NY AG: Dell Got $6B Via Secret Intel Pact >DELL

Nov 4th, 2009 - Wall Street Journal

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(Updates with comment from AMD. Adds length of the lawsuit.)

SAN FRANCISCO (Dow Jones)--Dell Inc. (DELL) allegedly received billions of dollars in payments over a four-year period to use chips made by Intel Corp. (INTC), payments that sometimes totaled more than the computer maker's reported profits for a fiscal quarter, according to a lawsuit filed on Wednesday.

Dell, the world's third-biggest computer maker based on shipments, was allegedly paid about $6 billion between February 2002 and January 2007, according to the lawsuit. In one fiscal quarter, the lawsuit says payments from Intel constituted 116% of Dell's reported net income.

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