Life is too short not to exact a bitter and bloody revenge
THE VERDICT IS IN, and Intel has been found guilty as charged by the EU for abusing its dominant market position, with the chipmaker being fined a whopping €1.06 billion.
The EU said Chipzilla had violated EC Treaty antitrust rules under Article 82, abusing its dominant market position "by engaging in illegal anticompetitive practices to exclude competitors from the market for computer chips called x86 central processing units (CPUs)".
Neelie Kroes, EU Competition Commissioner
The EU Commission said it had found Intel guilty of two kinds of nefarious illegal practice, the first of which was giving "wholly or partially hidden rebates to computer manufacturers on condition that they bought all, or almost all, their x86 CPUs from Intel", whilst the second was Intel's direct pay-offs to OEMs to stop or delay the launches of products containing its competitors' chips.
The commission said it also found Intel guilty of making "direct payments to a major retailer on condition it stock only computers with Intel x86 CPUs," saying that these moves "effectively prevented customers - and ultimately consumers - from choosing alternative products."
"By undermining its competitors' ability to compete on the merits of their products, Intel's actions undermined competition and innovation" said a Commission press release.
Along with the €1.06 billion fine, Intel has been ordered to stop its antitrust behavior immediately and told the Commission will actively monitor its compliance. The fine is equivalent to $1.44 billion, a very hard whack to Intel's bottom line, considering the firm had $3.5 billion in cash on its balance sheet at the end of Q1.
Giuliano Meroni, AMD's EMEA president, told the INQ "The EU decision will shift the power from an abusive monopolist to computer makers, retailers and above all consumers." µ
Probably pocket change to INTEL that fine in fact probably building up as we speak every sec on a sale of a product.
Who gets the money should AMD get some of it since if there was no monopoly AMD might have got a few of the sales %.
Thats 1 question people want to know or will the EU just spend it on themselves and the doing well countries.
Muuahaha, it won't stop them.....
bladdy hell! thats ultra-ruthless!
intel are as bent as a nine-bob note.
from now on i'm an AMD man.
the damage is done
many people say that AMD became complacent and as a result fell behind but I disagree;If it weren't for Intel's practices, AMD would've sold more bigger profits investment in R&D better position
This only means that Intel CPUs will be more expensive from now on.
Those who won't be able to afford them are welcome to buy AMD's cheap crap.
I'd imagine that if the fine doesn't go to AMD (logically it should since they were the ones hurt by Intels actions) they would now be able to sue them for damages. The amount required to pay for this wrong doing by Intel very get a lot larger.
to anyone who slates amd cpus:
amd is affordable, faster responding and they use the memory and sata buses at full speed - unlike intel who always restrict the throughput of something unless (again) you pay through the nose. ive seen modern intel mobos that dont even use multi-channel memory and they reduce the fsb:ram ratio to cripple it further. why? because they are scum.
youre welcome to continue to pay over-inflated prices for sluggish, unresponsive intel turds. mug
EU press release with details: http://budurl.com/EURel
EU FAQ: http://budurl.com/EUFAQ2
Helpful links to add to the discussion:
EU release:http://budurl.com/EURel
EU FAQ: http://budurl.com/EUFAQ2
Even i m thinking this fine doesnt go to AMD
When AMD released the K7 Intel pressured motherboard manufacturers to not make or delay motherboards based on the AMD750 chipset. It severly delayed introduction of the K7 into the market. You can't sell a processor without a motherboard.
ASUS were probably the first to make one, the K7M, but they only sold it in a white box without their name or anything on it!
How dare an American company hold a dominant position in Europe!
The fine goes to the European Bank account that all countries pay into. It will mean a slight reduction in country payments to Europe.
AMD is now set for an easy court victory in Europe, with probably a larger payout.
This will cost Intel approx 1/4 of it's yearly profits, not a lot.
Dude, where have you been living the past 2 years, under a rock? The Core 2 Line and now the i7 and soon to come i5 line eat AMD's lunch and come back looking for more only to leave hungry. Since the launch of the Core2 line, AMD hasn't had anything close to Intel performance wise, Hell the PhenoemII with DDR3 just matches in performance 2 year old Core 2s in performance. The i7s and i5s are again at a level of performance that AMD can't match.
Dude, you've been living under a rock for the last 2 years, teh Core2 from intel smokes AMD. Their PII/DDR3 only matches the performance of Core2 from 1-1.5 years ago, the i7 and i5s are at yet another performance platue that AMD can't match.
