Intel is investigated again by commission of American federal trade

June 10, 2008

International reported net of information of CNET science and technology on June 10 last week, commission of American federal trade (FTC) the antitrust investigation that launched to be aimed at Intel.

All the time since, AMD is in Europe, asia and beautiful national capital are seeking pair of Intel to lodge a complaint, reason is Intel uses impertinent sale action to have market monopoly.

Current, the sale with annual market of global chip processor exceeded 225 billion dollar, two companies take out money of quite a few to institute proceedings and public relations expenditure. Be in Europe, japan and Korea, AMD has gained certain victory.

Be in the United States nevertheless, AMD did not gain how many victory, because be compared with foreign photograph, government of American each state and cloth assorted authorities are in antitrust respect is not quite radical.

Nevertheless the manner of 5 FTC lets this one phenomenon transform somewhat last week, if the United States issues the manner of a government to transform, antitrust strength of the United States will continue to strengthen.

The new preside William E of FTC. Kovacic accredit initiated pair of Intel to operate the investigation of microprocessor market value, FTC other commissioner also supports this to investigate the operation.

Deborah P of FTC predecessor chairman. Majoras once will lay aside time of a few months to the official ask for an explanation of Intel, senior assistant director and Moses of part of United States Congress feel your FTC other be thwarted.

A Ms. Majoras ever was branch of American judiciary antitrust curule, she ever was in charge of dominant 2001 the compromise of Microsoft and bush-administration, before two months, majoras left FTC.

When FTC considers to whether launch investigation to Intel, a few countries of Europe and Asia had begun to take action to Intel.

AMD expresses, the client that Intel methodical gives him - the personal computer manufacturer with those main whole worlds - with substantially discount, sometimes the price even the manufacturing cost under Intel, in order to exchange the acceptance of deal of these competitor of manufacturer disaccord Intel. Intel is responded to say, its discount is a kind of proper incentive measure, its price is done not have under production cost, these discounts buy the user of low computer to have profit to those.

Intel still expresses, AMD tries to make up for its failure in the market with litigant method.

AMD official hopes, the investigation of FTC will issue a government to offer an opportunity that examines antitrust lawsuit more actively for the United States. Although become independent from the technology at the White House, but the controller of FTC by presidential name.

Senior vice president holds Intel concurrently chief attorney D. Bruce Sewell says, because the antitrust law of the United States and abroad is complete different, because of this no matter FTC, american government human affairs happens what kind of fluctuant, intel has hope very much to plead.

Nevertheless Intel has decided the go canvassing that increases pair of Washington respects works.

Current, intel is occupational global microprocessor market the portion of 80% , the market share of AMD is 20% .

The investigation of this FTC also is one of a series of law lawsuit that Intel gets recently. Last week, korea antitrust orgnaization announces, fine Intel place with 25.4 million dollar.

Intel expresses, already received the subpoena of FTC last week, the company says, can cooperate the investigation of governmental orgnaization with all one’s strength.

It is reported, after beginning in investigation, FTC is met not only the document that Intel of examine and verify offers, still can arrive over there PC manufacturer and Intel other client related collect data, seek the testimony of impeach.

2005, AMD put forward to sue to Intel to federal court, AMD accuses Intel is right the PC manufacturer that uses AMD processor, and the shopkeeper that provides remarkable space to use AMD processor computer on goods shelves offers illegal discount to perhaps hit retaliation.

The analyst thinks, FTC investigates won’t long-term to Intel development to bring too big impact.

Compare and character, general European Union is a few more severe to the investigation of antitrust. And the harm that the court decision of Korea respect won’t cause materiality to Intel.

Last week 5, intel share price dropped 0.97 dollars, closing quotation price is 22.9 dollars. AMD share price also dropped 0.35 dollars, receive at 7.43 dollars.

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