2. Intel’s “Rebates” And Other Way Its “Helped” Customer
On nov 12 Intel corp. gave to AMD (Advance Micro
Device) $1.25 billion to settle lawsuit.
AMD’s lawsuit Intel using his monopoly power
unfairly.
70% market of the Intel world largest manufacturer
micro processer.
20% market of the AMD 2nd largest market.
3. Intel’s “Rebates” And Other Way Its “Helped” Customer
It is the difficult to other companies to get market share.
Because of Intel & AMD hold patents.
On one have huge investment in billions.
Both have more experience corp.
Micro processer cost will be high new company cant
afford it.
4. Intel’s “Rebates” And Other Way Its “Helped” Customer
AMD was not only who accused Intel to use monopoly
power unfairly.
May 2009 European commission said Intel unfairly
block AMD.
November 2009 new York's attorney general sued on
Intel.
June 2008 japans fair trade commission intel violate the
antitrust law.
5. Intel’s “Rebates” And Other Way Its “Helped” Customer
FTC said Intel paid to companies buy Intel micro
processer.
Late 1990s Intel invest hundred of million.
To developing new type of micro processer would not
use “x86 technology”.
All device have must some instructions that run the
program like word processing, games etc.
6. Intel’s “Rebates” And Other Way Its “Helped” Customer
But there is some blunder in New “X86 technology”.
It couldn’t run old “x86” data on new technology of
“X86”.
AMD take advantage for Intel this mistake.
They make same technology and avoided that blunder.
So it was more faster & powerful then Intel & take over
the market.
7. Intel’s “Rebates” And Other Way Its “Helped” Customer
Intel gave name to is processer “Itanium”.
It was more faster and powerful for old technology but
with mistake.
All software deign for old & current technology.
That not work on new “Itanium” unless first run
“emulation” program.
But it slow down the programs.
8. Intel’s “Rebates” And Other Way Its “Helped” Customer
AMD also develop New processer During 1990s
AMD decide in its new processer “X86” use for all
old soft wear without “emulation”.
AMD called new processer “Athlon”.
That work in new “X86” faster and better then
“Itanium” also less price & consume less power.
9. Intel’s “Rebates” And Other Way Its “Helped” Customer
When both market their new processer in 1999.
Computer manufactures check out & understand
that AMD better then Intel.
They Buy AMD new technology Processer.
AMD market share grew up from 9% to 25%.
Intel market share fall 90% to 74%.
10. Intel’s “Rebates” And Other Way Its “Helped” Customer
After the 2003 manufactures refused to buy AMD
processer.
In 2002 Sony use AMD 23%
NEC 84%.
Toshiba 15%
In 2004 AMD share fall down in japans processer
market form 25% to 9%
11. Intel’s “Rebates” And Other Way Its “Helped” Customer
TOM McCoy vice president claim that Intel use his
monopoly unfairly.
McCoy claim that Intel paid to NEC,SONY,TOSHIBA
million dollar in “Rebates”.
But McCoy claim that Its not really “Rebates”.
Rebates is payment based on the number of product
customer buy and give discount but after the customer
buy products.
12. Intel’s “Rebates” And Other Way Its “Helped” Customer
Intel handover these payment to companies when
they stopped to buy AMD processer.
Intel also give the threat to companies we will stop
all kind of processer supply.
AMD couldn’t provide all kind of Processer.
13. Intel’s “Rebates” And Other Way Its “Helped” Customer
AMD convinced foreign goverments to investigate
this case including.
European union.
South Korea.
Japans
In 2009 US FTC (Fair Trade Commission) said that
Intel use Unfairly monopoly power.
14. Intel’s “Rebates” And Other Way Its “Helped” Customer
FTC investigate and found that some programs run slow
down in AMD Processer.
Intel changed programs and sold to companies without
tolled to AMD.
FTC said that in 2003 Intel change the compiler so which
compile the Intel processer.
So programs smoothly work in Intel but don’t work with
AMD.
15. Intel’s “Rebates” And Other Way Its “Helped” Customer
So customer don't have idea about it.
They blame to the AMD.
Don’t willing to buy Computer with AMD processer.
FTC also Claim that Intel Made software “libraries”.
In this they change the codes so software don’t work
smoothly in AMD
16. Intel’s “Rebates” And Other Way Its “Helped” Customer
FTC also said that Intel Paid to companies to Boycott to
the AMD processer.
Dell inc is the good example of “Rebates”
Dell stopped in 2001 use AMD processer.
Dell not use AMD processer in Any computer
Intel give threat to dell if dell join AMD we will give
ZERO payment.
17. Intel’s “Rebates” And Other Way Its “Helped” Customer
Dell complain that refusal of AMD processer was
hurting its sales.
Intel give in 2004 $300 million.
Dell continued lose market share.
Dell CEO said to Intel Dell is losing High Margin
business because of AMD.
18. Intel’s “Rebates” And Other Way Its “Helped” Customer
In 2006 dell broke the agreement to Intel not using
the AMD based computer
That year they introduce Alien ware high gaming
computer based on AMD processer.
Dell decide to introduce to new line of computer
based on AMD processer.
19. Intel’s “Rebates” And Other Way Its “Helped” Customer
When Intel knew about the agreement between Dell &
AMD.
They reduce the discount & Rebate.
That effect on Dell net income it fall down billions in
2006 & 2007.
Intel also forcing to another companies Like: Hp, Sony,
IBM to refuse AMD processer
But they refused completely boycotted of AMD
20. Intel’s “Rebates” And Other Way Its “Helped” Customer
Hp used 5% AMD in his computer.
IBM only use AMD Processer its high performance.
Aug 2010 FTC lawsuit announced that Intel cant take
advantage of his Monopoly.
Also cant use his compliers & his personal libraries of
software code.
Some people said that those restriction cant take the
leading place for Intel.
21. Intel’s “Rebates” And Other Way Its “Helped” Customer
2006 AMD market share was 48%
Intel market share fallen 51%.
In 2011 Intel Share was 71%
AMD was 25%.