Intel CEO Paul Otellini claims the EC's decision to impose a €1.06 billion fine against the chipmaker is wrong and that it ignores the reality of a highly competitive microprocessor marketplace.

Otellini says there no harm was done to customers and that Intel believes its practices have not violated European law. (Of course not, does anybody remember the skyhigh CPU prices five years ago? Ed.) 

"The natural result of a competitive market with only two major suppliers is that when one company wins sales, the other does not," said Otellini in a statement released following the EC ruling. "Intel never sells products below cost."

Otellini says Intel will work with the Commission to ensure compliance with the decision, but that it will also launch an appeal against it.