Intel Appeals $1.45 Billion EU Antitrust Fine

Intel has appealed a $1.45 billion fine levied in May by the European Union for antitrust violations and a spokesperson for the company confirmed Wednesday that Intel will allege human rights abuses as part of its argument against the European Commission's (EC) handling of its case.

"There is a growing dialog among European Union lawyers and legal scholars on the increasing size of these fines in Europe and concerns about Article 6 of the EU treaty," said Chuck Mulloy, a spokesman for Santa Clara, Calif.-based Intel, referring to EU member states' commitment to the European Convention for the Protection of Human Rights, which includes guidance for due process in legal proceedings.

The EC, following an eight-year investigation, ruled May 13 that Intel gave secret rebates to computer manufacturers on the condition that they severely limit or completely exclude rival chip maker Advanced Micro Devices' x86 microprocessors in their products.

Intel claims that the EC "refused to look at some of the evidence and in some cases refused to get some other evidence that was available" in the investigation of the chip maker, Mulloy said. But the spokesman could not elaborate on how exactly the appeal to Article 6 was made by Intel, because the court filings are under seal.

Mulloy emphasized that while the "human rights" angle is getting a bit of media attention, it is just one of several arguments Intel is making in its appeal.

"That is not the only path of appeal that we have. As we said in May, we believe that the decision is wrong and wrong on multiple levels," he said. The spokesman said Intel "would probably fire our lawyers" if the appeal team did not pursue all possible avenues in its defense of the company.

The EU fine was levied in Intel's fiscal second quarter of 2009, essentially assuring the world's leading maker of microprocessors of its first quarterly financial loss in 22 years.