A.) So what's more harmful? The alleged normal business practice of giving rebates (and thus actually lowering prices for Intel chips)...or doling out a silly fine that will now increase cost of chips? You can be sure Intel won't be the ones paying the fine...it will definitely be the consumer as Intel passes the cost on to them. And with AMD basically destroyed at this point, they really can't undercut the higher Intel prices enough to make people buy their product without going out of business.
B.) AMD can't sue Intel. Why? Outside the socialist EU, most countries know that this is a silly fine - especially in the US. For AMD to sue Intel, the US justice department would be involved and you can be sure, the US doesn't want anymore money to leave the US (Intel has far more manufacturing in the US than AMD does...and Intel workers provide huge tax income to the US, state, and local govs). Plus, Intel is in the category of those businesses "too big to fail" (Obama's favorite pet project), so the US will do whatever it needs to in order to ensure the long term health of Intel.
Expect this to be followed by fines on google and apple and IBM. This is the new European protectionism designed to fill their coffers. Why levy tariffs when you can just claim everyone is a monopolist? Intel can't say it but it is directly targeted at rich american companies. Long live European protectionism and higher prices:P
1GPz (1GPoundZ) barrier shattered!!!
Death to Intelfidels!
The exact same thing is going on right now. Asus just released it's K-Series laptop and as always only the Intel version is out.
The AMD is not even on the homepage though everybody is waiting for it... it has AMD's new 4860 graphic card inside.
This is why I never buy Intel or Microsoft.
Dump only Celerons and ATOMs in Europe with a premium.. No i7s, Core IIs, or anything else high end.. Let them buy AMD crap..
Americans still haven't learned. If you keep doing exactly what got you into this financial mess you will get the same results. It's called voodoo economics for a reason. Neo-Keynesians were right. Markets do not regulate themselves. Unless you are in a position to reap rewards from the inevitable oligopolies and corruption.
Calling neo-Keynesians socialists is a bit over the top. Like socialism with a strong market economy is that bad. I like free health care and the social safety net. If you like robber baron capitalism so much move to Russia, lol
Swallow the toad. Intel BETRAYED you. Because of intel's practices, you had to pay more and AMD&VIA were harmed. Not only them, but YOU the costumer too.
And you are defending Intel, the criminal, and attack the people bringing justice.
Intel Fanboys are pathetic. Worse then Macfags.
oh, and the EU is certainly not the only one investigating/fining Intel, not the first and certainly not the last. Intel ripped you off. Intel has to bleed now.
Just think of the awesome cpus you might have, for a lot cheaper, if AMD had been able to gather more marketshare, pump more money into R&D and bring better products earlier. You idiotic intel inside boys can't even graps the scope of the harm Intel has done to EVERYBODY.
And they got away pretty easy. The fine could have been higher and should have been higher.
Next step: AMD&Co suing Intel. Intel banned for purchases by EU entities.
...probably goes to the EU MP's expenses fund
you don't have any clue about what you're talking about, so shut up.
(quote by Intel just before they started moving lock, stock, barrels and naming rights to Israel at the beginning of the investigation)
If everyone is waiting for them, then surely Asus would make something to fill that huge demand right?
Or maybe, just maybe, Asus sees more of a demand for Intel based products and goes where the money is at. If more people are willing to buy the Intel part, then clearly "everyone" isn't waiting for an AMD kit. Asus will sell it when it makes economic sense to them.
Energyman, lay off the AMD crack pipe please. You don't help your cause. Even if the barriers are removed, what does AMD have that people really want to buy and are going to pay big bucks for? Right now, AMD only has something in the budget end.
AMD doesn't love you and will only suck your money. AMD rested on its laurels and now doesn't have anything competitive with Intel. Do you think they're going to magically be able to sell their processors for more? Do you think Intel can't lower its prices to compete?
If anything, this isn't going to help the consumer but harm them over the long run. AMD and Intel charge more for processors, they win, we don't.
http://news.bbc.co.uk/2/hi/business/8047546.stm
According to the BBC, AMD gets nothing at all from the fine. The money goes back to the EU's tax budget. Its nice that Intel got caught but defeats the purpose if all AMD gets is a pat on the back. Way to go.
Back in 04/05:
Athlon-FX single core- $999 (same as Intel's EE)
Regular Athlon 64's- $200 - $600.
You can now buy quad core chips for 1000% less. Do your math einstein. Both players were involved in price fixing that they do not wish to be questioned about.
