How Strong Is the Case against Intel?: The government's narrow suit may be fundamentally flawed

The Federal Trade Commission's June 8 complaint against Intel Corp. is limited to charges that the chipmaker stifled competition by punishing 3 customers in patent disputes. The FTC's legal strategy is clear: Seek a swift victory in a case where key facts are not in dispute, then build on that triumph to pursue a wider probe. The commission's larger concern is whether Intel leverages its dominance in microprocessors to enter new markets, such as graphics chips. Sounds like a smart approach, but the FTC's current case, say legal analysts, is no legal cinch. The FTC will have a hard time proving that the customers Intel acted against are competitors or potential ones. Even more difficult: The FTC will have to prove that the tactics Intel employed against these 3 would actually dampen competition in microprocessor technology.