Intel Violated Antitrust Laws: Japan
Intel (INTC) - Get Report received a warning from Japanese antitrust regulators, who ruled that the world's largest chipmaker was curbing competition by pressuring clients to buy its chips.
The Associated Press reported Tuesday that Japan's Fair Trade Commission didn't impose any fines, but said Intel could ultimately be prosecuted if it doesn't change its business practices.
Intel, which was ordered to conduct periodic inspections and hold training sessions to alter its procedures, has 10 days to respond to the FTC.
The decision follows a raid in April 2004 of Intel's Japanese offices on suspicions the company was improperly urging Japanese personal computer makers not to use microprocessor chips manufactured by its U.S. rivals, including
Advanced Micro Devices
(INTC) - Get Report
and
Transmeta
(TMTA)
, the AP reported. The FTC said Intel had offered lower prices and marketing money to the major Japanese PC makers that use Intel's chips.
Intel made the deals on condition that the PC makers either exclusively use Intel chips or limit the use of rivals' chips to 10%, the FTC said.