Intel Corp. (NASDAQ: INTC) has won a significant victory in its protracted legal battle against the European Commission, securing an EU Court of Justice ruling that nullified a substantial portion of a longstanding antitrust fine originally set at €1.06 billion ($1.1 billion). This decision, announced on Thursday (Oct.24), dismissed claims that Intel had issued unlawful rebates to computer makers, including Dell and Hewlett-Packard, as incentives to prioritize Intel chips over those from competitors like AMD.

The EU Court of Justice confirmed a prior 2022 judgment, which had already annulled much of the Commission’s 2009 decision, marking Intel’s first successful appeal in the lengthy case. Originally launched following a competitor's complaint in 1999, the EU’s antitrust investigation argued that Intel, then a dominant force in the chip market, leveraged “hidden rebates” to deter PC manufacturers from choosing rival CPUs. It accused Intel of engaging in “naked restrictions,” paying companies to delay or cancel product launches with competitors’ chips.

Despite Intel’s latest court win, this legal saga is far from over. In September 2022, the European Commission imposed a new, targeted €376 million ($400 million) fine based on portions of the case that were upheld, specifically related to Intel’s “naked restrictions.” Intel has challenged this revised penalty, seeking not only an annulment but also interest on the originally paid fine. The case highlights the complexity of EU antitrust processes, which can span years and involve multiple rounds of appeals and revisions.

In response to Thursday's ruling, an Intel spokesperson expressed satisfaction at finally closing this chapter of the case, while a Commission spokesperson confirmed that the EU competition watchdog will closely examine the ruling as they consider their next steps.

This decision represents a significant milestone in a legal battle that has cast a spotlight on EU antitrust practices, with critics arguing that the lengthy, multi-court process may be detrimental to competitive fairness and efficient regulation.