Tag Archives: Intel

European Ombudsman Criticizes Intel Investigation

The Wall Street Journal reports that the European Ombudsman has criticized the conduct of the European Commission during the investigation against US chipmaker Intel. Mr. Diamandouros has said that the European Commission committed “maladministration” by not recording in the case file a formal account of an August 2006 meeting between commission investigators and a senior Dell Inc. executive who was providing evidence in the case.

The report says that the executive, who isn’t identified, is believed to have told investigators that Dell viewed the performance of Intel rival Advanced Micro DevicesInc. as “very poor.” That could imply that Dell chose Intel chips for technical reasons.

EC Imposes Historic Fine on Intel

The European Commission has imposed a fine of €1 060 000 000 on Intel Corporation for violating EC Treaty antitrust rules on the abuse of a dominant market position (Article 82) by engaging in illegal anticompetitive practices to exclude competitors from the market for computer chips called x86 central processing units (CPUs). The Commission has also ordered Intel to cease the illegal practices immediately to the extent that they are still ongoing.

This was widely expected. However, this is a landmark case and to my best knowledge – the largest penalty for abuse of market position ever. More, the US may follow suit in persecuting Intel’s conduct.