Intel could be slammed by a massive fine by EU regulator over charges
its pricing policies were aimed to suppress competition in retail
channels.
If EU regulators have their way, the company could be forced
to pay a fine to the tune of 10 percent of its annual revenue, but more
worryingly, they could take action to change Intel's pricing model on
the European market.
The European Commission claims Intel's pricing practices, such as
rebates given to system integrators and retailers, were aimed at
driving AMD out of the market. The charges allege Intel gave rebates to
partners under the condition they obtain most CPUs from Intel, and even
made payments to system integrators to delay or cancel AMD based
products.
Intel denies the charges and claims its actions were lawful, and says
it will not speculate on the EC's decision. However, in a filing to US
regulators, the chipmaker warned the EC could indeed rule against Intel.
Analysts expect the Commission will rule Intel breached EU antitrust
laws and that the company will face a hefty fine, even higher than the
one imposed on Microsoft a couple of years back.
More
here.