# Intel vs. AMD: A monopoly? Worth busting? **URL:** \ **Category:** Great Debates\ **Created:** [July 12, 2005, 8:11pm UTC](https://boards.straightdope.com/t/intel-vs-amd-a-monopoly-worth-busting/312230 "2005-07-12T20:11:59Z")\ **Posts on this page:** 5\ **Page:** 2
**Author:** ![Rayne\_Man](https://avatars.discourse-cdn.com/v4/letter/r/df705f/32.png) [@Rayne\_Man](https://boards.straightdope.com/u/Rayne_Man)\ **Post date:** [July 13, 2005, 4:14pm UTC](https://boards.straightdope.com/t/intel-vs-amd-a-monopoly-worth-busting/312230/21 "2005-07-13T16:14:03Z")
The EU is investigating alleged monopolistic practices by Intel. If the case is proven Intel can be fined huge amounts. Just ask VW , they were fined €60,000,000 a couple of years ago for price fixing. The EU are also investigating Microsoft for similar practices. Intel news stories here :- [FT](http://news.ft.com/cms/s/1a8d8c5e-f33a-11d9-843f-00000e2511c8.html) [BBC](http://news.bbc.co.uk/1/hi/business/1264388.stm) ---
**Author:** ![John\_Mace](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/john_mace/32/185_2.png) [@John\_Mace](https://boards.straightdope.com/u/John_Mace)\ **Post date:** [July 13, 2005, 4:22pm UTC](https://boards.straightdope.com/t/intel-vs-amd-a-monopoly-worth-busting/312230/22 "2005-07-13T16:22:58Z")
> [@Rayne Man](#): > > Just ask VW , they were fined €60,000,000 a couple of years ago for price fixing. Not to minimize things, but 60M is a rounding error on INTC’s or MSFT’s balance sheet. 🙂 ---
**Author:** ![Rayne\_Man](https://avatars.discourse-cdn.com/v4/letter/r/df705f/32.png) [@Rayne\_Man](https://boards.straightdope.com/u/Rayne_Man)\ **Post date:** [July 13, 2005, 4:25pm UTC](https://boards.straightdope.com/t/intel-vs-amd-a-monopoly-worth-busting/312230/23 "2005-07-13T16:25:54Z")
> [@John Mace](#): > > Not to minimize things, but 60M is a rounding error on INTC’s or MSFT’s balance sheet. 🙂 It would be much more than that. The EU can impose a fine equal to 10% of a company’s annual turnover. ---
**Author:** ![Jurph](https://avatars.discourse-cdn.com/v4/letter/j/50afbb/32.png) [@Jurph](https://boards.straightdope.com/u/Jurph)\ **Post date:** [July 13, 2005, 6:58pm UTC](https://boards.straightdope.com/t/intel-vs-amd-a-monopoly-worth-busting/312230/24 "2005-07-13T18:58:31Z")
My problem with fines is that they are a one-time, static, “cost of doing business” type penalty. $60M (or €60M) is only about 10% of the cost of a new chip fab, which means that AMD would not even be able to add significant infrastructure, nor be able to buy loyalty from even one retailer. $60M will buy one large ad campaign, but it won’t make Intel stop playing dirty. How can the government really ensure Intel’s good behavior? ---
**Author:** ![Rayne\_Man](https://avatars.discourse-cdn.com/v4/letter/r/df705f/32.png) [@Rayne\_Man](https://boards.straightdope.com/u/Rayne_Man)\ **Post date:** [July 13, 2005, 7:44pm UTC](https://boards.straightdope.com/t/intel-vs-amd-a-monopoly-worth-busting/312230/25 "2005-07-13T19:44:47Z")
It may not be just a one-off fine. For instance the EU have just fined France for disregarding the policy of not catching immature fish. This fine comes with a warning that if they don’t comply and come in line, then there will be extra , very large fines, until the France complies with the directive. To quote a news report:- _13 July, 2005 - THE European Court of Justice has fined France €20 million for allowing fishermen to catch and sell fish that are smaller than what is allowed under EU regulations, eu [observer.com](http://observer.com) reported. In addition to the heavy fine, France must pay €57.8 million every six months until it complies with Brussels’ rules, the Luxembourg court ruled yesterday. This is a record sized fine in comparison with earlier rulings. It is also the first time the Court has ordered a member state to pay both a periodic penalty payment and a lump sum fine. The European Commission said after Tuesday’s ruling that the record high fine of €20 million for a member state should serve as a warning to other countries._ So , you see the EU will not be fobbed off with someone just paying a one-off fine and writing it off to business expenses. [Previous page](https://boards.straightdope.com/t/intel-vs-amd-a-monopoly-worth-busting/312230.md?page=1)