EU said to be preparing big fine for Intel
THE EU COULD BE about to slap Intel with a hefty fine and a ban on doling out rebates in order to secure computer maker loyalty, say people in the know.
Bloomberg news claims a couple of sources have managed to get their grubby paws on the EU commission's 500-page draft, which is apparently doing the rounds to no less than 27 national competition authorities before a final ruling is delivered by Brussels.
The Eurocrats have been chewing on the issue of Intel's anti-competiveness (or not?) since way back in 2001 when AMD first cried ‘Uncle' on the firm's arm twisting tactics. Intel, it said, was keeping AMD out of the market by offering "substantial rebates" to computer makers who didn't sell kit with AMD chips inside.
But now it appears Brussels may have reached a decision, and sources say a ruling could be imminent.
"We have no way of knowing if it's true or not. The story looks speculative to us so we will decline to comment," Intel's Chuck Mulloy told the INQ.
Chipzilla has tried to get the case shut down by crying to the European Court of First Instance last year, but all in vain. The court ruled the commission was free to continue poking around with its rubber gloved probe, despite Intel's obvious discomfort.
Another $25 million fine - like the one incurred by Intel in South Korea recently, or another settlement like that in Japan - will not exactly dent Chipzilla financially, but in the current economy, it certainly won't be a welcome decision either. The chances are any EU punishment will be heftier than those, however.
It won't do Intel's reputation much good either, with consumers or the U.S. Federal Trade Commission, who are also investigating the firm.
Just look what happened to Microsoft. µ
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Yeah, look at what happened to Microsoft. they are now at the bottom of top software company list. They went out of business. They were completly destroyed. Unix/Linix now dominates the Operating System business. Microsoft no longer exists,
Oh yeah..... None of that happened.
What about the reputation of the regulation-happy EU? They'll fine any company for anything... and faster if they're American.
Still waiting for the investigation and eventual fine of all those European computer distributors who took these rebates and participated in this 'anti-competitive' behavior.
Any update on the status of the EU investigation into these companies? Surely the EU will be looking into this to? :)
Is doing exactly what they are supposed to do when a company is playing dirty.
Intel is the most greedy company in the earth. I think EU will be fine them more than 5 billion euro as compensation to AMD and VIA with 100 Million to EU. Microsoft is not sell goods like Intel. Microsoft product could be uses illegally with crack like The Pirates Bay do. Intel products is not easy to be imitated. I think everyone want AMD more competitive so this will free them from debt that hampered them since they bought ATI.
AMD was the victim here. A couple of billion in restitution might ensure some viable competition and maintain choice for the consumer.
What happened to going to court where both side get a fair chance to put forth evidence? Or did i miss something here and the EU is judge, jury, and executioner? Guess the EU really wants there bailout money so they are skipping with the formalities?
...named Intel. Time to squeeze them for a few billion. Maybe they'll go after US pharmaceuticals next.
If they're going to fine Intel, EU have no right to take the money. 100% of the money must go to AMD.
The EU isn't just suing companies it's putting huge fines on entire countries in order to make money. It's time we pulled out of the EU and the government knows it. This is why they will never give us a vote on the matter!
...You play by OUR rules.
Sure intel, pull out of the EU market and lose 30% of your revenue overnight. We can see that happening right???
How about this - intel starts to behave like a normal company instead? The EU will NEVER allow a monopoly on chips, neither will Russia, neither will China. Just forget all about being the sole dominant chip maker on the planet, it is never going to happen because - get this - it's BAD for progress and BAD for the consumer.
All you complete IDIOTS who are supporting intel on this need a good hard slap into reality.
Intel and Microsucks both need $500 Billion fines before they'll consider abiding by law. Anything less makes crime very profitable.
How come AMD dont have 80% of maket share.. It all Intels fault, no because thay make crap chips and are a crap company who CANT make money.
Your statement is always out from Intel's man that always paranoid and greedy.
this is crazy! EU seems to fine any non EU company that does remotely well.
Especially now with the global recession...the fines seem to be increasing! hmmmm
Microsoft, Intel etc etc should just tell the EU to shove their fine, and completely pull out of Europe.
Lets see who comes crawling back when the whole of Europe is technologically left behind by decades within a year or two.
Intel pulls out and AMD takes over in the EU....guess who gets the next fine! lol
Mmmm yes intel and Microsoft leave the EU and you think that would put the EU behind in progress?
Lol. Both companies have been holding back progress since they got into the position that they could.
I seriously do worry about some of you Americans. You are clearly batshit insane.
Remember that corporations like Intel and Microsoft are like insurance companies: they never lose. Rather, whatever "losses" they incur they'll simply pass onto the consumer.
Sure, some will say this will simply benefit AMD since now Intel chips will be more expensive, but AMD still does not have the clout or marketshare to really take advantage of it.
I just hope they just pass on these prices to the Europeans.
While I prefer government not meddling in these kinds of things, laws are made to be obeyed. However, while it seems clear that the same practices would also be illegal in the USA, companies that make hefty campaign contributions to the right kind of politicians, can get away with just about anything because of the power those same politicians wield over department budgets and appointments. We have our foxes guarding our hen houses.
Don't expect that to change anytime soon because the so-called Party of the People, the Democrats, are the major beneficiaries of this filthy practice of raising billions in campaign contributions. So they can protect us from a monopoly? Keep dreaming!