Intel Corp., the world’s largest maker of x86 central processing units, has issued a statement claiming that despite of allegations from the European Commission the company believes it did not violate any antitrust laws and that its business practices actually benefit consumers.
“We are confident that the microprocessor market segment is functioning normally and that Intel’s conduct has been lawful, pro-competitive, and beneficial to consumers. While we would certainly have preferred to avoid the cost and inconvenience of establishing that our competitive conduct in Europe has been lawful, the Commission’s decision to issue a Statement of Objections means that at last Intel will have the opportunity to hear and respond to the allegations made by our primary competitor,” said Bruce Sewell, senior vice president and general counsel.
Late last week the European Commission sent its statement of objections to Intel, which outlined that the commission believes that Intel Corp. had violated fair trade rules. A statement of objections (SO) is a formal step in Commission antitrust investigations in which the Commission informs the parties concerned in writing of the objections raised against them. The addressee of an SO can reply in writing to it, setting out all facts known to it which are relevant to its defense against the objections raised by the Commission. The party may also request an oral hearing to present its comments on the case.
Intel emphasized in its statement that the case was based on complaints from a direct competitor – Advanced Micro Devices – rather than customers or consumers. AMD accused Intel of monopolization of x86 central processing units (CPUs) market and illegal business practices, the European commission, in its preliminary view, agreed with the smaller chipmaker.
“Intel will now be given the chance to respond directly to the Commission's concerns as part of the administrative process. The evidence that this industry is fiercely competitive and working is compelling. When competitors perform and execute the market rewards them. When they falter and under-perform the market responds accordingly,” Mr. Sewell added.