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FTC Opens Formal Antitrust Investigation of Intel

Posted by ScuttleMonkey on from the setting-the-antitrust-bar dept.

andy1307 writes to tell us that according to the New York Times, The Federal Trade Commission has opened a formal antitrust investigation of Intel. Reversing the decision of former FTC chairperson Deborah P. Majoras, the new chair William E. Kovacic is pushing the investigation to look into Intel's pricing policies. "Since it will almost certainly be many months before the commission decides whether to make a case against Intel, as European and Asian regulators have already done, the investigation could mark an important early test for the next administration on antitrust and competition policy."

2 of 117 comments (clear)

  1. Never understood.... by thtrgremlin · · Score: 3, Interesting

    Not that I have ever had a problem with Intel (though I have always bought AMD), but I never understood how why Microsoft gets ALL the blunt of the anti-trust stuff. Intel made a killing with their "Intel inside" campaign, but was it THAT great? I think more architectures for home PCs would be a major benefit to open source software, and a big hit to the stranglehold M$ has had over the sheeple for a long time. I have wanted to get a sparq for a long time, but it has felt a bit to risky to just make a statement. I really hope something comes of this investigation, if Intel was really playing unfair.

    --
    Want Big Business out of government? Take away the incentive and start by getting government out of big business!
  2. Re:Intel is a monopoly? by 3p1ph4ny · · Score: 3, Interesting
    I'd say so:

    Intel...controls 80 to 90 percent of the microprocessor market.

    Also, for those of you (like me) who were wondering what exactly they did:

    A.M.D. has asserted that Intel offers rebates and discounts that, in effect, result in its chips being sold at prices below the cost of production, a practice that some courts in cases involving other companies have said can be a violation of antitrust law.

    Intel denies that its discounts and rebates drive its prices below cost, or at predatory levels. Intel has said that it offered legitimate discounts based on the volume of chips that have been purchased by companies, and that consumers benefit when personal computer manufacturers â" using the discounts â" are able to lower the cost of making their products.