|By Virtualization News||
|August 7, 2007 08:45 AM EDT||
After AMD's latest Intel-targeted broadside Thursday morning, Intel's corporate spokesman, the supremely tactful Chuck Mulloy, took off his pearl-gray diplomat's gloves and accused AMD of defamation.
He said that a lot of the brickbats that AMD has flung at Intel in the last two years rise to slander or libel but that Intel is hogtied and can't charge AMD with defamation because of the "anything goes" environment surrounding the antitrust suit AMD lodged against Intel in 2005.
"AMD is trying to damage Intel's reputation. It's determined that even if it loses the antitrust suit, in the end Intel will look like the bad guy to the consumer," he said.
What finally got Intel's goat was an "economic study" that AMD was trying to "peddle to the press," Mulloy said, that makes it look like AMD is laying its claims for damages way this side of a trial that isn't supposed to begin until April of 2009.
The study, done by the ERS Group, a litigation consultant retained by AMD's outside counsel O'Melveny & Myers, claims that Intel extracted "monopoly profits" from microprocessor sales in excess of $60 billion in the decade between 1996 and 2006.
AMD says that ERS and its head honcho Dr. Michael Williams, who's consulted with the Justice Department and Federal Trade Commission on such things as the proposed mergers of Exxon and Mobil and BP Amoco and ARCO, and on our old friends the FTC v Rambus and US v Oracle lawsuits, calculated Intel's economic return using public information and a methodology based on "Nobel Prize-winning research" by Merton Miller and Franco Modigliani that is used by half of the Fortune 1000 to analyze their own economic performance, Wall Street firms to assess potential investments and management consulting firm like McKinsey and Stern Stewart generally.
Mulloy called it, "Bull Shit," and asked if Intel should be penalized for being successful.
The ERS study claims to determine that consumers and OEMs could gain over $80 billion in the next 10 year - $20 billion for OEMs and $60 billion for consumers in the form of a 1.5% savings on a $1,000 computer - if the microprocessor market was "fully competitive."
It claimed that Intel's pro-competitive justification for its monopoly profits are "implausible" - in part because - according to relatively simple math - it's that "rarity of firms that achieved" - unlike Target, ExxonMobile or Pfizer - "a 16% or more economic return" and because it's - swear to God this is what it says - being sued by the European Commission.
AMD's press release says that only three other companies earned 16% of more, namely Microsoft, UTS and Coke, and that "each of these companies has been associated with antitrust determinations" so innuendo…innuendo…
Mulloy claimed that even the press that AMD tried to leak the story to Wednesday before putting out a press release Thursday morning threw the study back at AMD because some of the underlying numbers - on which its "wildly false and incorrect" conclusions were based - were flat out wrong.
He couldn't resist. "It just goes to show that if you pay someone enough, they will say almost anything."
He claimed that the study is part of a "political PR blitz" that AMD has mounted to capitalize on the European Commission's antitrust charges against Intel so it can run Intel's name into the ground.
It's only been a week since the EC charged Intel with antitrust violations because of its discounts and rebates and so far AMD - which has attempted to paint itself as utterly uninvolved even though the EC's statement of objections is a response to years of AMD's complaints - has- by Mulloy's count - put out three press releases, staged one press conference, racketed up its lobbyists in Washington, run full-page ads in the New York Times, Washington Post, Wall Street Journal, Austin American-Statesman, San Jose Mercury News and various online sites saying "Intel is paying and pressuring computer manufacturers to boycott AMD," and put together a press campaign in upper New York State where it's hoping to build a new plant telling the locals "how good the EC's actions is for them."
Intel of course maintains that ASPs have fallen steadily across-the-board and that if its prices were predatory and prejudicial to AMD, as the EC claims, that trend wouldn't be across-the-board as can be plainly seen in figures from Mercury Research, IDC and Gartner.
