Replies to post #56006 on Advanced Micro Devices Inc (AMD)

[rlweitz]

For this reason alone, it'd be interesting to see Intel challenge this.

Intel could challenge the FTC warning, taking the case to the equivalent of legal proceedings. However, should it do that, Intel would likely be forced to divulge details of the discount systems it set up with each manufacturer.

[woggut]

more JFTC details on 'huge rebate system'

predatory pricing
An anti-competitive measure employed by a dominant company to protect market share from new or existing competitors. Predatory pricing involves temporarily pricing a product low enough to end a competitive threat.

http://www.advfn.com/money-words_term_3770_predatory_pricing.html

IIRC you have to show a company sells below average variable cost to prove predation. With high fixed fab, chip design & process R&D costs the variable cost is insignificant. IMHO the law doesn't adequately address the modern tech market. Under traditional accounting the variable cost of producing Microsoft Windows is probably 10 cents (how much does it cost to press a CD these days?).