Dell,HP,and the others big oems hardly have any AMD systems to sell. I use to wonder why, i called dell on day and ask where are all the AMD systems, but maybe i should have called intel and ask them instead they might have had a better answer.
look at the mobile market,an average intel laptop wasn't powered by a core2, no it was powered mostly by pentium dual or celeron.And don't forget the fact that the atom has the netbooks all to it's self.
but the funny thing is,is that AMD has cpus that are as fast as those cpu. the amd turion, works very well and is just as fast as any other pentium dual or celeron.and don't forget the fact that, AMD has the best intergrated graphics, for both desktops and laptops, i know this and even the OEMS know this and don't tell me about nvidia intergrated either, tech source "OEMS are releasing new bios update to speed up the the fan to cool down overheating nvidia onboard graphics".
They had to release bios, cause a recall might have been one of the biggest in history. So why did dell,hp and all the others still used nvidia. ASK INTEL. maybe because an intel intergrated can't even run vista aero.
why is a company with the average mobile cpu speed and the best integrated graphics only only commanding 14% of the mobile market. ASK INTEL
Why is a company that made almost everything the nehalem cpu has today ie intergrated memory controller, 64 bit extentions, intel mocking amd native quad core and now copying it. i could go on. why is this company only with 20% of global cpu sales ask intel.
or ask the companies that accepted bribe for keeping another competitor from getting some market share. am sure the EU ask them, they should be fined to, but i guess the economy needs them not to fail.
EU did a good job, cause the states wasn't going to go after intel. i hope we get some fair play in the cpu sector again. fair play, even fifa knows it and they can't make cpus. so why doesn't intel know fair play. 2 words intel say them FAAAIIIRR PLAAAYY.
and ps i can't wait for amd bullzoder, ad am sure intel is waiting for also to get something else to copy.
I'm sorry, I think you left out how much the EU distributors were fined in the ruling. You know the ones that accepted the rebates and payoffs and actually COMMITTED the exclusionary acts?
While Intel is guilty (assuming what the EU found is true), both the person hiring the hitman and the hitman himself are accountable. How does the EU justify not taking action against the folks that actually EXCLUDED AMD. Where is the outrage against them?
Why is this OK? Why do they get a pass for excluding AMD? Do folks not see the hypocracy?
Some of the posters need to do their basic GCSE economics.
If you reduce competition, producers can charge more, consumers have to pay more. That is no longer a free market - that is why capitalist countries have legislation to prevent monopolies and promote competition. Communist countries, on the other hand, support monopolies (run by the state).
Intel had no intention of giving rebates forever. As soon as AMD goes bust, it will jack up its prices.
It's great that this Intel issue looks like it is almost dealt with.
Now the EU can turn their full attention to Microsoft and its blatant manipulation/laughing at the authority of ISO with their insertion of their crock of *&%$# OOXML, and all the other underhanded and abusive tactics they have used to crush competitors and force governments and corporations to use their substandard products. Way to go Neelie, you're on a roll!
Argument A is stupid, this is like saying should we spend more tax payers money making prisons? or just let thieves and rapists go? go back read a 6th form economics text book to get some understanding of monopoly need to be stopped.
Argument B is even more stupid, because US rely on foriegn countries buying intel chips for intel to make a profit therefore get some tax, they do not want to upset everyone else by acting over-protective because what have eveyrone else got to lose? nothing and what does USA have to lose if everyone turned against them and intel? everything.
@ Jim Johnson, you need to put on glasses and read the online prices... AMD has very decent competing CPU to all intel line up bar ultra high end. and what is the percentage of the pie for for ultra highend ?
@ cxvxx you dont seem to understand what the fine is for. so dont comment on it.
Are some readers here so illiterate that they can't understand simple English?
Intel wasn't fined for giving out rebates on their products. That is perfectly fine and above board.
It IS ILLEGAL to give rebates (or "bribes") only on the condition that the supplier/manufacturer/retailer does not stock/sell/advertise a product made by a competitor.
Let me put this as plain as I can: Intel gave money to others only if they didn't use AMD products. That is illegal everywhere that has rules on monopolies.
This is what Intel has been doing to AMD. Hopefully now a company makes profits and losses on the merits of a product, not on the depths of their pockets and lack of ethics.
Know that this is a silly fine. But;
"Outside the socialist EU, most countries know that this is a silly fine - especially in the US"
I don't see the point from a US guy, the USA is the country with the most silly and crazy fines on the earth.
Did I miss something?
Greetings
i what think grandpappy-do-plenty is trying to say is that intel are happy to bend you over for as much cash as possible with no conscience. amd sell reasonable products at reasonable prices - they dont take the p*ss.
i agree that intel knows no shame and havent got a shred of decency towards customers or competitors so i do not support their bad attitude by buying their products.