Thursday, September 28, 2006

Part of AMD's suit against Intel dismissed

A federal judge this week dismissed an important part of Advanced Micro Device's antitrust lawsuit against Intel. AMD has sued Intel for, among other things, using rebates to coerce customers into buying exclusively from Intel. Similar charges have been brought against Intel in other countries, including Japan, Korea, and the EU. AMD wished to use foreign activities as part of their case in the US, but the judge ruled against them.
Farnan [concluded] that he lacked jurisdiction over AMD's claims based on conduct and harm that took place outside the United States.

"AMD has not demonstrated that the alleged foreign conduct of Intel has direct, substantial and foreseeable effects in the United States which gives rise to its claim," Farnan wrote in an 18-page opinion.

At best, he said AMD's allegations described activity that might have had "ripple effects" in the United States, but not enough to give rise to an antitrust claim.

The case will go to trial in 2009. No kidding -- 2009.

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