Thursday, July 23rd 2009

Intel Appeals Against EU Antitrust Verdict

Earlier this year in May, the European Commission for anti-competitive practices found Intel guilty of various antitrust practices. The company was then slapped with a massive 1.06 billion Euro (US $1.45 billion) fine, the single largest antitrust fine it has ever meted out to a company. On Wednesday, Intel explored its legal option of appealing against the fine with Court of First Instance in Luxembourg, Europe's second highest judicial body. The company argues that the EC regulator failed to consider the evidence that supported Intel's contention during the trial.

In a telephone interview with ComputerWorld, Robert Manetta, an Intel spokesperson said "We believe the Commission misinterpreted some evidence and ignored other pieces of evidence." Meanwhile, apart from the fine Intel is expected to pay within three months of the verdict, the ruling also puts a stop to Intel's rebates to PC manufacturers and retailers on condition of near or total exclusivity, among several other deemed malpractices. Authorities in South Korea and Japan found similar irregularities in Intel's marketing methods, while the U.S. Federal Trade Commission and New York Attorney General's office are investigating the company for abuse of its monopoly position.Source: ComputerWorld
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307 Comments on Intel Appeals Against EU Antitrust Verdict

#1
FordGT90Concept
"I go fast!1!11!1!"
mdm-adph said:
2) Intel can appeal all they want -- the world's in a recession. The fine's going to stay.
Pretty much. No matter if the EU is in the wrong or not, that fine ain't going away. In fact, I wouldn't be surprised if the EU raises the original fine for wasting the court's time.
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#2
Unregistered
If im honest I have not once seen an advert for AMD (besides laptops with Turions in them) on the TV or in newspapers, wheras Intel splash there logo + sound everywhere. Ask anyone who doesnt know anything about PC's and im sure they can hum the Intel sound thing :laugh:

Excellent marketing on Intels part, and your point is so very true rhino.
Posted on Edit | Reply
#3
mdm-adph
Easy Rhino said:
intel cannot be blamed for the woes of AMD. when AMD bought ATI the shit truly hit the fan. it had to be the most disorganized unifcation of organizations ever. amd lacks a strong marketing strategy as well. if they want to sell more chips they have to create demand for them!
No, the shit hit the fan when Intel made shady deals with people behind the scenes basically saying, "If you do business with AMD, even if they have a better price, we won't sell any chips to you, and you'll suffer because only we can supply the volume you need."

You know, as they've already been convicted twice of doing, once in Japan, and once in the EU.
Posted on Reply
#4
tastegw
latest news, intel takes over europe and now agrees to pay the fine in full by next monday.


but to be real, that is one heck of a fine, i wonder where that number actually came from.
Posted on Reply
#5
rpsgc
mdm-adph said:
No, the shit hit the fan when Intel made shady deals with people behind the scenes basically saying, "If you do business with AMD, even if they have a better price, we won't sell any chips to you, and you'll suffer because only we can supply the volume you need."

You know, as they've already been convicted twice of doing, once in Japan, and once in the EU.
You forgot Korea. But of course if it's the EU then they are just money-hungry socialist commies right? Right? Tools.
Posted on Reply
#6
Easy Rhino
Linux Advocate
kyle2020 said:
If im honest I have not once seen an advert for AMD (besides laptops with Turions in them) on the TV or in newspapers, wheras Intel splash there logo + sound everywhere. Ask anyone who doesnt know anything about PC's and im sure they can hum the Intel sound thing :laugh:

Excellent marketing on Intels part, and your point is so very true rhino.
thanks. people can argue that what intel did was wrong until they are blue in the face but it doesnt change the fact that amd runs a disorganized business, lacks a good marketing campaign and makes inferior chips (purposely at a lower price not saying it is a bad thing). even if intel decided against being awesome and offering rebates (which i do not think is wrong) amd would still be in a bad position.
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#7
mdm-adph
tastegw said:
latest news, intel takes over europe and now agrees to pay the fine in full by next monday.


but to be real, that is one heck of a fine, i wonder where that number actually came from.
Intel's a huge, huge company with lots of money. The fine has to fit the crime, and ability of the entity to repay the fine, or else the fine is not really a punishment at all.

