Feeds

Intel pleads for €1bn EU fine to be overturned, is DENIED

Couldn't, er, chip away at 5-year-old penalty either

Internet Security Threat Report 2014

Remember when Intel gave rebates to PC makers who bought its chips? The world’s largest computer chip maker has now lost its attempt to overturn the ancient €1bn fine from the European Union over its anticompetitive war with rival AMD.

The record €1.06bn fine was handed down by the European Commission’s antitrust division because of Intel’s attempts to block Advanced Micro Devices’ chips from the market. Chipzilla gave out rebates to PC manufacturers like HP and Dell for buying most of their chips from Intel and also paid German retail chain Media Saturn Holding (MSH) only to stock computers with Intel inside, according to the commission.

“The evidence gathered by the Commission led it to the conclusion that Intel’s conditional rebates and payments induced the loyalty of the key OEMs and of MSH,” Europe’s General Court said in its decision.

“The effects of these practices were complementary, in that they significantly diminished competitors’ ability to compete on the merits of their x86 CPUs. Intel’s anti-competitive conduct thereby resulted in a reduction of consumer choice and in lower incentives to innovate.”

Intel was trying to get that decision annulled or, failing that, to reduce the amount of the fine imposed on it by the commission. But the court rejected its arguments against the original ruling and said that Chipzilla had failed to put forward any reason that the fine was too hefty.

"The Commission demonstrated to the requisite legal standard that Intel attempted to conceal the anti-competitive nature of its practices and implemented a long term comprehensive strategy to foreclose AMD from the strategically most important sales channels," the court said.

“Having regard to the unlimited jurisdiction of the Court in relation to fines for infringement of the competition rules, there is nothing in the complaints, arguments or matters of law and of fact put forward by the applicant in connection with all the pleas examined above from which it might be concluded that the fine that was imposed on it by the contested decision is disproportionate.

“On the contrary, it must be held that the fine is appropriate to the circumstances of the case,” it added.

Intel could still push the case to the Court of Justice in Europe, but it will only be able to argue points of law at that stage. ®

Top 5 reasons to deploy VMware with Tegile

More from The Register

next story
Docker's app containers are coming to Windows Server, says Microsoft
MS chases app deployment speeds already enjoyed by Linux devs
Intel, Cisco and co reveal PLANS to keep tabs on WORLD'S MACHINES
Connecting everything to everything... Er, good idea?
SDI wars: WTF is software defined infrastructure?
This time we play for ALL the marbles
'Urika': Cray unveils new 1,500-core big data crunching monster
6TB of DRAM, 38TB of SSD flash and 120TB of disk storage
Facebook slurps 'paste sites' for STOLEN passwords, sprinkles on hash and salt
Zuck's ad empire DOESN'T see details in plain text. Phew!
Windows 10: Forget Cloudobile, put Security and Privacy First
But - dammit - It would be insane to say 'don't collect, because NSA'
Oracle hires former SAP exec for cloudy push
'We know Larry said cloud was gibberish, and insane, and idiotic, but...'
prev story

Whitepapers

Forging a new future with identity relationship management
Learn about ForgeRock's next generation IRM platform and how it is designed to empower CEOS's and enterprises to engage with consumers.
Win a year’s supply of chocolate
There is no techie angle to this competition so we're not going to pretend there is, but everyone loves chocolate so who cares.
Why cloud backup?
Combining the latest advancements in disk-based backup with secure, integrated, cloud technologies offer organizations fast and assured recovery of their critical enterprise data.
High Performance for All
While HPC is not new, it has traditionally been seen as a specialist area – is it now geared up to meet more mainstream requirements?
Saudi Petroleum chooses Tegile storage solution
A storage solution that addresses company growth and performance for business-critical applications of caseware archive and search along with other key operational systems.