Intel has been fined a staggering £900million for a marketing ploy that locked out rivals and effectively put up the cost of home computers.
The U.S. computer chip firm was found to have offered payments to manufacturers and retailers to ensure they sold only computers equipped with its processors.
Intel gave rebates to a number of computer makers, including Acer, Dell and HP, for buying their chips.
It also paid them to stop or delay the launch of computers that used processors made by U.S. rival AMD.
The move also resulted in the public paying too much for computers, where the chip accounts for 15-30 per cent of the price.
The fine is a record for the EU's Competition Commission, dwarfing the £330million levied on Microsoft in 2004 for abusing its dominant market position.
It was based on the value of Intel's European chip sales during the period of five years and three months that it broke the law.
Competition Commissioner Neelie Kroes said: 'Intel has harmed millions of European consumers by deliberately acting to keep competitors out of the market for computer chips for many years.'
'Such a serious and sustained violation of the EU's antitrust rules cannot be tolerated.'
EU regulators said they calculated Intel's fine on the value of its European chip sales over the five years and three months that it broke the law.
The U.S. computer chip firm was found to have offered payments to manufacturers and retailers to ensure they sold only computers equipped with its processors.
Intel gave rebates to a number of computer makers, including Acer, Dell and HP, for buying their chips.
It also paid them to stop or delay the launch of computers that used processors made by U.S. rival AMD.
The move also resulted in the public paying too much for computers, where the chip accounts for 15-30 per cent of the price.
The fine is a record for the EU's Competition Commission, dwarfing the £330million levied on Microsoft in 2004 for abusing its dominant market position.
It was based on the value of Intel's European chip sales during the period of five years and three months that it broke the law.
Competition Commissioner Neelie Kroes said: 'Intel has harmed millions of European consumers by deliberately acting to keep competitors out of the market for computer chips for many years.'
'Such a serious and sustained violation of the EU's antitrust rules cannot be tolerated.'
EU regulators said they calculated Intel's fine on the value of its European chip sales over the five years and three months that it broke the law.
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