Intel Threatens To Revoke AMD's x86 License

theraindog writes "AMD's former manufacturing division opened for business last week as GlobalFoundries, but the spin-off may run afoul of AMD's 2001 cross-licensing agreement with Intel. Indeed, Intel has formally accused AMD of violating the agreement, and threatened to terminate the company's licenses in 60 days if a resolution is not found. Intel contends that GlobalFoundries is not a subsidiary of AMD, and thus is not covered by the licensing agreement. AMD has fired back, insisting that it has done nothing wrong, and that Intel's threat constitutes a violation of the deal. At stake is not only AMD's ability to build processors that use Intel's x86 technology, but also Intel's ability to use AMD's x86-64 tech in its CPUs."

Comments

Bait and swtich

[olddotter]

This is probably just high stakes gambling. AMD has little to lose. (I say that as an AMD share holder looking at my $2.49 stock price.) Intel has more to lose if they have to redo the 64Bit code. According to the reading, if Intel wins, they get rid of AMD, and become a defacto monopoly having to face US and EU anti-trust regulators. If AMD wins, they get to go along as before and Intel can't sell 64-bit CPUs that people want.

Basically I bet AMD's lawyers are saying "Go ahead make my day." Given the above even if Intel wins in court, they lose.

Re:Intel will license it

[eggz128]

Intel licensed x86 to AMD originally because Intel was unable to keep up with demand.

It wasn't so much that Intel couldn't keep up with demand, more that IBM's policy required that a second source be available just in case they couldn't.

AMD has now breached the license. Intel has no responsibility to keep AMD in business. Intel can get another foundry to make x86 CPUs. There's no law against being a monopoly.

No, there is no law against being a monopoly. There are laws against being an abusive monopoly however. Intel has been convicted of abusing it's monopoly status in Japan, has at least been accused of doing so in the EU. Maybe AMD could file a complaint in the USA also and have it successfully investigated. Once convicted of being an abusive monopoly the rules change.

Natural law is against being a failure like AMD.

In theory the UK monarch can veto any law parliament puts before him or her. In practice, vetoing rarely happens as it can lead to the removal of the monarchs head. Intel should be careful just how far they push this as states could just decide they are abusing their position and remove their right to x86 all together.