Intel faces further accusations of stifling competition

The FTC accuses Intel of attempting to shut out competitors in manoeuvres going back to 1999. Richard Feinstein, director of the FTC's Bureau of Competition said: "Intel has engaged in a deliberate campaign to hamstring competitive threats to its monopoly." However, in a statement issued today, Intel said that the company had competed fairly and lawfully and that its actions have benefitted consumers. It noted: "The highly competitive microprocessor industry, of which Intel is a key part, has kept innovation robust and prices declining at a faster rate than any other industry. 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. These new rules would harm consumers by reducing innovation and raising prices." Intel senior vice president and general counsel Doug Melamed added: "This case could have, and should have, been settled. Settlement talks had progressed very far but stalled when the FTC insisted on unprecedented remedies – including the restrictions on lawful price competition and enforcement of intellectual property rights set forth in the complaint -- that would make it impossible for Intel to conduct business." Intel faces similar accusations in Asia, Europe, in private lawsuits and in a suit filed by the New York attorney general. In November the company paid AMD $1.25billion to settle their litigation.