Abuse of market power: EU imposes a fine of 376 million euros on Intel.

Intel-Zentrale in Santa Clara: Zehnjähriger Rechtsstreit

Intel-Zentrale in Santa Clara: Zehnjähriger Rechtsstreit

Foto: Andrej Sokolow / dpa

The European competition authorities have imposed a fine of approximately 376 million euros on semiconductor manufacturer Intel. The US company has abused its dominant position in the microchip market, stated the EU Commission in Brussels on Friday. Initially, the Brussels authority had demanded over one billion euros. However, Intel filed a lawsuit and after more than a decade-long legal dispute, achieved a reduced penalty.

In this case, it concerns loyalty discounts granted by Intel to computer manufacturers who primarily purchased their processors from the US manufacturer rather than from competitors. According to the EU Commission, Intel abused its dominant position in the market for x86 processors between 2002 and 2007.

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The original penalty of 1.06 billion euros was imposed by the Brussels authority in 2009. Intel appealed to the European Court (EC) in Luxembourg, but the EU Commission was ultimately supported by the court. Following a successful revision by the company at the European Court of Justice (ECJ), the European Court partially overturned its verdict in early 2022. It was stated as the reasoning that it had not been proven that the disputed discounts were anti-competitive.