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Technology Stocks : Intel Corporation (INTC) -- Ignore unavailable to you. Want to Upgrade?

To: wanna_bmw who wrote (164352)	4/20/2002 6:43:34 AM
From: wanna_bmw	Respond to of 186894

This was Jerry's previous tirade over Intel. It establishes what he considers to be an abuse of a monopoly status. I may be wrong, but I hardly consider "development funds", "rebates", and "advertising gifts" to be abusive monopolistic practices, or for that matter, anything outside of a common practice within many corporations in this world. Helping your partners to get a product to market, giving high volume discounts, and aiding with advertising expenses when your product is being co-featured with a customer's are all good things for the industry. "Withholding need parts" to "disloyal" customers does seem monopolistic to me, to be fair, but how does that compare to the example in my previous response? These are examples of Jerry calling Intel an abusive monopoly, but Microsoft can bundle financial software in their operating system to kill off a competitor in that market, and by Jerry's same logic, it will "enhance interoperability" and help the consumer? Ridiculous! 1 Q. Now, turning back briefly to your call with Mr. Gates on 2 February 8th in which he asked you to testify. You told him, 3 did you not, some of the conduct that Intel uses to limit 4 competing with AMD on the merits of the products; correct? 5 A. Yeah, I think I did. 6 Q. Do you recall telling Mr. Gates, Intel can give lavish 7 market development funds, rebates and other financial 8 incentives to your customers to keep them loyal Intel 9 customers? 10 A. Yes. I think I put quotes around loyal, at least in my 11 mind, if not in my testimony. 12 Q. And you also said they can enter into coops and give 13 advertising gifts and make similar deals with your customers; 14 correct? 15 A. Yes. 16 Q. And that they withhold needed parts and other important 17 necessities from those they perceive to be disloyal Intel 18 customers; correct? 19 A. Yes. 20 Q. And that's how you feel Intel tries to avoid competing with 21 you on the merits; correct? 22 A. It's one of the ways they do. 23 Q. And you believe that's ultimately bad for consumers; 24 correct? 25 A. It's definitely bad for me. I believe it's bad for 1 consumers, too. 2 Q. And it's bad whether or not the monopolist doing that 3 happens to be named Intel; correct? 4 A. Yes. wbmw