At least in theory.

rpsgc said:
You forgot Korea. But of course if it's the EU then they are just money-hungry socialist commies right? Right? Tools.
Didn't even know about Korea -- when was that?
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#8
DaedalusHelios
mdm-adph said:
No, the shit hit the fan when Intel made shady deals with people behind the scenes basically saying, "If you do business with AMD, even if they have a better price, we won't sell any chips to you, and you'll suffer because only we can supply the volume you need."

You know, as they've already been convicted twice of doing, once in Japan, and once in the EU.
I do not belive thats true. Its rebates for exclusivity. They never said we won't sell any chips to you. :roll:

The agreement was Intel lowers its prices on chips sold to companies that will not use AMD processors in their machines. It was never:
"we won't sell any chips to you, and you'll suffer because only we can supply the volume you need."
Posted on Reply
#9
mdm-adph
DaedalusHelios said:
I do not belive thats true. Its rebates for exclusivity. They never said we won't sell any chips to you. :roll:

The agreement was Intel lowers its prices on chips sold to companies that will not use AMD processors in their machines. It was never:
That's what Intel said happened. ;)

The backroom threats that were made were apparently quite different, I'd think.
Posted on Reply
#10
El Fiendo
Ah yes, and you know these backroom threats because you're omniscient. We obviously forgot this.

Lets all just stick to facts and what's known instead of applying mafioso exaggerations onto things to improve our own point.
Posted on Reply
#11
DaedalusHelios
mdm-adph said:
That's what Intel said happened. ;)

The backroom threats that were made were apparently quite different, I'd think.
The court case was about what I said in my post. I have no idea where the speculation came from. A company the size of Intel does not communicate threats. Trust me I have dealt with their reps before back when I worked for Time Warner. They take you out to dinner and they make offers. Its not threats. :laugh:

Exclusivity is what all companies shoot for. Its called gaining market share by being attractive to your customer's needs.
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#12
AltecV1
DaedalusHelios said:
The court case was about what I said in my post. I have no idea where the speculation came from. A company the size of Intel does not communicate threats. Trust me I have dealt with their reps before back when I worked for Time Warner. They take you out to dinner and they make offers. Its not threats. :laugh:

Exclusivity is what all companies shoot for. Its called gaining market share by being attractive to your customer's needs.
it might work in "THE GRATE AND POWERFULL USA" but in europe we call that a bribing and it is very bad;)
Posted on Reply
#13
Frick
Fishfaced Nincompoop
mdm-adph said:
You know what's funny? I have the utmost respect for Intel's designers, engineers, hell -- even their marketers.

I have nothing but scorn for their lawyers, upper management, and accountants.
That can be applied to pretty much every single company in the world.
Posted on Reply
#14
mdm-adph
DaedalusHelios said:
The court case was about what I said in my post. I have no idea where the speculation came from. A company the size of Intel does not communicate threats. Trust me I have dealt with their reps before back when I worked for Time Warner. They take you out to dinner and they make offers. Its not threats. :laugh:

Exclusivity is what all companies shoot for. Its called gaining market share by being attractive to your customer's needs.
It's called a monopoly. And in the end the consumer loses, always. ;)

Come on -- it's not like the EU is calling for the breakup or expulsion on Intel. It's just a fine.

You want to do business in the EU, you gotta play by their rules. I don't see Intel pulling out of the market, so to me that means they agree.

Frick said:
That can be applied to pretty much every single company in the world.
Oh, I know. I was just being nice.
Posted on Reply
#15
DaedalusHelios
AltecV1 said:
it might work in "THE GRATE AND POWERFULL USA" but in europe we call that a bribing and it is very bad;)
Actually European markets don't have the same laws against bribery as the USA. Thats why US based defense contractors have trouble gaining marketshare over there. Because US based defense contractors still have to operate within US law they are limited to actions within our laws. I heard that from friend that works at Boeing.

Also Russia is in Europe which has the worst problems with bribery the whole world over. Please read more about the situation before posting.

