Intel settles anti-competition claim. Shall I get my Wellies?


The sun never sets on that which is Intel
Daylife/AP Photo used by permission

The Federal Trade Commission and Intel announced on Wednesday that they had agreed to settle charges of anticompetitive behavior that the agency claimed stifled competition in the market for computer processing and graphics chips.

The settlement prohibits Intel from the practice of paying customers to buy its computer chips exclusively or to refuse to buy chips from other manufacturers. It also prohibits Intel from redesigning its chips purely to harm a competitor. Intel also agreed not to retaliate against computer makers if they do business with non-Intel suppliers…

“This agreement provides a framework that will allow us to continue to compete and to provide our customers the best possible products at the best prices,” Mr. A. Douglas Melamed said. In agreeing to the settlement, Intel did not admit to any wrongdoing or that the accusations were true.

And they would stop doing all the things they won’t admit to doing.

Advanced Micro Devices, Intel’s main rival, settled its own antitrust claims against Intel in November with Intel agreeing to pay $1.25 billion…

That Intel didn’t have to admit to doing.

The various legal actions against Intel, based in Santa Clara, Calif., have brought to light numerous unflattering e-mails exchanged between the company’s top executives and customers.

In particular, communications between Intel and Dell have shown executives talking about rebates bestowed on Dell for its decision to abstain from A.M.D.’s products. In one such exchange, Paul S. Otellini, the chief executive at Intel, described Dell as “the best friend money can buy.”

One looks with pride upon the ethical standards of the captains of American industry – as our ship slides slowly beneath the waves of international commerce and history.

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