Advanced Micro Devices - Moderated (AMD) Message Board

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Technology Stocks : Advanced Micro Devices - Moderated (AMD)

AMD 231.83

+1.7%

Jan 16 9:30 AM EST

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To: Sarmad Y. Hermiz who wrote (247723)	2/13/2008 4:32:19 PM
From: Petz	Read Replies (1) of 275872

re: Would a European court see a difference between that construction, and this: Intel will re-imburse Media Mart for cost of advertising PC's, provided that Media Mart uses those funds only for advertising Intel PC's ? I have to disagree with my two other "AMD defenders" here and say that if Media Mart got significantly more funds from Intel for this purpose than other retailers, the marketing funds would be illegal even if the above statement were true. It would certainly be illegal if an email stated, "We'll pay X% of your marketing budget for Intel PC's if you don't sell any [or advertise any] AMD PC's, and Y% (of the same) if you do, where X>Y." But I doubt Intel is that stupid. Nevertheless, if the Intel-only retailers get more as a group than the mixed retailers, it's probably sufficient evidence to claim that they are "loyalty rebates intended to maintain a dominant market position," even if there's no evidence linking the higher rates to "loyalty." Petz

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