The Court of Justice of the European Union (CJEU) recently ruled in favor of Intel, nullifying a €1.06 billion fine imposed by the European Commission. This fine, initially levied nearly 15 years ago, was based on accusations that the U.S. tech giant had abused its dominant market position by granting exclusive rebates to computer manufacturers, thus stifling competition from Advanced Micro Devices (AMD).
The European Commission had originally imposed the fine on Intel in 2009, claiming that the company violated EU competition laws between 2002 and 2007. The Commission contended that Intel used its sway in the x86 processor market by offering rebates specifically to firms like Dell and HP, an act viewed as contravening Article 102 of the Treaty on the Functioning of the European Union. This article prohibits the abuses stemming from dominant market positions.
Though the General Court backed the European Commission’s decision in 2014, Intel appealed to the CJEU. A prior CJEU judgment had already overturned the General Court’s ruling, leading to another examination where the General Court significantly overturned the original decision, ultimately rescinding the penalty against Intel. In turn, the Commission challenged this 2022 ruling by the General Court, arguing that various procedural and legal missteps were involved, especially in regard to the as-efficient-competitor test used to analyze the competitiveness of a firm’s actions.
The CJEU subsequently dismissed all of the Commission’s appeals, affirming that the General Court possesses the proper oversight over the Commission’s assessments. The Court reaffirmed that the General Court should diligently appraise any arguments undermining these determinations. Moreover, the CJEU highlighted that the General Court cannot substantiate the Commission’s ruling on arguments not originally put forward in the decision itself.