Intel seeks to limit AMD anti-trust case

Posted on 5 May 2006 at 11:19

Intel has asked a US judge to limit the scope of a civil anti-trust case brought by rival AMD. The chip giant has asked the court to rule that proceedings taking place outside of the United States should not be mentioned in any court case within the US.

AMD has for many years maintained that Intel used improper business practices in order to lock out its smaller rival. Among the allegations made by AMD is one that Intel struck 'exclusive' deals with OEMs as well as threatening suppliers with a break in supply if they chose to source processors other than Intel's. The chip giant has denied the allegations.

Intel is asking the court to strike out those parts of AMD's allegations that relate to Intel's business practices in foreign countries. AMD's dogged determination to pursue Intel over the alleged monopolistic practices has led to action by anti-trust authorities in Japan, the EU and Korea.

Intel points out that AMD manufactures chips in its Dresden plant in Germany that are then shipped to the Far East. The company claims that these kinds of transactions beyond US borders means that any legal actions taking place outside the courts' jurisdiction should have no bearing on any case within the US.

Intel's submission to the court states 'Before subjecting Intel to the burden of defending its foreign business practices in a U.S. Court, AMD must meet the burden of establishing that this court has subject matter jurisdiction over AMD's foreign commerce claims'.

AMD for its part says that Intel's move it an attempt 'to escape responsibility' for its behaviour.

In its pursuit of Intel, AMD has so far subpoenaed a range of companies in the IT business in its search for evidence to support its allegations. Among the companies asked to release internal company information are Microsoft, Dell, HP and IBM.

The trial is expected to take place in 2008.

Author: Steve Malone