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EU looks at Intel competition reply

Intel - Accused on AMD tactics
Intel - Accused on AMD tactics

EU competition regulators are 'carefully' studying Intel's response to their charges against the world's biggest computer chip maker, a European Commission spokeswoman has said.

Taking the first step in legal action that can lead to hefty  fines, the European Commission levelled formal charges against Intel in July on suspicion that it had abused its dominant market position.

The EU's top competition watchdog began investigating Intel  after receiving a complaint from the company's main rival, Advanced Micro Devices (AMD).

The Commission accused Intel in July of offering 'substantial' rebates to computer makers that mostly used its chips, making payments to clients to delay or cancel products using AMD's chips,  and selling its chips at below cost in some cases.