Intel fined $400 million by EU for anti-competitive practices
Intel was fined 400 million euros by the European Commission on Friday for anti-competitive practices nearly two decades ago. The fine was re-imposed after the Luxembourg-based General Court threw out a record fine of 1.06 billion euros in 2009.
The General Court agreed with the Commission that Intel illegally excluded rivals from the market, but it reduced the fine because it found that the Commission had not proven all of its allegations.
The EU watchdog said that Intel had paid HP, Acer, and Lenovo to halt or delay rival products between November 2002 and December 2006. This was an abuse of Intel's dominant market position, the Commission said.
Intel said it is assessing its options and may appeal the decision. The company is currently awaiting the Commission's approval for nearly 10 billion euros in German state subsidies to build a chipmaking facility in Germany.
The Commission has appealed the other parts of the General Court's ruling last year related to conditional rebates offered by Intel at the EU Court of Justice, Europe's top court.
Impact of Intel's anti-competitive practices
Intel's anti-competitive practices had a negative impact on the European chipmaking market. They stifled innovation and competition, and they made it more difficult for consumers to get the best possible products at the most competitive prices.
The Commission's fine is a warning to other companies that anti-competitive behavior will not be tolerated. It is also a reminder that the Commission is committed to protecting competition and consumers in the European market.
Intel's fine is a significant victory for the European Commission and for consumers. It is a reminder that companies with dominant market positions must be careful not to abuse their power.