Intel Refutes AMD Claims

Intel(INTC) formally responded to Advanced Micro Devices'(AMD) antitrust complaints by refuting them in a 63-page document filed Thursday in a federal district court.

"Every failure and setback for which AMD today seeks to blame Intel is a direct result of AMD's own actions or inactions," Intel said in its filing with the U.S. District Court in Delaware.

Sunnyvale, Calif.-based AMD had sued its larger rival in June, alleging global coercion of 38 large-scale computer makers, small-system builders, wholesale distributors and retailers across three continents.

AMD said that Santa Clara, Calif.-based Intel illegally inflated computer prices and limited choices for businesses and consumers, adding that Intel has an illegal monopoly because of its actions. AMD also sued Intel in Japan. Meanwhile, Korea's trade commission is also examining Intel's business practices.

"Innovation, investment, customer focus and great products have led to Intel's success over the years," said Intel general counsel Bruce Sewell, according to Thursday's statement.

After the initial lawsuits were filed, Intel CEO Paul Otellini denied the charges in a statement and said Intel has faced similar challenges before only to see them resolved favorably. Thursday's filing marked Intel's official legal response.

AMD's previous antitrust challenges were raised again Thursday. "Many of AMD's [current] charges were actually the subject of a 1995 agreement which settled all disputes between the parties to that point," Intel said in a statement.

Later Thursday, AMD responded in its own press release to Intel's court filing:

"Intel's response is not surprising considering what they are trying to hide, but the facts of illegal monopoly abuse are clear and undeniable," said Thomas M. McCoy, AMD executive vice president, legal affairs and chief administrative officer. "Intel's anticompetitive business practices are under intense scrutiny by governments around the world. The Fair Trade Commission of Japan found Intel guilty of antitrust violations that harmed consumers based on direct evidence, and still Intel refuses to acknowledge wrongdoing. Intel's illicit conduct forces customers and consumers to pay artificially higher prices and limits their ability to choose the best products available."

Intel shares closed Thursday down 1.8% to $25.26, and AMD ended the session up 0.5% to $20.88.

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