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Intel plans to pay a record $8 billion to resolve antitrust charges, the company said Thursday.

The settlement was reached after more than a year of litigation that has seen Intel plead guilty to numerous violations of antitrust law.

Intel will also pay more than $3 billion to consumers and other third parties, including $1.5 million to Intel’s U.S. subsidiary, Intel Corp., the company’s president and chief executive officer Brian Krzanich said.

The agreement is expected to be finalized next month and the final terms will be announced soon, Krzanic said.

Intel also agreed to take a series of remedial actions to ensure that it has not discriminated against or harmed consumers in the past, including ending its practice of limiting product prices to artificially lower prices for other Intel products.

Intel will pay $7 billion in penalties to settle the antitrust cases and also agreed not to use its dominance in the PC market to “discriminate or favor its own products over those of its competitors,” Krzanick said.

Intel also agreed that it will use the settlement to ensure a level playing field in the next generation of processors, he said.

In addition to the settlements, Intel agreed to provide $3.6 billion in tax relief, which it will pay over 10 years.

Intel was expected to pay about $1 billion to U.K. tax authorities and a $250 million payment to Ireland, according to Krzanik.

The company will also provide $1 million in support to the U.N. Children’s Fund.

In a statement, Intel CEO Brian Krzenich said the company is “disappointed and humbled by the outcome of today’s settlement.”

“The settlement brings the total compensation to more than half a billion dollars, including a $1-billion payment to Intel shareholders and $750 million to U,K.

taxpayers,” Krzenick said in the statement.

“This agreement is a significant step forward for Intel and demonstrates how a company like Intel can grow and prosper in the 21st century while protecting our communities and the environment.

We look forward to working with our legal team to implement this new settlement and the new direction for Intel.”

Krzanick also thanked his board of directors, including chairman and chief operating officer Stacy Smith and CFO David Linn, for their efforts in settling the antitrust case.

“Our Board is committed to providing Intel with the resources it needs to continue to innovate and grow,” Krzansyl said.

“We believe the settlement demonstrates the kind of common-sense corporate governance that will help Intel maintain its place as a leader in the global PC market.”

For more information on Intel, visit


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