SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Technology Stocks : Advanced Micro Devices - Moderated (AMD)
AMD 214.18-0.5%Dec 31 3:59 PM EST
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: Windsock who wrote (259405)4/4/2009 12:31:37 AM
From: fastpathguruRead Replies (2) of 275872
 
Antitrust law is designed to protect and benefit consumers not to protect a competitor.

Yeah, just like I said.

Intel's price discounts are procompetitive and benefit the consumer. AMD never explains how the consumer is harmed by lower prices but instead complains that it is harder for AMD to win business deals.

Yes they do. The describe an alleged system of loyalty rebates tailored to the demand of each OEM that take advantage of AMD's lesser production capacity, using the uncontested portion of a customer's demand to subsidize below-cost pricing for the portion that AMD competes for.

AMD's solution is to require Intel to raise prices so it is easier for AMD to sell its inferior products -- definitely not a step that "is designed to protect the process of competition". Higher prices would only protect AMD -- a bumbling and ineffective competitor.

No it isn't. AMD's solution would be to replace Intel's coercive tailored loyalty rebates with a standard rebate schedule based on justifiable volume efficiencies.

The consumer injury requirement can be understood as an element to be proved before liability can be found under the antitrust laws

Interference with AMD's access to a free market, based on the abuse of Intel's dominant supplier status through coercive loyalty rebates, rather than the merits of their products (i.e. perverting the process of competition) is inherently injurious to consumer welfare, as consumers are optimally served by an uncorrupted free market. Practically, the injury manifests as reduced consumer choice, and (when you crunch the numbers of coercive loyalty rebates) higher prices.

fpg
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  

HomeMailHotSubjectMarksPeopleMarksKeepersSettings
Terms Of UseContact UsCopyright/IP PolicyPrivacy PolicyAbout UsFAQAdvertise on SI
© 2026 Knight Sac Media.  Data provided by Twelve Data, Alpha Vantage, and CityFALCON News