Jim Cramer Blog

Chip maker Intel Corp. said it plans to cooperate with a court order to produce documents related to its international business practices. The order, issued Wednesday, was called a "significant legal victory" by rival Advanced Micro Devices Inc., which has sued Intel over antitrust allegations. In a letter to Judge Joseph Farnan in the U.S. Federal District Court in Delaware, Santa Clara-based Intel (NASDAQ:INTC - News) said it plans no objections to the order. In September, a federal judge ruled that if Sunnyvale-based computer chip maker AMD (NYSE:AMD - News) wins the antitrust case filed in the U.S., it cannot receive damages for Intel's alleged monopolistic practices overseas. In June 2005 AMD launched the antitrust action against Intel, alleging its business was hurt by Intel's practice of offering rebates, discounts and other incentives to persuade PC makers to use chips from Intel instead of AMD. AMD said Intel has a monopoly that lets it charge higher prices. Intel, in turn, claimed that AMD had a reputation as unreliable supplier and didn't invest enough in its business.
Published December 28, 2006 by the Silicon Valley/San Jose Business Journal

Labels: AMD, INTC, Intel Corp.