NY Attorney General Probing Intel
Updated: N.Y. Attorney General Andrew Cuomo is looking to see whether Intel abused its market position and intimidated customers into buying its chips rather than
New York Attorney General Andrew Cuomo has opened an investigation into Intel's business practices and is trying to determine whether the chip maker abused its market position by forcing customers to buy its microprocessors instead of those made by Advanced Micro Devices.
The law enforcement agency announced Jan. 10 that it had issued a subpoena to Intel that seeks a wide range of documents and other information concerning the
The attorney general is looking to determine whether Intel paid its customers to excessively use its processors, penalized some PC vendors for using other chips and illegally cut its competitors off from distribution channels.
"Protecting fair and open competition in the microprocessor market is critical to
"Businesses and consumers everywhere should have the ability to easily choose the best products at the best price and only fair competition can guarantee it," Cuomo added. "Monopolistic practices are a serious concern particularly for New Yorkers who are navigating an information-intensive economy."
Chuck Mulloy, an Intel spokesman, told eWEEK that the company had received the subpoena from the N.Y. Attorney General's Office and would work to comply with the order. Mulloy added that Intel believes that the current processor market is fair to all companies involved.
"We believe that our practices are lawful and we also believe that the microprocessor market is competitive and is functioning as one should expect a competitive market to behave," Mulloy said.
Michael Silverman, an
The subpoena from the attorney general's office comes at a time when Intel is preparing to defend itself against similar charges in
Intel has maintained that its practices are fair and within the guidelines and laws set by the European Commission.
Intel is already involved in an ongoing lawsuit with
Mulloy added that the N.Y. Attorney General's case "mirrored" AMD's lawsuit.
"The press release has some of the same allegations that mirror a private case filed by AMD in U.S. District Court in Delaware, and we have denied the allegations in that case," Mulloy said.
In addition to the