Using the ERS study, however, AMD's chief counsel Tom McCoy claims "Intel's monopoly profits of $60 billion directly contradict Intel's claim that its business practices have resulted in lower prices - in fact this study shows that billions of dollars have moved straight from consumers' pockets to Intel's monopoly coffers. That $80 billion translates into an Intel monopoly tax on every consumer who purchases a computer. That's a jaw-dropping figure that helps explain why the European Commission brought antitrust charges against Intel - the real harm that its abuse of monopoly power causes competition and consumers."
Of course no consumer has ever complained.
Some of the tinder AMD is using to burn Intel, Mulloy said, are "allusions to an SO it hasn't seen because it's confidential" and others are simple misrepresentation.
For instance, do you remember that class action that was filed back in January that claimed that Intel paid Dell over a billion dollars a year in kickbacks not to buy chips from AMD?
Well, you should because AMD has been beating that particular drum this week as evidence that the European Commission is on the right track in charging Intel with antitrust.
The only problem is that suit was withdrawn back in May, a fact AMD neglected to mention.
Seems the court refused to let Bill Lerach, the guy who filed it, be the lead lawyer for all the class actions filed against Dell after it was discovered that the SEC was investigating Dell.
Lerach of course was a partner in the old Milberg Weiss Lerach mob that took American companies for billions in dubious class actions over the years and is now under indictment itself for paying plaintiffs kickbacks.
Aside from hell freezing over, for consumers and OEMs to realize that tantalizing $80 billion, Intel's price premiums would have to drop by 50% over five years, AMD's market share of units sold would have to rise to 35% in the same five years, OEMs would have to pass 75% of their saving on to buyers and PC sales would have to stagnate at only half their historic growth spurts.
Year ASP % Change
1998 188 -15.5%
1999 174 -7.2%
2000 170 -2.2%
2001 137 -19.9%
2002 129 -5.2%
2003 127 -1.5%
2004 134 -5.2%
2005 131 -2.0%
2006 116 -11.5%
2007 109 -6.3%
Caption: Intel asked Mercury Research to compare average x86 ASPs over the last 10 years. What Mercury's Dean McCarron came back shows a drop of $113, slightly more than 50%. Intel wants to know how that can possibly be bad for consumers.
SYS-CON Events announced today that SOA Software, an API management leader, will exhibit at SYS-CON's 15th International Cloud Expo®, which will take place on November 4–6, 2014, at the Santa Clara Convention Center in Santa Clara, CA. SOA Software is a leading provider of API Management and SOA Governance products that equip business to deliver APIs and SOA together to drive their company to meet its business strategy quickly and effectively. SOA Software’s technology helps businesses to accelerate their digital channels with APIs, drive partner adoption, monetize their assets, and achieve a...
Oct. 22, 2014 10:15 PM EDT Reads: 769
From a software development perspective IoT is about programming "things," about connecting them with each other or integrating them with existing applications. In his session at @ThingsExpo, Yakov Fain, co-founder of Farata Systems and SuranceBay, will show you how small IoT-enabled devices from multiple manufacturers can be integrated into the workflow of an enterprise application. This is a practical demo of building a framework and components in HTML/Java/Mobile technologies to serve as a platform that can integrate new devices as they become available on the market.
Oct. 22, 2014 10:15 PM EDT Reads: 936
BSQUARE is a global leader of embedded software solutions. We enable smart connected systems at the device level and beyond that millions use every day and provide actionable data solutions for the growing Internet of Things (IoT) market. We empower our world-class customers with our products, services and solutions to achieve innovation and success. For more information, visit www.bsquare.com.
Oct. 22, 2014 10:00 PM EDT Reads: 955
Almost everyone sees the potential of Internet of Things but how can businesses truly unlock that potential. The key will be in the ability to discover business insight in the midst of an ocean of Big Data generated from billions of embedded devices via Systems of Discover. Businesses will also need to ensure that they can sustain that insight by leveraging the cloud for global reach, scale and elasticity.
