NY AG: Dell got $6 billion via secret Intel pact

The Wall Street Journal

Dell Inc. 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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