Intel fined $3 million by India’s antitrust regulator over discriminatory CPU warranty policy — says Intel abused its dominant position in the boxed processor market.

Source: Tom’s Hardware

Image credit: Getty / Justin Sullivan

Intel has been fined INR 27.38 crores (≈ $3.02 million) by the Competition Commission of India (CCI) for allegedly abusing its dominant position in the boxed microprocessors (BMP) market. The regulator’s order, issued under Section 27 of the Competition Act, states that Intel India violated Section 4 by implementing unfair warranty policies in the country.

Read the CCI press release

Warranty policy controversy

• In a complaint filed by Matrix Info Systems Private Limited, Intel was found to have changed its warranty policy in India effective 25 April 2016.
• The policy limited warranty support to boxed processors purchased only from Intel‑authorized distributors within India.
• Customers who bought Intel processors from authorized sellers abroad were denied warranty benefits unless they claimed the warranty in the country of original purchase.

Penalty and compliance measures

• The CCI calculated the fine as 8 % of Intel’s average relevant turnover over the eight‑year period the policy was in effect.
• The penalty was reduced due to mitigating factors, notably the discontinuation of the India‑specific warranty policy on 1 April 2024.
• Intel has been ordered to:
  1. Publicly announce the withdrawal of the India‑specific warranty policy.
  2. Submit a compliance report confirming that the policy has been fully withdrawn.