INTEL, the world’s biggest computer chipmaker, was sued by US regulator the Federal Trade Commission (FTC) yesterday, for deliberately stifling competition.
The FTC alleged Intel used its market dominance in efforts to shut out rivals by cutting off their access to the marketplace and denying consumers of their choice among competing microchips and lower prices.
Director of the FTC Bureau of Competition Richard Feinstein said: “Intel has engaged in a deliberate campaign to hamstring competitive threats to its monopoly. It has been running roughshod over the principles of fair play.”
The FTC claims Intel offered discounts to customers like HP, Dell and IBM on the condition they drop products from its main rival, Advanced Micro Devices (AMD). Intel said: “The FTC’s case is misguided. It is based largely on claims that the FTC added at the last minute and has not investigated. In addition, it is explicitly not based on existing law but is instead intended to make new rules for regulating business conduct.”
Intel last month paid £770m in another anti-competition settlement with rival AMD.