Business Standard

Intel wins fight over $1.3-bn antitrust fine AT A GLANCE

EU top court rules Intel rebate claims need to be reviewed

- STEPHANIE BODONI BLOOMBERG

Intel won a boost in its eight-year fight with the European Union over a ^1.06-billion ($1.26 billion) fine in a case that could have ramificati­ons for a list of disputes involving US tech giants including Google and Apple. The EU’s top court ruled that Intel’s appeal had to be reexamined by a lower tribunal, criticisin­g judges for failing to properly analyse the economic aspects of the case in its 2014 decision to reject the chipmaker’s initial challenge.

The lower court “was required to examine all of Intel’s arguments” regarding a test to check whether the rebates used by the company was capable of harming competitio­n, the EU Court of Justice in Luxembourg said on Wednesday. The lower tribunal -the EU General Court -has to examine “whether the rebates at issue were capable of restrictin­g competitio­n.”

Intel is among the few companies to have continued a battle against a European Commission fine all the way to the top EU court. The Brussels-based antitrust regulator accused the company of using discounts to hurt Advanced Micro Devices, a decision backed by a lower EU court in 2014.

The commission hasn’t lost many antitrust cases over the last 20 years. Knowing that they face likely defeat, most companies being probed for monopoly abuse tend to cave in. They agree to a binding deal to change their behaviour, shutting down the EU investigat­ion early to avoid fines or to get a reduced penalty.

Qualcomm could be the most directly affected by the ruling. The EU is probing whether the company unfairly paid Apple to only use Qualcomm chipsets in its products. Google, under investigat­ion for inducing phone makers to use its Android software, will also | Intel is among fewfirms to have continued a battle against a European Commission fine all the way to the top EU court | The commission hasn’t lostmany

antitrust cases over the last 20 years | Qualcomm could be the most directly

affected company by the ruling be watching closely.

“This ruling introduces important clarificat­ions of the role of the General Court when assessing commission decisions,” said Agustin Reyna, senior legal officer at European consumer organisati­on BEUC.

 ??  ??

Newspapers in English

Newspapers from India