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Posted: 05-Nov-2009
computers were “sticking” to IntelIntel
chips, slower than their competitors from Advanced Micro DevicesAdvanced Micro Devices
(AMDAMD
). Although DellDell
was losing customers, IntelIntel
had paid DellDell
over $1 billion in the previous year – which was “more than sufficient to compensate for the competitive issues”.Rebates and co marketing arrangements are nothing new in the world of computers and the manufacturers of component parts
IntelIntel
has spent the last 5 years battling antitrust allegations in Europe and Asia, and the latest filing comes from the New York Attorney General.
IntelIntel
have been accused of bribery and coercion and punishment tactics to maintain their monopoly.
Closer to home, shareholders of the worlds 3rd biggest maker of semiconductor chips – Chartered Semiconductor Manufacturing from Singapore, have now agreed to Abu Dhabi Advanced Technology Investment Company (ATIC) buying the company for $1.8 billion.
Earlier this year, ATIC collaborated with AMDAMD
to create a joint venture, GlobalFoundries, and as we speak they are currently in the middle of constructing the largest semiconductor foundry in the US, in, yes you guessed it - New York
This of course will allow AMDAMD
to battle IntelIntel
on an equal footing, since the latter works with the second largest maker of semiconductors – Taiwan Semiconductor Manufacturing Company.
If AMDAMD
and IntelIntel
are two fighting kids in the playground, AMDAMD
clearly can call on its “big brother” Abu Dhabi to come and help.
However, all is not well in the AMDAMD
household. Former CEO of AMDAMD
, Hector Ruiz, moved to be Chairman of its spinoff, GlobalFoundries. But reports of insider trading in which Ruiz and others were implicated sent AMDAMD
stock down by 6% and could ultimately cost larger losses in confidence.
Could this be IntelIntel
calling on “Big Sister”?
Let’s wait and see.

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