A top European Union court on Tuesday turned down a request by Intel, the world's largest chip maker to allow it more time to prepare for defense against allegations of malpractices.
The case relates to investigations into Intel's business practices by European Commission regulators on rival Advanced Micro Devices' (AMD) complaint of Intel abusing its dominant position in computer chips. AMD has alleged that Intel offers large rebates to computer makers in addition to paying them to delay or cancel product lines and offering chips at prices below actual cost, for powerful server computers.
Intel has denied the charges and in its submission before the European Court of First Instance, and claimed that the investigation was being mishandled. It also said it needed more time for preparing its defense.
Intel's claim was rejected yesterday by Marc Jaeger, the president of the court who said that Intel had not been prevented in any way from preparing its defense in good time.
Intel spokesman Robert Manneta said the company was disappointed with the ruling adding that the company is concerned over the lack of certain documents that would help them conduct an effective defense.
The ruling clears the way for the investigation to resume immediately prior to a final decision by regulators on whether Intel resorted to illegal marketing practices against its main competitor AMD.
The case against Intel had earlier received a boost with Neelie Kroes, EU competition commissioner alleging that the company used rebates to influence a retailer sell only Intel-based personal computers. The company was also allegedly involved in illegal deals with PC manufacturers according to the commissioner.
Though Intel has failed to meet the deadline for responding to the commission's new charges, many lawyers believe that the commission will still allow the company to submit a defence.
Intel the world leader in silicon innovation, develops technologies, products and initiatives to continually advance how people work and live. Its major rival Advanced Micro Devices is an innovative technology company dedicated to collaborating with customers and partners to ignite the next generation of computing and graphics solutions at work, home and play.