AMD should drop the suit in the EU.
The settlement states that AMD is withdrawing complaints internationally.
That doesn't mean that the EC's (or NYAG's or the FTC's investigation) suit will automatically end; that's up to them... But it would be a purely punitive effort now, given that Intel has promised to abide by some defined set of business practices.
As far as the settlement itself, I can't decide whether I'm surprised or not... Regardless, both companies apparently reached a position that satisfied each.
Question #1 for me is: What are the restrictions, if any, on AMD outsourcing production? I would imagine new terms have been struck. Flexibility for AMD here would be worth almost anything... The entire antitrust episode boiled down to AMD being hamstrung by capacity constraints, and Intel allegedly trying to keep it that way.
It's too bad so many questions will be left unresolved. :) In light of that, I extend an offer to cease-fire...
fpg