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Intel questioned by EU over market abuse allegations

OUT-LAW News, 09/04/2001

The European Commission has asked Intel to react to allegations that it abused its dominant position in the market for Windows-capable microprocessors by engaging in abusive marketing practices.

The Commission is examining two different complaints against Intel made by Taiwan’s Via Technologies and California’s Advanced Micro Devices alleging anti-competitive loyalty rebates and exclusive distribution agreements with PC manufacturers and retailers.

In a statement, the Commission made clear that it is not “taking up previous efforts by the US Federal Trade Commission to investigate the same company, as suggested by a newspaper article.”

The Commission is already examining Intel's replies. It has also sent requests for information to several PC manufacturers and retailers.

The investigation is at a very early stage and the Commission has not made any finding that Intel has actually committed an infringement of European Union competition law.

There is no strict timetable for the conclusion of antitrust investigations in the EU. Their duration depends on whether the Commission comes to the preliminary conclusion that EU law has been breached and the need to respect procedural requirements relating to the companies' rights of defence (due process).

 

 

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