amd stocks

[mr.monger]

i was thinking of buying amd stocks because of the lawsuit. isnt anyone else thinking about doing this? seems like a good idea since intel is gonna suffer quite a bit from it.

 

[mayorredbeard]

you have to consider the expense of the lawsuit. what if amd loses? what with the cost of the investigators their hiring, the research their doing into the repercussions of intels actions and wetehr or not they can be justified, is all very expensive. if they lose it could really piss on the value of their stock. not to mention they havent released any information regarding any real evidence they have against intel. If you remove yourself emotionally from the situation, and unbiasedly look at it, AMD's chances of winning are slim. I know a lot of people on here are biased towards AMD, and think they would not make this acquisation unless they have evidence, but you have to ignore that and look at it from a purly economic standpoint it does not look too good for AMD, unless they go into more detail of exactly what they are chargin INTEL with, and what they have to support that with. It could just be an attack on INTEL as a publicity stunt, so people will always question INTELs integrity, and maybe stop buying them. plus the lawsuit will not take place untill late next year, amd's sales might drop within that time.

And the effect it would have on AMD's stock may not be as much as you would think. The court ruling would have to award AMD quite a big sum of money to have the effect that your looking to see. Either that, or INTEL would have to get as huge fine, or certain business limitations, or shutdown.

 

[killzoneman0]

what is this lawsuit, i didnt hear about it?

 

[mayorredbeard]

AMD, which announced the suit on Tuesday, offered a long list of examples in which it says Intel has used its position, including its ability to offer product rebates or to dole out funds, to influence PC makers to limit their purchases of AMD chips.

The suit, filed Monday afternoon in Delaware, claims that Intel has violated the Sherman Antitrust Act, the Clayton Act and the California Business and Professional Code by influencing the product plans of computer makers and therefore limiting consumers' ability to choose between different types of products, AMD said in a statement. "

Thats it in a nutshell, but if youd like i could go on for an hour explaining the details. AMD was sued by a subdivision of Acacia over something to do with memory cache, but that was resolved. The one regarding INTEL and AMD mainly has to do with anti-trust laws.

 

[jac006]

It'll be an interesting battle..... but I predict that amd might win. INtel might have a chance though, just because they're a big company and all....

 

[mayorredbeard]

Something to consider about INTEL

Intel recently lost a lawsuit regarding AMD chips in a ruling by the Japanese Fair Trade comission saying that INTEL used illegal monopolizing tactics to limit the amount of AMD chips that could be sold in Japan.

Also, after further investigation by AMD, they found out that INTEL had not given Hewlett Packard their rebate check. HP suffered and INTEL was all like psh, if you give us like %90 of your retail business, we'll give you the money. That is in direct violation of the sherman anti-trust act.

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And another quote

AMD also said Intel used its position to handicap AMD systems on a technical level. Intel denied AMD access to the highest level of membership for the Advanced DRAM technology consortium and designed its compilers, which translate software programs into machine-readable language, to degrade a program's performance if operated on a computer with an AMD chip, the suit charges.

Thats very illegal.

Basically whats going on is back in the days when the Oil industry in America was owned by one guy in all aspects, including drilling, transportation, and marketing and stuff of all the oil, congress passed the sherman anti-trust act, so that companies could not own all aspects of an industry. Well actually, having a monopoly and owning all aspects of an industry is legal, however using your position of power to bully others from possibly competing, such as threatening to take awya rebate checks from companies if they dont use pretty much all their chips.