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July 13th, 2005, 13:27 GMT

Intel Activities Investigated by EU

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Following Japan' example which called on the company to stop forcing computer manufacturers to limit the use of competitors' processors in exchange for rebates, the European Commission and local authorities raided US computer chip maker Intel, computer makers and distributors as part of the investigation into possible antitrust violation.

"(EU) competition officials, accompanied by officials from
national competition authorities, are conducting inspections of several premises of Intel Corp in Europe as well as a number of IT firms manufacturing or selling computers," Commission spokesman Jonathan Todd said.

According to Reuters, Intel confirmed the raids and said that it was cooperating fully with the Commission.

"As is our normal practice, we are fully cooperating with authorities from the EU. Beyond that, we can't comment on the specifics of the searches but we believe our business practices are both fair and lawful," spokesman Chuck Malloy said at the company's California headquarters.

Sources familiar with the situation said that the raids included Intel's installations in Swindon, England, and in Munich.

Despite the actions taken by Japan and the EU, US authorities have expressed little interest in becoming involved.
Anti-trust authorities in the United States have said that abuse of dominance or monopolisation cases are their lowest priority, after cartels and mergers.

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