In a speech made today at AMD headquarters, Austin
Translation workers stated AMD and rival Intel have agreed to settle their
ongoing lawsuit. Under the terms of the
agreement, Intel will pay AMD $1.25 billion to settle antitrust claims made in
2005. In the suit, AMD alleged that
Intel used its market power along with rebates and incentives to keep AMD out
of the Original Equipment Manufacturer (OEM) market.
While Intel maintains it did no wrong, it has publically stated that settling this lawsuit is in the best interest of the company. The payout by Intel follows a record $1.45 billion fine imposed by the European Union for violating European antitrust laws and another antitrust action filed by the New York Attorney General.