Oct. 22, 2014 09:00 PM EDT Reads: 805
SYS-CON Events announced today that Red Hat, the world's leading provider of open source solutions, will exhibit at Internet of @ThingsExpo, which will take place on November 4–6, 2014, at the Santa Clara Convention Center in Santa Clara, CA. Red Hat is the world's leading provider of open source software solutions, using a community-powered approach to reliable and high-performing cloud, Linux, middleware, storage and virtualization technologies. Red Hat also offers award-winning support, training, and consulting services. As the connective hub in a global network of enterprises, partners, a...
Oct. 22, 2014 08:30 PM EDT Reads: 1,005
SYS-CON Events announced today that Utimaco will exhibit at SYS-CON's 15th International Cloud Expo®, which will take place on November 4–6, 2014, at the Santa Clara Convention Center in Santa Clara, CA. Utimaco is a leading manufacturer of hardware based security solutions that provide the root of trust to keep cryptographic keys safe, secure critical digital infrastructures and protect high value data assets. Only Utimaco delivers a general-purpose hardware security module (HSM) as a customizable platform to easily integrate into existing software solutions, embed business logic and build s...
Oct. 22, 2014 07:45 PM EDT Reads: 826
How do APIs and IoT relate? The answer is not as simple as merely adding an API on top of a dumb device, but rather about understanding the architectural patterns for implementing an IoT fabric. There are typically two or three trends: Exposing the device to a management framework Exposing that management framework to a business centric logic • Exposing that business layer and data to end users. This last trend is the IoT stack, which involves a new shift in the separation of what stuff happens, where data lives and where the interface lies. For instance, it’s a mix of architectural style...
Oct. 22, 2014 07:30 PM EDT Reads: 833
Connected devices are changing the way we go about our everyday life, from wearables to driverless cars, to smart grids and entire industries revolutionizing business opportunities through smart objects, capable of two-way communication. But what happens when objects are given an IP-address, and we rely on that connection, sometimes with our lives? How do we secure those vast data infrastructures and safe-keep the privacy of sensitive information? This session will outline how each and every connected device can uphold a core root of trust via a unique cryptographic signature – a “bir...
Oct. 22, 2014 07:15 PM EDT Reads: 837
SYS-CON Events announced today that Matrix.org has been named “Silver Sponsor” of Internet of @ThingsExpo, which will take place on November 4–6, 2014, at the Santa Clara Convention Center in Santa Clara, CA. Matrix is an ambitious new open standard for open, distributed, real-time communication over IP. It defines a new approach for interoperable Instant Messaging and VoIP based on pragmatic HTTP APIs and WebRTC, and provides open source reference implementations to showcase and bootstrap the new standard. Our focus is on simplicity, security, and supporting the fullest feature set.
Oct. 22, 2014 03:45 PM EDT Reads: 1,127
Internet of @ThingsExpo Silicon Valley announced on Thursday its first 12 all-star speakers and sessions for its upcoming event, which will take place November 4-6, 2014, at the Santa Clara Convention Center in California. @ThingsExpo, the first and largest IoT event in the world, debuted at the Javits Center in New York City in June 10-12, 2014 with over 6,000 delegates attending the conference. Among the first 12 announced world class speakers, IBM will present two highly popular IoT sessions, which will take place November 4-6, 2014 at the Santa Clara Convention Center in Santa Clara, Calif...
Oct. 22, 2014 03:45 PM EDT Reads: 926
P2P RTC will impact the landscape of communications, shifting from traditional telephony style communications models to OTT (Over-The-Top) cloud assisted & PaaS (Platform as a Service) communication services. The P2P shift will impact many areas of our lives, from mobile communication, human interactive web services, RTC and telephony infrastructure, user federation, security and privacy implications, business costs, and scalability. In his session at Internet of @ThingsExpo, Robin Raymond, Chief Architect at Hookflash Inc., will walk through the shifting landscape of traditional telephone a...