PS. Taking people out to dinner to discuss business is not against the law in any country Intel operates in and that includes Europe so I am not sure what you are getting at.
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#16
AltecV1
russia is not in eu to your homework before you are trying to look smart:laugh:
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#17
mdm-adph
DaedalusHelios said:
Actually European markets don't have the same laws against bribery as the USA. Thats why US based defense contractors have trouble gaining marketshare over there. Because US based defense contractors still have to operate within US law they are limited to actions within our laws. I heard that from friend that works at Boeing.

Also Russia is in Europe which has the worst problems with bribery the whole world over. Please read more about the situation before posting.

PS. Taking people out to dinner to discuss business is not against the law in any country Intel operates in and that includes Europe so I am not sure what you are getting at.
Yeah -- in the US you just get your former CEO elected to Vice-President, and then you get all the defense contracts you want, right? :laugh:
Posted on Reply
#18
Easy Rhino
Linux Advocate
i would argue that the EU's legal action against Intel has actually hurt the consumer there. with all the added regulations the EU has on industry as a whole and the massive tax preventing Intel from charging low prices like they do in the US.
Posted on Reply
#19
tastegw
mdm-adph said:
Intel's a huge, huge company with lots of money. The fine has to fit the crime, and ability of the entity to repay the fine, or else the fine is not really a punishment at all.

At least in theory.
i agree somewhat, but lets say an ordinary man commits murder and gets caught, he gets 25 to life, then OJ or any other rich person does the same thing, they get 25 weeks in court, then walk.

but back to intel, what crime did they commit in europe? last i checked, giving rebates was a good thing.

as for the comment about amd's advertisement being non existent, i 110% agree with that, I have never seen one of their ads other than on the internet. and ya, i can hum that intel tune (5 tones)

with all of that said, i like AMD more than i do Intel just because I pull for the underdog most of the time.
Posted on Reply
#20
DaedalusHelios
mdm-adph said:
Yeah -- in the US you just get your former CEO elected to Vice-President, and then you get all the defense contracts you want, right? :laugh:
You are talking about Abrams or Halliburton. GW Bush at one time worked as a higher up in Abrams, and Cheney used work with Halliburton in various positions in the company. Not Boeing as it makes passenger aircraft and a whole lot more than just that.

Also you are talking about the republican political party leaders as they have deep connections to the military industrial complex. The US currently has Obama which has banking connections, not military connections. So its irrelevant as it has nothing to do with business practices regarding the European Union.

If you just want to poke the USA I think you need to make another thread as it has nothing to do with the EU case currently being reported on. But if it helps you cope with justifying the theft of billions from a companies coffers to have EU parlament have better vacations or money for local pork(free money for their connections) in a failing world economy, go for it. :laugh:

I think the EU is wasting time and coming up with things to try and make you not notice that they are not doing their job of making your economies recover. But you could always pretend that they are doing the right thing to comfort yourself.
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#21
Paintface
shame that intel even with the one billion fine made about 9 billion profit cause of this criminal act, should punish them way way harder, and not just by means of fine.
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#22
ghost101
I think people will find that the ECC doesn't go solely after American companies but all companies which abuse their market power.

http://ec.europa.eu/competition/news_archive.html

Look through the news archive and you'll find that the 1bn euro fine isnt even the biggest handed out. Theres a €1.3 billion ruling and there are multiple fines above €500mn.
Posted on Reply
#23
Flyordie
mdm-adph said:
No, the shit hit the fan when Intel made shady deals with people behind the scenes basically saying, "If you do business with AMD, even if they have a better price, we won't sell any chips to you, and you'll suffer because only we can supply the volume you need."

You know, as they've already been convicted twice of doing, once in Japan, and once in the EU.
In South Korea too.
Posted on Reply
#24
TheMailMan78
Big Member
I cannot belive I missed this thread for so long. Man If I didnt have such a crazy deadline to meet I would write a book on how ass backward the EU is on this Intel case. So just to sum things up quick. Capitalism for the win. Socialist for the lose. Now let me get back to work so I can make money for MY family and not YOURS.
Posted on Reply
#25
btarunr
Editor & Senior Moderator
Socialism has nothing to do with this. Japan and S. Korea have similar cases against Intel, another one is brewing up in New York, and the last thing you'd attribute with them is socialism.

It's as legit an antitrust trust case as the 100s that may have been contested in American courts, only maintaining a lower profile, involving smaller companies.
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