AMD v. Intel: More companies subpoenaed

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That is a very tough one to deal with...

I suppose it's the same question again, "When does a common business practice become anti-competitive"?

Discounting for exclusive contracts and advertising support have been around since there was a buyer and a seller and is nothing new. The issue is, when is that anti-competitive? Is it when you have 10%, 30%, 50%, 80% of the market share? Who decides this imaginary line? How does a company know it is approaching the imaginary line so they can avoid it?

Should OEMs be kept from telling users what hardware is in the machine? If not how are they to do it? Is advertising then a bad thing?

"If the documents indeed contain such wording, then it could support AMD's claim. AMD is claiming that Intel is exerting influence to raise obstacles to competition"

Hmmm, isn't that the very nature of competition? I mean doesn't a football team want a defensive line to create a barrier to the other team? We could have football with no defencive barrier but it should be boring just watching the offence run down the field.

The other HUGE issue is that AMD could offer the same thing to the OEMs, and yes even advertise as Intel does in the market place. But the truth of the matter is they cut their profit margin so close they don't have the finances to do it. Is that Intel's fault?

To me it seems like to opposing paradigms where one company said, keep the costs a bit higher to pay for advertising and the other said keep costs low and we won't need to advertise. The result is that advertising seems to have won the day and the losing paradigm is upset.

Posted by: No_Ax_to_Grind   Posted on: 10/07/05 You are currently: a Guest | Members login | Terms of Use

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