Oct. 22, 2014 02:45 PM EDT Reads: 905
WebRTC defines no default signaling protocol, causing fragmentation between WebRTC silos. SIP and XMPP provide possibilities, but come with considerable complexity and are not designed for use in a web environment. In his session at Internet of @ThingsExpo, Matthew Hodgson, technical co-founder of the Matrix.org, will discuss how Matrix is a new non-profit Open Source Project that defines both a new HTTP-based standard for VoIP & IM signaling and provides reference implementations.
Oct. 22, 2014 01:15 PM EDT Reads: 1,347
SUNNYVALE, Calif., Oct. 20, 2014 /PRNewswire/ -- Spansion Inc. (NYSE: CODE), a global leader in embedded systems, today added 96 new products to the Spansion® FM4 Family of flexible microcontrollers (MCUs). Based on the ARM® Cortex®-M4F core, the new MCUs boast a 200 MHz operating frequency and support a diverse set of on-chip peripherals for enhanced human machine interfaces (HMIs) and machine-to-machine (M2M) communications. The rich set of periphera...
Oct. 21, 2014 08:30 PM EDT Reads: 1,461
SYS-CON Events announced today that Aria Systems, the recurring revenue expert, has been named "Bronze Sponsor" of SYS-CON's 15th International Cloud Expo®, which will take place on November 4-6, 2014, at the Santa Clara Convention Center in Santa Clara, CA. Aria Systems helps leading businesses connect their customers with the products and services they love. Industry leaders like Pitney Bowes, Experian, AAA NCNU, VMware, HootSuite and many others choose Aria to power their recurring revenue business and deliver exceptional experiences to their customers.
Oct. 21, 2014 06:00 PM EDT Reads: 1,319
The Internet of Things (IoT) is going to require a new way of thinking and of developing software for speed, security and innovation. This requires IT leaders to balance business as usual while anticipating for the next market and technology trends. Cloud provides the right IT asset portfolio to help today’s IT leaders manage the old and prepare for the new. Today the cloud conversation is evolving from private and public to hybrid. This session will provide use cases and insights to reinforce the value of the network in helping organizations to maximize their company’s cloud experience.
Oct. 21, 2014 05:15 PM EDT Reads: 1,327
The Internet of Things (IoT) is making everything it touches smarter – smart devices, smart cars and smart cities. And lucky us, we’re just beginning to reap the benefits as we work toward a networked society. However, this technology-driven innovation is impacting more than just individuals. The IoT has an environmental impact as well, which brings us to the theme of this month’s #IoTuesday Twitter chat. The ability to remove inefficiencies through connected objects is driving change throughout every sector, including waste management. BigBelly Solar, located just outside of Boston, is trans...
Oct. 21, 2014 09:00 AM EDT Reads: 1,584
Oct. 20, 2014 11:45 PM EDT Reads: 1,307
Predicted by Gartner to add $1.9 trillion to the global economy by 2020, the Internet of Everything (IoE) is based on the idea that devices, systems and services will connect in simple, transparent ways, enabling seamless interactions among devices across brands and sectors. As this vision unfolds, it is clear that no single company can accomplish the level of interoperability required to support the horizontal aspects of the IoE. The AllSeen Alliance, announced in December 2013, was formed with the goal to advance IoE adoption and innovation in the connected home, healthcare, education, aut...
Oct. 20, 2014 11:15 PM EDT Reads: 1,732
Oct. 20, 2014 09:45 PM EDT Reads: 1,305
The only place to be June 9-11 is Cloud Expo & @ThingsExpo 2015 East at the Javits Center in New York City. Join us there as delegates from all over the world come to listen to and engage with speakers & sponsors from the leading Cloud Computing, IoT & Big Data companies. Cloud Expo & @ThingsExpo are the leading events covering the booming market of Cloud Computing, IoT & Big Data for the enterprise. Speakers from all over the world will be hand-picked for their ability to explore the economic strategies that utility/cloud computing provides. Whether public, private, or in a hybrid form, clo...
Oct. 20, 2014 07:00 PM EDT Reads: 2,003