News Article
Intel offices in Europe searched in dawn raids
European Commission officials raided Intel offices across Europe in the early hours of July 12 as part of an investigation into allegedly anti-competitive practices.
European Commission officials raided Intel offices across Europe in the early hours of July 12 as part of an investigation into allegedly anti-competitive practices.
Number one chip maker Intel has been accused of illegally coercing computer makers to use only its chips. AMD - the company's fierce rival in the microprocessor market - claims that Intel uses its monopoly powers to force PC makers to boycott AMD processors.
Among the dubious practices Intel is accused of are paying OEMs cash as an encouragement to using only its chips and offering big price discounts as an incentive to buy its processors.
In a sign that the spat between AMD and Intel is escalating, AMD filed a 48-page complaint in a US federal district court against Intel on June 27, explaining in detail how kit believed Intel has unlawfully maintained its monopoly in the x86 microprocessor market by engaging in worldwide coercion of customers from dealing with AMD.
The complaint identifies 38 companies that AMD claims have been victims of coercion by Intel - including large scale computer-makers, small system-builders, wholesale distributors, and retailers.
AMD's litigation follows a recent ruling from the Fair Trade Commission of Japan (JFTC) on March 8, which found that Intel abused its monopoly power to exclude fair and open competition, violating Section 3 of Japan's Antimonopoly Act.
According to AMD, these findings "reveal that Intel deliberately engaged in illegal business practices to stop AMD's increasing market share by imposing limitations on Japanese PC manufacturers".
Thomas McCoy, AMD executive vice president, legal affairs and chief administrative officer, said: "The European Commission dawn raids show that Intel cannot and should not escape the scrutiny of antitrust officials around the world - nor can Intel escape the consequences of its anti-competitive actions, which raise prices, threaten innovation and harm consumers."
Number one chip maker Intel has been accused of illegally coercing computer makers to use only its chips. AMD - the company's fierce rival in the microprocessor market - claims that Intel uses its monopoly powers to force PC makers to boycott AMD processors.
Among the dubious practices Intel is accused of are paying OEMs cash as an encouragement to using only its chips and offering big price discounts as an incentive to buy its processors.
In a sign that the spat between AMD and Intel is escalating, AMD filed a 48-page complaint in a US federal district court against Intel on June 27, explaining in detail how kit believed Intel has unlawfully maintained its monopoly in the x86 microprocessor market by engaging in worldwide coercion of customers from dealing with AMD.
The complaint identifies 38 companies that AMD claims have been victims of coercion by Intel - including large scale computer-makers, small system-builders, wholesale distributors, and retailers.
AMD's litigation follows a recent ruling from the Fair Trade Commission of Japan (JFTC) on March 8, which found that Intel abused its monopoly power to exclude fair and open competition, violating Section 3 of Japan's Antimonopoly Act.
According to AMD, these findings "reveal that Intel deliberately engaged in illegal business practices to stop AMD's increasing market share by imposing limitations on Japanese PC manufacturers".
Thomas McCoy, AMD executive vice president, legal affairs and chief administrative officer, said: "The European Commission dawn raids show that Intel cannot and should not escape the scrutiny of antitrust officials around the world - nor can Intel escape the consequences of its anti-competitive actions, which raise prices, threaten innovation and harm consumers."
