High Tech_s Titan Going to Court

Published: 25 February 1999 y., Thursday
When the chip giant gets its day in court defending itself against antitrust charges, it will argue that it is not a monopoly, that it didn_t bully its rivals and that it didn_t break any laws. Intel will bring its highest officers to Washington, D.C., to testify in the trial that opens March 9, including Chief Executive Officer C. Barrett and Chairman A. Grove. The Federal Trade Commission (FTC), which is bringing the suit, will trot out an array of Intel rivals to testify that the Santa Clara chipmaker is a ruthless monopolist that bullied them into surrendering patent rights. The FTC is expected to argue that Intel is a monopolist by virtue of its dominance over 80 percent of the microprocessor marketplace. Intel had revenues of $26.2 billion last year. Intel totally rejects this concept. "It is a highly competitive marketplace, and there are no monopolies,' said P. Detkin, an Intel vice president who is heading the company_s legal strategy. The FTC_s case against Intel is the second government attack on a high-tech titan. The Department of Justice is pressing a high-profile antitrust case against Microsoft Corp., whose Windows software is paired so often with Intel_s chips that the combination is known in the industry as Wintel. The Microsoft case -- which still is continuing in a federal courtroom in Washington -- has brought some of the industry_s stars to court in a nasty dispute. Intel said it has learned some lessons from how Microsoft handled itself in that case, which has been a public relations disaster for the software giant. Microsoft has taken a lot of heat for its assertion that it is not a monopoly despite making the operating system software for 90 percent of the computers sold today. Intel says its market climate is totally different than Microsoft_s. "How many of the top 10 (computer-makers) will sell you a non-Microsoft operating system? None,' said Detkin. But, he continued, "Of the top 10 (computer-makers), how many will sell you a non-Intel chip? Nine." The stakes also are different from the Microsoft case. Some legal scholars are suggesting that the government break Microsoft into two or more companies, much like prior antitrust actions against AT&T and Standard Oil. In the Intel case, the FTC is only seeking an order that says, "You can_t cut off a product to a customer, or the technical information needed to make the product work, simply because a customer has some potentially competing intellectual property it refuses to license to you.' Witnesses for the FTC, according to court documents released Friday, will include high-level executives from Compaq Computer Corp., the former Digital Equipment Corp. and Intergraph Corp. -- three companies that were in bruising legal battles with Intel. Intel has contested some of the specifics of the Intergraph charges in a civil suit Intergraph brought in federal court in Alabama. Other FTC witnesses will include executives from Intel_s chip-making competitors Advanced Micro Devices, Micron Technology Inc. and Motorola Inc.
Šaltinis: Internet
Copying, publishing, announcing any information from the News.lt portal without written permission of News.lt editorial office is prohibited.

Facebook Comments

New comment


Captcha

Associated articles

The most popular articles

Equal pay for women - not yet

Women in the EU earn on average 18% less than men - a gap that has scarcely narrowed over the last 15 years and in some countries has even grown. more »

EU's biggest-ever energy package

43 gas and electricity projects to split €2.3bn, the most the EU has ever spent on energy infrastructure in a single package. more »

Georgia to gradually integrate into the European common aviation market

Georgia and the European Union have initialled a comprehensive air services agreement at a meeting in Tbilisi, Georgia, today which will open up and integrate the respective markets, strengthen cooperation and offer new opportunities for consumers and operators. more »

Mobility Programme for Business and Industry calls for applications

In order to vitalize and strengthen cooperation of business stakeholders in the region, the Nordic and Baltic countries continue running joint mobility programme. more »

EBRD and Société Générale support economies in Serbia

The EBRD is boosting the availability of financing to the real economy sector in Serbia, with a €20 million credit line to Société Générale Serbia for on-lending to small and medium enterprises. more »

Armenia’s Ameriabank receives EBRD financing

The EBRD is supporting the development of the private sector in Armenia and increases further the availability of financing in the real economy sector with a $10 million loan to Ameriabank for on lending to local companies under its Medium Sized Co-financing Facility (MCFF). more »

EBRD funds modernisation of roads in Albania

The EBRD is supporting the modernisation and improvement of transport infrastructure in Albania with a €50 million sovereign loan to finance the rehabilitation of regional and local roads in the country. more »

Latvia: Social Investment Fund III Project Second Additional Financing

Given the deep impact Latvia has suffered in the wake of the global crisis, and due to the emergency nature of this program, the first operation will focus mainly on the first and second objectives. more »

IMF Managing Director Dominique Strauss-Kahn to Visit Africa to Deepen Dialogue on the Continent’s Economic Challenges

Mr. Dominique Strauss-Kahn, Managing Director of the International Monetary Fund (IMF), will visit Africa March 7-11, to discuss opportunities and challenges facing African economies in the wake of the global crisis. more »

2011 budget: focus on youth and economic recovery

Without enough money, the EU 2020 strategy risks turning into "another vague scoreboard for the Member States", the EP Budgets Committee warned on Thursday when adopting its priorities for the 2011 budget. more »