By | John Oates 7th February 2005 10:33

Intel Japan faces anti-trust action

Regulators not happy

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Intel is facing warnings from regulators in Japan concerned about its business practices.

According to reports the Japanese Fair Trade Commission is to warn the chip giant that its aggressive business practices are in breach of anti-trust laws. The FTC believes Intel offered computer makers discounts to reduce their use of processors from rival chipmakers like AMD.

Daily paper Asahi Shimbun said: "Intel Japan KK is suspected of giving rebates to buyers of its central processing units (CPU) on condition that the manufacturers refrain from purchasing products of Intel rivals." The FTC believes this action intended to shut out rival manufacturers and was therefore anti-competitive.

Intel refused to comment on the allegations. The Japanese FTC made similar comments about Microsoft last year.

European regulators reopened their investigation into Intel last June after complaints from arch-rival AMD. They are looking at Intel's rebates and marketing funds.

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