant position to squeeze out competitor Advanced Micro Devices Inc. (AMD).

The decision, adopted on May 13, "found that Intel broke EC Treaty antitrust rules by engaging in two types of illegal practice to exclude competitors from the market" of CPUs.

"These practices harmed consumers throughout the EEA," the EU's executive commission said a statement.

It said by undermining its competitors' ability to compete on the merits of their products, Intel's actions undermined competition, reduced consumer choice and hindered innovation.

The commission published excerpts of e-mails to provide evidence that Intel implemented a series of conditional rebates to computer manufacturers and to a European retailer and took other measures such as naked restrictions to prevent or delay the launch of computers based on competing products.

EU spokesman Jonathan Todd told a briefing that publication provided "full details of the hard facts on which the commission's decision was based."

"You can see for yourselves the way in which Intel broke the law and deprived millions of European consumers of choice of the type of computer chip they wanted to have in their computers," he said.

Citing an e-mail by Dell Inc. executives in 2003, the decision said that Intel rebates to Dell from December 2002 to December 2005 were conditioned on Dell purchasing exclusively Intel CPUs.

The e-mail warned that buying more AMD chips could end up with retaliation from Intel that would be "severe and prolonged with impact to all lines of business," and Intel would strip Dell's rebate to zero "for at least one quarter while Intel investigates the details."

The EU also quoted e-mails from Hewlett Packard Co.'s executives and NEC. Corp.'s to show that Intel used rebates and naked restrictions to these two and other computer makers.

Intel payments to Media Saturn Holding (MSH), Europe's largest PC retailer, were conditioned on MSH selling exclusively Intel-based PCs from October 2002 to December 2007, the EU said, quoting a submission to the commission by MSH as saying "It was clear to MSH in this regard that the sale of AMD-equipped computers would result at least in a reduction of the amount of Intel's contribution payments per Intel CPU under the contribution agreements."

The U.S. chip-maker denied the charges and is appealing to the EU courts.


  Your Message:   Most Commented:
World's top ten most mysterious and horrible spots
Which country has the most beautiful women?
Indian media stinks up public opinions
Baby alien found by Mexican farmer
How do India's middle school textbooks portray China?

|About Peopledaily.com.cn | Advertise on site | Contact us | Site map | Job offer|
Copyright by People's Daily Online, All Rights Reserved