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WikiLeaks Shows Intel Blackmailed Russian Govt.

By - Source: Tom's Hardware US | B 39 comments

It was somewhat apparent that the 250,000-or-so cables released by WikiLeaks could make the lives of many rather inconvenient, but it seems that the information goes much further than just diplomatic negotiations.

It was somewhat apparent that the 250,000-or-so cables released by WikiLeaks could make the lives of many rather inconvenient. However, it seems that the information goes much further than just diplomatic negotiations. A new document now shows how Intel was able to get a waiver from the Russian government to import software that usually could not have been imported. If we read this right, then the information shown could be called bullying at best and blackmailing at worst. Some may call it business, though.

Intel apparently received approval to import 1000 encrypted platforms that would be used for the development of software. Intel, which was represented back then by CEO Craig Barrett, made it clear that it needed the hardware and software in the country and was able to leverage its intelligence, if you will, knowing that Russia wanted to become a "knowledge-based economy." Intel highlighted that it was employing more than 1000 Russian engineers and if it was not able to import those platforms, it would have to lay off over 200 engineers and R&D work would be moved to India or China. Apparently, the negotiations involved not only Barrett, but also American Chamber of Commerce President Andrew Somers on the American side, as well as Russian President Medvedev.

The cable described Intel's appearance as high-level lobbying: "Intel was able to demonstrate the reasonableness of its request and, as a result, by-passed the current extensive licensing requirement." The cable stated that the import limit was 1000 units and there was no waiver for commercial products. The American government described the activity as sign that the Russian government may be flexible in granting waivers for certain encryption products.  

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Top Comments
  • 14 Hide
    ckthecerealkiller , December 6, 2010 10:32 PM
    I wouldn't call it blackmail. I would call it a bit of a bullying business move though. Intel has done much worse.
  • 12 Hide
    ahbi , December 6, 2010 10:41 PM
    So it is now "blackmail" to say "If you don't make it possible for my employees to do the work I pay them for, I'll stop paying them"?

    What colour is the sky in your world?
  • 12 Hide
    radiowars , December 6, 2010 10:18 PM
    Shit...
    Might need to shift some stocks around.
Other Comments
    Display all 39 comments.
  • 0 Hide
    micr0be , December 6, 2010 10:14 PM

    Intel power supreme!
  • 12 Hide
    radiowars , December 6, 2010 10:18 PM
    Shit...
    Might need to shift some stocks around.
  • 14 Hide
    ckthecerealkiller , December 6, 2010 10:32 PM
    I wouldn't call it blackmail. I would call it a bit of a bullying business move though. Intel has done much worse.
  • 1 Hide
    dogman_1234 , December 6, 2010 10:35 PM
    ...and I want to work for the idiots? Sorry Paul, not today...never.

    I hope AMD has been good this year for Santa.
  • 6 Hide
    xxsk8er101xx , December 6, 2010 10:40 PM
    sometimes the truth coming out is a good thing.
  • 12 Hide
    ahbi , December 6, 2010 10:41 PM
    So it is now "blackmail" to say "If you don't make it possible for my employees to do the work I pay them for, I'll stop paying them"?

    What colour is the sky in your world?
  • 2 Hide
    tacoslave , December 6, 2010 10:46 PM
    *sigh* when will the original red team go with the red team.
  • 1 Hide
    kronos_cornelius , December 6, 2010 11:44 PM
    This just reflect the bigger issue. In the new world order, corporations are the most powerful, and all nations are banana republics.
  • -1 Hide
    mister g , December 6, 2010 11:45 PM
    ahbiSo it is now "blackmail" to say "If you don't make it possible for my employees to do the work I pay them for, I'll stop paying them"?What colour is the sky in your world?

    Kind of, when you knew that Russia had never allowed these devices in before and you expect to set up office inside anyway and make demands.
  • 3 Hide
    fatdoi , December 7, 2010 12:35 AM
    that's same with every form of government/business relationships... like the auto industry, the company asks govt to invest $x millions to upgrade their plants or research for continuation of vehicle production of that plant.... so what's the difference??
  • 7 Hide
    dealcorn , December 7, 2010 1:41 AM
    Shock of shocks! Intel values and will protect its intellectual property and Russia wants good quality jobs. Even if they are not ideal partners, they can work together. Sounds a lot like the world in which I live.
  • -3 Hide
    dealcorn , December 7, 2010 1:41 AM
    Shock of shocks! Intel values and will protect its intellectual property and Russia wants good quality jobs. Even if they are not ideal partners, they can work together. Sounds a lot like the world in which I live.
  • 1 Hide
    johnnyq1233 , December 7, 2010 2:59 AM
    Is anyone supprised?
    I mean, come on the world is driven by greed and power!!!!!
    The only resemblance of justice is the beating down and flaunting of weak individuals trying to do what the BIG BOYS are doing!
    Just a shame!
    They should all suffer the same fate as those who pirate movies and such!
  • 8 Hide
    panto , December 7, 2010 3:56 AM
    It's classic negotiations. In the end Russia needed Intel more than Intel needed Russia. Simple.
  • 0 Hide
    sudeshc , December 7, 2010 4:46 AM
    like they say its all fair in love and war.
    Intel actually have proven that business for them is a war if not love every now and than.
  • 2 Hide
    dEAne , December 7, 2010 5:19 AM
    In general it is called business - though employing 1000 Russian engineers is called a pity.
  • 2 Hide
    Scott2010au , December 7, 2010 8:50 AM
    ^ Bam!
  • 2 Hide
    sagansrun , December 7, 2010 11:24 AM
    Some of you people are so nieve. You actually think that large business plays fair? You think they have morals, ethics, etc...? You people must live in a box to think that large busines and even some smaller businesses play fair and have no lobbying interest here in the US and abroad. What planet do you all live on? This has been going on since the beginning of human business. It will never change because most people are oblivious to it.
  • 3 Hide
    hang-the-9 , December 7, 2010 11:58 AM
    Don't see anything wrong with this, if companies and governments had no secrets things will be a lot messier now than they are. Intel said we need this, we have this as leverage. When I tell my kids to go clean their rooms, they usually don't until I tell them they won't have TV for a week. Use what you got to your advantage. I tell the companies I work for, you want my skills, you pay me this much, same thing.
  • 2 Hide
    jamesedgeuk2000 , December 7, 2010 12:17 PM
    Quote:
    Intel highlighted that it was employing more than 1000 Russian engineers and if it was not able to import those platforms, it would have to lay off over 200 engineers and R&D work would be moved to India or China.


    Its called outsourcing not blackmail
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